Swaziland: Mobile money aids financial services penetration

Jan 27, 2017

The affordability of mobile money services has facilitated penetration of financial services.

The high mobile money penetration in Swaziland has aided in the penetration of financial services in the country, as revealed by a recently concluded study conducted by FinMark Trust. According to the study, the affordability of mobile money services and provision of financial services that are not provided by financial institutions are factors responsible mobile money penetration in the country. "The ubiquitous nature of mobile phones coupled with affordability of mobile money services means mobile money is a useful avenue towards increased financial inclusion, making it important in countries where financial exclusion is high and where people were informally served. "Technology has significantly changed the way people access financial services. The advent of the automated Teller Machines (ATMs) and mobile money services have improved access to bank accounts by allowing account holders 24 hours access to their money instead of confining access to branch trading hours," FinMark Trust said. From 87 percent mobile penetration in 2015, Swaziland ranked first in Africa with 92 percent mobile penetration in 2016. Despite this, a sizeable number of adults are unaware of mobile money services due to a lack of education and information about mobile money. FinMark Trust
in its report urged businesses to educate their customers about mobile payment services in order to aid further penetration of financial services through payment for goods, transfers e.t.c.