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  • GSMA, mobile industry push for stronger child online protection in Africa

    GSMA, mobile industry push for stronger child online protection in Africa

    As Africa’s digital landscape continues to expand rapidly, the GSMA, a non-profit trade association that represents the interests of mobile network operators worldwide in partnership with the mobile industry, is making a strong call for collective action to safeguard children online.

    On June 16, 2025, the GSMA released a pivotal whitepaper titled Enhancing Child Online Protection in Sub-Saharan Africa, presenting key recommendations for policymakers, regulators, tech companies, and civil society actors to create a safer digital ecosystem for the continent’s youth.

    The paper builds on insights from a high-level roundtable held during the Ministerial Programme at MWC25 Barcelona and emphasizes the increasing urgency to protect children in a mobile-first region. With more young Africans gaining internet access—often via mobile devices—the risks of cyberbullying, exposure to harmful content, and online exploitation are rising sharply.

    “Protecting children online is a responsibility shared across governments, industry, civil society, and families,” said Angela Wamola, Head of Sub-Saharan Africa at the GSMA. “By working together, we can ensure the digital environment becomes a place of opportunity — not risk — for Africa’s children.”

    Backed by principles from the UN Convention on the Rights of the Child and the African Charter on the Rights and Welfare of the Child, the whitepaper stresses that child protection efforts must be integrated into the region’s broader digital transformation strategies. While mobile technology holds immense potential to advance education, development, and connection, the GSMA warns that the same tools must be leveraged more effectively to protect young users.

    The whitepaper outlines four key recommendations including embedding child- and youth-centered approaches in digital policy and programming, aligning national child protection frameworks with the African Union’s child online safety and empowerment strategy.

    Others include expanding digital literacy and awareness among children, parents, and educators and fostering stronger public-private partnerships to scale effective tools, resources, and support systems.

    This initiative also draws on data and regional research, including IPSOS findings commissioned by MTN Group and compelling youth voices such as that of Jemima Kasongo, a 19-year-old advocate from the Democratic Republic of Congo, who opened the Barcelona roundtable with a passionate plea for action.

    UNICEF is a key partner in this effort. Nankali Maksud, UNICEF’s Regional Advisor for Child Protection in Eastern and Southern Africa, emphasised that “protecting [children’s] safety online is not only about safeguarding rights but about investing in Africa’s human capital and future leadership.” UNICEF and GSMA will jointly lead a new regional task force to implement the whitepaper’s recommendations.

    This new publication also builds upon the 2019 GSMA-UNICEF report Enhancing Children’s Lives through Mobile, reaffirming the GSMA’s long-standing commitment to child rights in the digital space. On a broader scale, GSMA initiatives such as the Mobile Alliance to Combat Digital Child Sexual Exploitation reflect a global push to ensure safer online environments for children.

    Ultimately, the GSMA is urging all stakeholders across Africa to engage with the recommendations, amplify youth voices, and take decisive steps toward a safer, more inclusive digital future for every child on the continent. Championing Economic Development: Segilola Resources Commissions New Palace, Launches Youth Empowerment Scheme in Osun State

    Segilola Resources Operating Limited, Nigeria’s first large-scale gold mining company and a subsidiary of Thor Explorations Ltd, has commissioned a newly constructed royal palace in Imogbara and officially launched a youth empowerment scheme in Imogbara and Iperindo. These initiatives are part of the company’s Community Development Agreement (CDA) commitments, underscoring its dedication to sustainable development, cultural preservation, and inclusive impact within its areas of operation.

    The newly completed palace is a significant contribution to Imogbara’s cultural heritage. Designed and built in close collaboration with the community, the structure reflects the pride, history and leadership of the people, while offering a functional and dignified seat for traditional governance.

    Read Also: GSMA: 50% tariff hike to unlock investments, boost growth

    In addition to the palace, Segilola Resources has rolled out a dedicated Youth Empowerment Scheme to tackle unemployment and foster economic independence among young people. Through this initiative, the company is providing commercial mini-buses—popularly known as Korope— to the host communities (three to Imogbara and three to Iperindo), enabling them to generate a sustainable source of income through transport services, while also strengthening the local economy.

