Advantages of Mobile Payment in Africa

What is Mobile Payment?

Mobile Payment is an electronic service which the mobile phone is used to access financial

services such as money deposit, peer to peer transfer and payment of goods and services. It is

also a system in which it allows user to move money from their banks to their mobile phones as

well as to access financial services that previously needed one to go to the bank.

Benefits of Mobile Payment

1) It makes banking faster and safer

In some countries, more people have mobile phones than bank accounts. Cameroon, for instance,

more than 80 percent of the population has a mobile phone, but only little have access to mobile

transfer. The nearest bank branch bank requires at least half an hour to reach the place, with the

risk theft along the road. Mobile money puts the bank branch in your hand.

2) It offers safety net

In developing countries where health care is paid out of pocket, serious illness can be financially

dealt with. In Nigeria people who use mobile banking are beginning to use the mobile account to

access money for medical emergency. Being able to receive medical care immediately means

that people can survive sudden death.

3) It helps business

By accepting mobile payments, business cost, risk, and hassle of cash. In Nigeria, grocery stores,

salon takes mobile money. Mobile payment allows customers to stretch payment for large

purchases and helps entrepreneurs expand their business.

4) It is good for the economy

By shifting business transactions from cash to mobile banking, it makes it header for the

company to evade paying taxes.

MUBARAK ABIODUN EYIOWUAWI