scholarly journals Financial Inclusion through Digital Financial Services (DFS): A Study in Uganda

2021 ◽  
Vol 14 (9) ◽  
pp. 393
Author(s):  
Jimmy Ebong ◽  
Babu George
Keyword(s):  
Risk Reduction ◽  
Consumer Protection ◽  
Financial Services ◽  
Rate Of Change ◽  
Financial Inclusion ◽  
Banking Services ◽  
Mobile Money ◽  
Financial Crimes ◽  
Fast Pace ◽  
Additional Channel

This study unravels trends and momentum in banking and mobile money channels and uptake of select services and thereafter draws implications for enhancing financial inclusion through Digital Financial Services (DFS). The Rate of Change (ROC) approach was applied to analyze the growth momentum in banking and mobile money channels in Uganda. Implications for growth momentum in banking and mobile money channels for DFS and financial inclusion was drawn from observing and making informed interpretation of such observed trends and momentum. The findings of this study imply that banks must innovate to increase their contribution towards enhancing financial inclusion. Additional channel innovations, which may infuse banking and mobile money channels, are needed for banking to leverage on growth of mobile money and regain its role in enhancing financial inclusion. Leveraging the application of digital innovations in services such as payments and digitizing alternative channels such as agent banking are likely to increase efficiencies in physical channels and the provision of banking services and thereby increase overall reach and penetration of banking. The fast pace of mobile money penetration is good for speeding up financial inclusion. However, this calls for better regulatory approaches for DFS risk reduction, consumer protection, and protecting mobile money against integrity and financial crimes.

Mobile money adoption and usage and financial inclusion: mediating effect of digital consumer protection

2020 ◽  
Vol 22 (3) ◽  
pp. 157-176
Author(s):  
George Okello Candiya Bongomin ◽  
Joseph Mpeera Ntayi
Keyword(s):  
Consumer Protection ◽  
Financial Services ◽  
Structural Equation ◽  
Partial Least Square ◽  
Financial Inclusion ◽  
Least Square ◽  
Mediating Effect ◽  
Content Type ◽  
Mobile Money ◽  
The Relationship

Purpose Drawing from the argument that mobile money services have a significant potential to provide a wide range of affordable, convenient and secure financial services, there have been rampant frauds on consumers of financial products over the digital financial platform. Thus, this study aims to establish the mediating effect of digital consumer protection in the relationship between mobile money adoption and usage and financial inclusion with data collected from micro small and medium enterprises (MSMEs) in northern Uganda. Design/methodology/approach To achieve the main objective of this study, a research model was developed to test for the mediating effect of digital consumer protection in the relationship between mobile money adoption and usage and financial inclusion. The data were collected from MSMEs and structural equation modelling in partial least square (PLS) combined with bootstrap was applied to analyze and test the hypotheses of this study. The direct and indirect effect of mobile money adoption and usage on financial inclusion was tested through digital consumer protection as a mediator variable. Findings The findings from the PLS-structural equation modelling (SEM) showed that mobile money adoption and usage has both direct and indirect effect on financial inclusion. Moreover, financial inclusion is influenced by both mobile money adoption and usage and digital consumer protection. Research limitations/implications The study used partial least square (PLS-SEM) combined with bootstrap confidence intervals through a formative approach to establish the mediating effect of the mediator variable. Hence, it ignored the use of covariance-based SEM and the MedGraph programme. Furthermore, data were collected from samples located in Gulu district, northern Uganda and specifically from MSMEs. This limits generalization of the study findings to other population who also use mobile money services. Practical implications Promoters of digital financial services, managers of telecommunication companies, and financial inclusion advocates should consider strengthening the existing digital consumer protection laws on the mobile money platform. A collaborative approach between the mobile network operators, financial institutions and regulators should tighten the existing laws against mobile money fraudsters and an efficient mechanism for recourse, compensation and remedy should be set up to benefit the victims of frauds and cybercrime on the Fintech ecosystem. Originality/value The current study gives a useful insight into the critical mediating role of digital consumer protection as a cushion for promoting financial inclusion through mobile phones over the Fintech that face great threat and risk from cyber insecurity.

scholarly journals (The Role of Financial Inclusion in Providing Protection to Beneficiaries of Financial Services in the Palestinian Banking Sector (2013/2017: دور الشمول المالي في توفير الحماية للمستفيدين من الخدمات المالية في القطاع المصرفي الفلسطيني- الفترة (2013- 2017)

2019 ◽  
Vol 3 (6) ◽  
Author(s):  
Yasser Ahmed Shaheen
Keyword(s):  
Consumer Protection ◽  
Financial Services ◽  
Financial Stability ◽  
Banking Sector ◽  
Secondary Data ◽  
Financial Education ◽  
Financial Inclusion ◽  
Banking Services ◽  
Degree Of Protection