    Speaking at the commissioning, Ms. Madhurii Sakar-Amoda, Community Development and Stakeholder Manager at SROL, stated, “At Segilola, development is not something we do to communities; it is something we build with them. Our work is anchored in partnership, guided by respect, and focused on creating value that lasts. Community engagement is not an add-on — it is central to our purpose and informs every decision we make. “

    “The new palace represents more than just a structure. It is a proud symbol of cultural heritage and resilient leadership. Similarly, the Youth Empowerment Scheme goes beyond providing buses. It is about restoring dignity, inspiring ambition, and unlocking economic potential for the next generation.”

    “For us, mining should leave more than just footprints. It should leave a legacy of opportunity, inclusion, and meaningful transformation,” she concluded.

    Further strengthening infrastructure in the area, Segilola Resources also announced the completion of a 2.4-kilometre interlocking road linking Imogbara to Odo Ijesa, enhancing mobility, access, and economic integration for residents.

    Through initiatives like this, Segilola Resources continues to demonstrate what responsible mining can achieve—development that is people-focused, community-led, and designed to last.

  • Nigeria takes centre stage as GSMA highlights Africa’s dominance in Mobile Money growth

    Nigeria takes centre stage as GSMA highlights Africa’s dominance in Mobile Money growth

    A new report by the GSMA, State of the Mobile Money Industry 2025, has revealed that Sub-Saharan Africa, and increasingly Nigeria, is shaping the future of mobile financial services, with the region now firmly established as the global hub of mobile money innovation and adoption.

    The GSMA report shows that mobile money accounts have now surpassed 2.1 billion globally, with over 514 million monthly active users. Notably, West Africa, with Nigeria at its heart, is now outpacing East Africa in registered accounts, a landmark shift that underlines the rapid adoption of mobile financial tools across the region.

    West Africa experienced a 21% growth in registered mobile money accounts in 2024, reaching 485 million, while monthly active accounts surged to 97 million, growing by 13%. Nigeria, with its population of over 200 million and recent regulatory reforms, has been a major force behind these numbers.

    A game-changer was the introduction of the Payment Service Bank (PSB) licence by the Central Bank of Nigeria in 2018, which allowed telecom operators and other non-bank players to provide financial services. Since then, mobile operators like MTN, Airtel, and Glo have expanded their mobile money offerings, investing heavily in agent networks and mobile wallet solutions that are reaching rural and unbanked communities.

    “Mobile money has emerged as the most accessible form of financial service for Nigerians, particularly in rural and peri-urban areas where traditional banks are absent,” the GSMA noted.

    The report notes that between 2013 and 2023, mobile money added over $190 billion to the GDP of Sub-Saharan Africa, including a 5% increase in West Africa’s GDP. In Nigeria, where formal banking penetration remains low, mobile money is offering a lifeline to millions. Farmers, market traders, artisans, and micro-entrepreneurs now use mobile money daily to transact, save, borrow, and pay bills.

    The rise of services like Opay, PalmPay, and MoMo PSB is transforming how Nigerians interact with money. The GSMA highlights that mobile money is no longer just about peer-to-peer transfers, but now supports merchant payments, international remittances, utility bills, and even access to microloans and insurance, unlocking wider economic participation.

    One of the report’s core recommendations for Nigeria and other African markets is the need to strengthen interoperability among mobile money platforms and banks. Already, the volume of transactions between mobile wallets and bank accounts in Nigeria has outpaced cash-ins and cash-outs, indicating growing trust in digital systems and better integration of financial services.

    The GSMA praised partnerships between banks, fintechs, and mobile network operators in Nigeria as a blueprint for other African countries. “Strategic alliances in Nigeria are setting the tone for financial ecosystem development across Africa,” the report said.

    Despite the progress, the industry still faces hurdles. Fraud remains a persistent issue in Nigeria’s mobile money space, often involving both users and agents. The GSMA reported that over 60% of mobile money providers in Africa, including Nigeria, now run financial literacy campaigns to protect users and boost digital confidence.

    The gender gap in mobile money access is another issue, with fewer Nigerian women owning mobile money accounts compared to men. To address this, the GSMA and its partners are pushing for targeted policies and services that meet the needs of women and other underserved groups.

