Evolvement of Mobilemoney in Nigeria

Mobilemoney; a source of relief to the ones who have phobia for banking hall.

Mobilemoney; what seems to be rocket science to the illiterate and unbanked.

Mobilemoney; an avenue to rip us off our hard earn cash to the ignorant.

These are the one of many perceptions I get from prospective agents while working on the field as an agent network manager.

Yes I agree mobilemoney in Nigeria is indeed a source of relief to those who are “Bank O phobia” if ever there is such a word. They say you can send money to anybody in Nigeria banked and unbanked, pay bills and do airtime top-up anywhere and anytime with no hassles

But when there is need to replenish, its back to the same bank that I have a phobia for, you may think this purpose is defeated, well I hate to rain on your parade, but that thought is totally incorrect.

The CBN setup the agent banking regulations whereby SMEs, shop owners or individuals who are relatively into business can be engaged by a financial institution to provide specific financial service on its behalf using agent premises.

What the CBN has succeeded in doing is to enhance financial inclusion and provide agent banking as a delivery channel for offering banking services in a cost effective manner.

Now mobilemoney users can just walk up to any agent location to make specific transactions, such transactions involves replenishing money to our mobile wallet or initiating a cash withdrawal.

I see mobilemoney growing positively in Nigeria; it’s been two years after the introduction of mobilemoney in Nigeria.

From august 2011 CBN licensed 16 banks and other financial institution to establish mobilemoney services throughout the country.

Reports from Nigerian opinion poll and research organization NOI polls conducted the mobilemoney snap poll in Nigeria. And results say 59% of Nigeria population of more than 160 million is unaware of mobilemoney.

13% of those aware of mobilemoney currently use it

71% of non-users says they could consider using mobilemoney service in the future.

 The poll also states that analysis is based on geo-political zone as it relates awareness levels of mobilemoney in Nigeria vary in different regions.

So basically, mobilemoney needs time to nurture into our daily lifestyle, our mentality has to change in other to embrace this welcome development, cos it is a fact that a typical Nigerian has no trust for the system.

If government can introduce basic form of mobilemoney education into our schools, if sensitization and awareness level on mobilemoney increases in our economy and also if competition amongst the mobilemoney licensee become steep, then I feel Nigeria will take the world by storm.

However, on a positive note, mobilemoney brings promising opportunities for financial inclusion. The provision of financial services to over 100 million regarded as unbanked, in my opinion, it would lead to a higher standard of living and an improved social equity. The unbanked can make use of the opportunity to save, borrow money to pursue business opportunity and transfer funds efficiently.

From the business perspective, financial inclusion is an opportunity to expand the financial service market and build a long term goal.

However, for a better financial inclusivity, stakeholders need to invest more on service delivery and weaning process by encouraging branchless banking whereby agents will be rewarded for providing mobile financial services which will drive a controllable traffic of transactions.

EGBUNA JESSE ARINZE

sludba Team.