Increasing smartphone ownership is enabling large populations to access financial services for the first time, according to a new report.
In its 2014 State of the Industry: Mobile Financial Services for the Unbanked report, the GSMA highlighted the “dizzying” growth of the sector in recent years, with 250 mobile money services being adopted in 89 countries by 2014.
According to the GSMA, which represents the interests of mobile operators worldwide, 60% of developing markets now have access to mobile money services.
Stating that “mobile money remains a key enabler of financial inclusion”, the GSMA predicts that mobile technologies will increasingly benefit those previously unable to access financial services products.
According to the report, there were 16 countries where there were more mobile money accounts than bank accounts in 2014, up from nine in the previous year. Meanwhile, there were 103 million active mobile money users globally by December 2014, up from 60 million in 2013.
According to GSMA forecasts, smartphone ownership will continue to rise. Penetration in sub-Saharan Africa, for example, is expected to rise from around 15% in 2014 to nearly 60% by 2020.
Anne Bouverot, director general at the GSMA, said: “To truly bring this industry to scale, operators need to continue to invest in systems, technology and partnerships that will enable more businesses to use mobile money.
“In 2015, we are focused on working to help the mobile money industry mature and reach scale, further proving its commercial and social impact and deepening its contribution to the digital services economy.”