    The report also warns against excessive taxation of mobile money transactions. It points to Ghana and Tanzania, where mobile money taxes led to reduced usage and undermined financial inclusion. Nigeria, which is considering a digital tax framework, is urged to learn from these examples and adopt inclusive fiscal policies.

    Looking ahead, GSMA expects mobile money in Nigeria and Africa to deepen its synergy with traditional banking, creating hybrid financial services that serve both the banked and unbanked. The focus will shift from just access to financial health and resilience, with services like micro-savings, credit scoring, and digital insurance becoming mainstream.

    The GSMA Mobile Money Programme, backed by the Bill & Melinda Gates Foundation and Visa, continues to invest in Nigeria and the region, supporting innovation hubs, agent training, and regulatory reform.

    By aligning mobile money growth with the United Nations Sustainable Development Goals (SDGs), especially SDG 1 (No Poverty), SDG 5 (Gender Equality), and SDG 9 (Industry, Innovation, and Infrastructure), Nigeria is well-positioned to lead the continent’s digital financial future.

    Nigeria’s embrace of mobile money is no longer a trend, it’s a transformation. As more Nigerians ditch cash for digital, the future of financial inclusion, economic empowerment, and digital innovation across Africa will increasingly be written in Nigeria’s own mobile-first story.

  • GSMA: 50% tariff hike to unlock investments, boost growth

    GSMA: 50% tariff hike to unlock investments, boost growth

    The rise in telecommunication tariff will give room for business expansion, potentially reducing poverty levels in Africa’s most populous nation, head of Global System for Mobile Communications Association (GSMA), sub-Saharan Africa, Angela Wamola, has said.

    Speaking during a virtual press conference at the weekend, she said private capital will only go to countries with a viable business environment, adding that the increment would unlock investment and spur growth.

    She stated that revenue seen from these investments in terms of tax would be used in providing necessary services for the people which, in the long run, improve their standard of living.

     “The 50 per cent hike is all about making sure that we are able to see how we continue to attract more investment and how to plow back that revenue into rebuilding, more services, newer technologies, improving the quality of services.

     “People in the streets, in their shops, in their houses get value to do what they need to do because we need to increase income households at the end of the day,” Wamola said.

    According to senior director public policy and communications sub-Saharan at GSMA, Caroline Mbugua, telecom is a sector that is committed to delivering, good quality of service to, customers across Nigeria.

    Read Also: EFCC secures interim forfeiture of $222,729.86 in digital assets tied to Chinese, Filipino alleged fraudsters

     “That’s why there needs to be a continued conversation to demystify the issues around the telecommunications sector, the tariff hike and how it is going to impact the wider economy and the consumer. If you look at the value, it goes beyond just the sector. We see sectors such as health, energy, manufacturing, agriculture benefiting immensely from connectivity,” she said.

    The Nigerian Communications Commission (NCC) in January approved a 50 per cent hike in telecom tariff after a 12-year hiatus in a bid to cushion the pains of operators who are contending with the twin devaluation of naira and high inflationary pressures spiking operating costs.

    The hike which is coming over a decade of operating the current adjustment is however coming amid high cost-of-living. It is not sitting well with many Nigerians, leading to the Nigeria Labour Congress (NLC), announcing a demonstration holding February 4 to reject the upward review.

  • GSMA lauds NCC telecom tariff hike

    GSMA lauds NCC telecom tariff hike

    A global advocate for sustainable policy reforms in the telecommunications sector, GSMA has welcomed the 50 percent telecom tariff hike by the Nigerian Communications Commission (NCC).

    The Nation reports NCC approved a 50% tariff increase for mobile network operators, marking a pivotal moment in Nigeria’s digital transformation.

    This decision, the first tariff adjustment in 12 years, is set to unlock substantial investment in telecommunications infrastructure, increasing 4G coverage to 94% of the population and enabling mobile internet access for an additional 9 million people, with 2 million people in underserved areas.

    In a statement, it said: “The GSMA, a global advocate for sustainable policy reforms in the telecommunications sector, welcomes this decision as a major step forward for consumers and the economy.

    “By enabling mobile operators to invest in expanding and upgrading their networks, the tariff increase will bridge the digital divide and drive innovation across key sectors, including healthcare, education, and agriculture.”

    Angela Wamola, Head of Sub-Saharan Africa at GSMA, commented on the development: “This decision by the NCC is an important milestone for Nigeria’s digital future. By enabling sustainable investment, we are improving the quality of service for consumers and fostering opportunities for innovation and economic growth.

    Read Also: ICCDI, Canada Fund launch bottle toilet project in six states

    “However, to fully unlock the potential of this reform, it is critical to implement additional measures such as simplifying Right of Way permits, implementing a Critical National Infrastructure plan, and reducing the mobile sector’s tax burden. These steps will be essential to accelerate digital adoption across sectors.

    “It is estimated that increased digitalisation in agriculture, manufacturing, transport, trade, and the government will increase GDP by around two percentage points by 2028. This would also create nearly 2 million jobs and raise an additional NGN 1.6 trillion in tax revenue.

    “The tariff increase is projected to unlock over $150 million in additional investment, expanding 4G network coverage from the baseline 90% to 94% of the population. This improvement will benefit around 9 million people, with nearly 2 million expected to gain access to mobile internet services based on current adoption levels in rural areas, according to GSMA Intelligence.

    “This milestone reflects the successful partnership between the Nigerian government, industry stakeholders, and the GSMA, demonstrating how collaborative policy reforms can drive economic development and digital inclusion. By advocating for policies that balance affordability with the need for sustained investment in infrastructure, the GSMA has played a critical role in ensuring the benefits of mobile connectivity are accessible to all Nigerians.

    “Improved network coverage will enable transformative access to digital services, including online education, telemedicine, e-commerce, and mobile financial tools. Additionally, the investment will drive the adoption of next-generation technologies such as Artificial Intelligence (AI) and the Internet of Things (IoT), which are essential for advancing innovation across sectors like precision agriculture, connected transportation, and smart healthcare. By fostering the adoption of these technologies, Nigeria is positioning itself as a leader in Africa’s digital economy.

    “While the tariff increase is a significant step forward, the GSMA calls for further policy actions to amplify its impact. These priorities, outlined in the recent GSMA report The Role of Mobile Technology in Driving the Digital Economy in Nigeria, include:

    “Streamlining Right of Way (RoW) permits: Simplify and standardise the process to accelerate infrastructure deployment.

    “Implementing Critical National Infrastructure (CNI) legislation: Safeguard essential telecommunications assets to ensure resilience and reliability.

    “Reducing the tax burden on the mobile sector: Address high taxation to encourage further investment in infrastructure.

    “These recommendations are based on successes in other Sub-Saharan African markets, such as Kenya and South Africa, where similar policy reforms have proven effective in driving digital inclusion and fostering economic growth.

    “The GSMA remains committed to supporting the government, regulators, and industry stakeholders to implement these measures.”

  • How Nigeria can achieve digital economy, by GSMA

    Modernising regulation and policy reform will be crucial to boosting Nigeria’s digital economy and accelerating internet access for millions through increased mobile broadband penetration, the Global System for Mobile Communication Association (GSMA) has said.

    In its latest report titled: Spotlight on Nigeria: Delivering a Digital Future, it said research had shown that the mobile market in Nigeria made an important contribution to the economy.

    According to it, the mobile industry contributed $21 billion to gross domestic product (GDP) in 2017, representing 5.5 per cent of total GDP. It also said that the growth of the country’s digital economy created nearly 500,000 direct and indirect jobs.

    The report, which was launched in conjunction with the Nigerian Communications Commission (NCC), brought together leaders from across the mobile industry with policymakers to discuss future regulation and how to enable the next-generation of 5G connectivity.

    According GSMA, growth in the adoption of digital services by government, businesses and consumers is having a positive impact on daily life in the country. It stressed that for majority of Nigerians, mobile broadband is the first and only technology for accessing the internet, enabling better access to health, education and commercial opportunities, amongst other public services. Smartphone adoption has already risen to over 53 million connections, and 49 per cent of the population are currently connected by mobile technology, compared to less than one per cent who have a fixed-line connection.

    However, the report concluded that there is still broad scope for the country to increase its mobile penetration. Although more Nigerians are getting access to mobile broadband, the country lags regional peers in 4G adoption. Helping to accelerate adoption would enable more advanced services and create bigger societal impacts, it said.

    With increased spectrum harmonisation and licensing reform, the country’s mobile penetration is forecast to rise to 55 per cent of the population by 2025, with 70 per cent having 3G connectivity and 17 per cent having access to 4G networks. Currently, only 44 per cent of mobile subscribers in Nigeria are using 3G technology and 4 per cent are using 4G technology, compared to over 18 per cent 4G penetration in South Africa and 16 per cent in Angola.

    Speaking on the report, the Executive Vice Chairman/CEO, NCC, Prof Garba Dmabatta said: “In the world we live in today, mobile communication is a cardinal tool of economic development, growth and integration, and the mobile industry is a key enabler of productivity across economies and societies. The mobile industry is not only a significant contributor to the economic activities of Nigeria, but also towards the growth of other sectors of the economy. The Nigerian Communications Commission has been, and continues to play a key role in the development of mobile communication in Nigeria, and I am delighted to be part of this event today. This provides an avenue for regulators, operators, investors, and other relevant stakeholders to examine, share and constructively exchange ideas.”

    Also commenting on the report, Head of sub-Saharan Africa, GSMA, Akinwale Goodluck, said mobile connectivity has already improved the welfare of millions of Nigerians, opening the door to new digital possibilities and powering the country’s economic development.

    He said:  “For Nigeria to take full advantage of the next phase of its digital transformation, it’s vital that collaboration between industry and government enables the right policy environment for millions more to benefit from ultra-fast mobile broadband. If policies don’t keep pace with the needs of society and technological innovation, there is a risk that citizens will be left behind and productivity and competitiveness will suffer.”

    The GSMA has identified support for and release of harmonised spectrum and a modernised licensing framework as fundamental build

  • GSMA: Mobile ecosystem revenues hit $3.2tr

    GSMA: Mobile ecosystem revenues hit $3.2tr

    •Group seeks incentives to promote digital economies

    The Global System for Mobile Communication Association (GSMA) said the mobile ecosystem generated 4.2 per cent of global gross domestic product (GDP) in 2015, a contribution of more than $3.1 trillion of added economic value.

    It said digitalisation enables businesses to operate more efficiently and access new markets and customers. Digital technologies can better connect government with its citizens and have a major impact on day-to-day life, from shopping and banking to entertainment and connecting with friends and family.

    The GSMA research report, titled: “Embracing the Digital Revolution: Policies for Building the Digital Economy”, developed in collaboration with Boston Consulting Group (BCG), urged policymakers to encourage digital advancement and prepare for the changes that lay ahead, while highlighting the risk of inaction.

    The report estimated that digital technologies will influence up to 45 per cent of all retail sales by 2025.

    The benefit consumers receive from mobile technologies can be quantified, using the economic concept of consumer surplus, which is the value that consumers receive, over and above what they pay for devices, apps, services and internet access.

    The BCG research in six countries (Brazil, China, Germany, India, South Korea and the United States) showed that mobile technologies have created $6.4 trillion of annual consumer surplus, which is more than the individual GDP of every country in the world, with the exception of China and the United States (U.S.).

    The new report, therefore, encouraged governments to pursue policies that incentivise investment and promote development of digital economies, building an inclusive digital future for their citizens.

    Chief Regulatory Officer, GSMA. John Giusti, said: “Digital and mobile technology have delivered far-reaching social and economic benefits at both the global and national levels. As the digital and mobile revolution continues to accelerate, new technologies-artificial intelligence, robotics and the Internet of Things (IoT)-promise great benefits, but also continued disruption, resulting from the digitalisation of many industry sectors.

    “Forward-looking policies can enable citizens, businesses, societies and countries to prosper, improving lives and livelihoods, while mitigating the possible adverse effects that can accompany economic change.”

    Despite the many benefits of digitalisation, the pace of change creates the possibility of a gulf between those who are digitally connected and those who are not. Governments have an important role to play in creating a policy environment that allows for an inclusive digital society where the few feel threatened or left behind.

    The report encouraged policymakers to be the architects of change by using the policy to drive change and transform their economies for the benefit of all citizens. Policymakers have the power to create the best possible outcomes for the technological future in their country, whatever the level of socio-economic development, if a number of key factors are put in place. The factors include high-speed, reliable and robust digital infrastructure, digitally willing and capable people (citizens, consumers and employees), digitally competent and engaged businesses, trusted environment for digital interactions, and a government that sets an enabling policy framework and leads by example

    “Governments have a critical role to play in creating an inclusive digital future by establishing a policy framework that incentivises network investment, by ensuring laws and regulations reflect the realities of today’s digital world and by promoting digitalisation across the economy and society,” Giusti said.

  • GSMA to Nigeria, others: release digital dividend spectrum

    The Global System for Mobile Communication Association (GSMA) has advised regulators, who want its citizens to enjoy the unlimited possibilities of mobile technology to quickly release the digital dividend spectrum in the 700/800 megahetz (MHz) band.

    Its Chief Regulatory Officer, John Giusti, who gave the advice, said Kenya’s success story, which achieved analogue switch-off over a decade ago, is worthy of emulation.

    He said: “For countries that want to connect more of their citizens to the enabling power of mobile technology, making the so-called Digital Dividend spectrum (700/800 MHz band) available is key to expanding coverage. As one of the largest and most diverse economies in East Africa, Kenya is a hub for technology and innovation in the region. One thing the country’s digital television migration showed is that, irrespective of the challenges faced, they can be overcome.”

    GSMA’s new report titled: “Digital Migration Process in Kenya”, highlighted the valuable lessons that can be derived from the country’s experience with its digital switchover over the last 10 years. The report provided useful information and guidance to regulators and policymakers from other countries where similar migration processes are ongoing or being planned.

    Planning for the analogue to digital television migration in Kenya began in 2006. The government had a powerful vision that the migration would not only be a vehicle to deliver improved audio-visual content to Kenyan consumers, but would also utilise spectrum, freeing up the digital dividend spectrum band for mobile.

    Digital dividend spectrum is ideal for reaching more people with mobile broadband, as these lower-frequency bands can cover wider areas with fewer base stations than higher frequencies. This reduces deployment costs and allows operators to provide broader, more affordable coverage, especially in rural areas where connectivity can be a challenge. But it is about more than just rural areas; digital dividend spectrum also delivers benefits in urban areas, providing improved indoor coverage as these frequencies can more easily penetrate buildings.

    In Kenya, as in other countries, the digital migration process required consideration and implementation of a broad range of issues, including policy, the state of the broadcasting market, funding for the migration, public outreach, consumer equipment availability and the inclusion of stakeholders in the planning process. According to the report, some key lessons from Kenya’s migration experience are that all started with a well-planned roadmap – governments can facilitate a smooth and successful digital migration process by establishing a well-planned migration roadmap and obtaining buy-in from stakeholders; transparency enhances credibility.

    The roadmap should include as many details as possible regarding the repurposing of the Digital Dividend spectrum, including specific timelines for clearing the band and awarding the spectrum. In addition, the plan should specify the process the government will use to grant the spectrum to new operators.

    Industry input is needed to succeed – governments should request and give due consideration to industry input throughout the migration process, including during the planning that precedes any actual technical changes. This will encourage commitment from stakeholders, reducing the possibility of legal challenges and delays.

     

  • Telcos, GSMA, others reject electronic tax bill

    The group representing mobile operators globally, the Global System for Mobile Communication Association (GSMA), the umbrella body of mobile operators, Association of Licensed Telecommunications Operators of Nigeria (ALTON), the Association of Telecommunications Companies of Nigeria (ATCON) and the National Association of Telecommunications Subscribers (NATCOMS), have jointly  rejected the Bill for the Establishment of a Tax on Electronic Communication Services in Nigeria currently before the National Assembly.

    The bill  is seeking to establish a nine per cent Communication Service Tax to be levied on charges payable by a user of an electronic communication service such as short message service (SMS), voice calls, multimedia service (MMS), and  data usage supplied by service providers in the country.

    They stakeholders warned that if introduced, such tax will result in an increase in prices for consumers, have adverse impacts on the adoption of mobile services and industry investment, and be counter-productive to the longer term national digital strategy objectives set by the Federal Government. It will also increase affordability barriers to the uptake of mobile technology in the country.

    A letter dated March 30, 2016 addressed to the Minister of Finance, Mrs Kemi Adeosun and her counterpart in the Communications Technology, Mr Adebayo Shittu, the stakeholders said the socio-economic impact of mobile penetration is now widely recognised, adding that a World Bank research noted that a 10 per cent increase in mobile broadband penetration in low to middle income countries leads to a 1.38 per cent increase in gross domestic product (GDP) growth.

  • GSMA report shows active Mobile Money customers reached 61 million in 2013

    The GSMA’s Mobile Money for the Unbanked (MMU) programme today released its third annual Mobile Financial Services State of the Industry Report, providing a quantitative assessment of the state of mobile financial services, including mobile money, mobile insurance, mobile credit and savings. The report draws on the results of the annual MMU Global Adoption Survey, as well as on data from the online MMU Deployment Tracker and qualitative insights on the performance of mobile financial services from the MMU Programme’s engagement with the industry over the last year.

    “This annual report underscores the enormous impact that mobile money is having in emerging markets, by providing access to increasing numbers of products and services and helping millions of people to manage their daily lives and improve their livelihoods,” said Tom Phillips, Chief Regulatory Officer, GSMA. “Each year our review reveals greater insights on the wide range of uses of mobile money and on how operators are working collaboratively in developing mobile money services to meet growing customer demand.”

    Growing and Expanding Services

    The report shows that the number of active mobile money users continues to grow rapidly year-on-year, with more than 61 million accounts active as of June 2013, compared to 37 million in June 2012. Further, the number of registered mobile money accounts nearly tripled from 71 million in June 2011 to 203 million in June 2013. Services have expanded across a greater number of regions, with 219 services in 84 countries at the end of 2013, compared to 179 services in 75 countries at the end of 2012.

    Positive regulatory reforms that are enabling mobile money services are contributing to the growth of the industry in terms of number of deployments. The majority of services remain in Sub-Saharan Africa, with 52 per cent of all live mobile money deployments located in the region. However, mobile money is also expanding outside of the region, with, for example, 19 mobile money launches planned in Latin America.

    Mobile Money Services Widen Financial Inclusion

    The MMU 2013 Mobile Financial Services State of the Industry Report has highlighted that an increasing number of providers are overcoming operational challenges to create solid distribution networks and a large base of active customers. Today, 13 services each have more than 1 million active mobile money accounts and those services that have created solid foundations are moving forward with new products such as bulk payments and merchant payments.

    The increased number of mobile money users and access points illustrates the important role of mobile financial services in driving financial inclusion in developing countries. At the end of 2013, nine markets, Cameroon, the Democratic Republic of Congo, Gabon, Kenya, Madagascar, Tanzania, Uganda, Zambia and Zimbabwe, already had more mobile money accounts than bank accounts, compared to just four markets last year. In these markets, the mobile money industry has made financial services accessible to more people than the traditional banking industry. The development of other mobile financial services, including 123 mobile insurance, mobile credit and savings services, 27 of which were launched in 2013, will allow service providers to deepen financial inclusion by offering financial services beyond money transfer and payments.

    Ecosystem Development

    As mobile money becomes a mainstream product for a growing number of operators, competition is also increasing. At the end of 2013, 52 markets had two or more mobile money services compared to 40 in 2012. In June 2013, transactions involving external companies using mobile money as a platform to receive and make payments drove the growth in mobile money globally, representing 29 per cent of the total value of transactions. These transactions are also growing much faster than airtime top-ups and on-net transfers. In June 2013, 53,000 merchants were accepting payments via mobile money and 16,000 organisations use mobile money as a payment platform for accepting bill payments or making salary payments.

    Phillips added, “As the mobile money industry grows, we are seeing how these services are benefiting the lives of millions of citizens in developing countries all around the world. We will continue to track these tremendous developments and work with mobile operators and the broader ecosystem to expand the scope of services available and to extend services to more of the world’s population.”