  The study aimed at examining some of the indicators of financial inclusion in the Palestinian banking sector through published secondary data on the Palestinian banking sector during the period (2013- 2017), as well as to measure the degree of protection for beneficiaries of financial services in the Palestinian banking sector. The researcher used the descriptive analytical method to suit the purposes of the study. The secondary data published and prepared by the researcher were used to examine the state of financial coverage in the banking sector. A questionnaire has been designed for the purpose of collecting preliminary data regarding the level of protection provided by the banking sector to users of financial banking services through 8 areas of protection developed after reference to literature and previous studies. The study population consisted of all the beneficiaries of banking financial services in the West Bank. In view of the large size of the study society, a soft sample of (100) conditional on the characteristics of the respondents was used in terms of (banking culture, years of experience in dealing with banks, Sectoral& banking diversification).The researcher reached the following results: - The Palestinian banking sector promotes the reality of financial inclusion, which contributes significantly to enhancing financial stability. Where banks are strengthening protection for users of banking services, although the level of protection was average (2.78) overall score through the eight areas covered by the study. - The regulatory and supervisory role of the Palestinian Monetary Authority in this important sector was medium. Consumer protection bodies are required to have an active and proactive role to organize the required protection. The researcher recommended the importance of financial education to improve the financial personality of individuals and institutions, help them understand their rights and duties in dealing with the services discharged, the importance of the consumer protection associations roles in enhancing banking protection.    

scholarly journals The Diffusion of M-Pesa in Developing Countries: Convergence Program Lead Vodafone Albania Sh.a, Tirane, Albania

2019 ◽  
Vol 5 (2) ◽  
pp. 43
Author(s):  
Elvis Bregu ◽  
Bitila Shosha
Keyword(s):  
Developing Countries ◽  
Case Studies ◽  
Financial Services ◽  
Financial Inclusion ◽  
Review Of The Literature ◽  
Banking Services ◽  
Mobile Money ◽  
The Way

The purpose of this study is to investigate whether this kind of innovative service was successful in all developing countries. Prior to the introduction and implementation of M-Pesa, people used a variety of formal and informal channels to save or send money to others. It is supposed that through mobile money technology, the population currently out of the reach of financial services will be integrated as formal players into the market and that informal ways of transferring money will be reduced (Jenkins, 2008). Financial inclusion is an issue that has gathered a lot of attention among policymakers and researchers and is referred to as a process that guarantees ease on access, availability and also the usage of banking services for all householders of a country (Sarma, 2010). Without doubt, the introduction of M-Pesa in Kenya has deeply changed the way through which transactions occur. Based on the review of the literature but also the case-studies on the application of M-Pesain Albania and other countries, at the end of the paper we give some important conclusions.

scholarly journals EFFECT OF MOBILE MONEY SERVICES ON KENYA’S FINANCIAL INCLUSION

2019 ◽  
Vol 4 (2) ◽  
pp. 1
Author(s):  
Vincent Wakaba ◽  
Dr. Joshua Matanda Wepukhulu
Keyword(s):  
Financial Services ◽  
Social Scientist ◽  
Secondary Data ◽  
Target Population ◽  
Financial Inclusion ◽  
Unique Contribution ◽  
Banking Services ◽  
Mobile Money ◽  
Review Period ◽  
Statistical Approaches

Purpose: The main objective was to determine the effect of Key mobile money services on financial inclusion in Kenya. Materials and Methods: The study adopted a census research design. The target population was limited to the 4 firms (Safaricom, Airtel, Equity and Telkom) providing mobile money services in Kenya.  The study relied on secondary data. The study review period was between 2013 and 2018. Descriptive statistical approaches, regression and correlation analysis was used to analyze secondary data. Data was analyzed quantitatively by use of SPSS (Statistical Package for Social Scientist) V21 program. Results: The study established that the Mobile money deposit services, Mobile money saving services, Agency banking services and Mobile bill payment services positively and significantly affected Kenya’s financial inclusion. Unique contribution to theory, practice and policy: The study recommends that the providers of mobile money services should increase accessibility of these services to citizens since their continued usage leads to positive and significant growth of Kenya’s financial inclusion. The providers can achieve this by encouraging many citizens to be their agents in offering the services. Availability of many agents acting on behalf of the mother company in various parts of the country increases the levels of access of the financial services. Key words: Deposit Services, Saving Services, Agency Banking Services, Mobile Money Financial Inclusion

scholarly journals Improving the Use of Islamic Banking Services in Financing Investment Projects in Uzbekistan

2021 ◽  
Vol 11 (2) ◽  
pp. 2205-2220
Author(s):  
Dilmurod Yusupaliyevich Khujamkulov ◽  
Ruhiddin Khusniddin Ogli Zayniddinov ◽  
Dilmurod Rakhmatullayevich Ergashev ◽  
Mamajon Akhmatjonovich Mamatov ◽  
Khusniddin Fakhriddinovich Uktamov
Keyword(s):  
Financial Services ◽  
Financial Inclusion ◽  
The Other ◽  
Islamic Banking ◽  
Major Objective ◽  
Banking Services ◽  
Investment Projects ◽  
Conventional Banks ◽  
Religious Reasons ◽  
Formal Finance

Financial inclusion is remained low level by the majority of households and firms in Uzbekistan, instead of using formal finance, they are more partial to save and borrow informally. In this case, both indicate the high cost of finance as the top reason for not using it. Moreover, households, which are mostly Muslim, declare that religious reasons prevent them from using formal finance, as only conventional finance is available. The result of the survey was passed between a number of households and entrepreneurs that most of them claimed to use Islamic banking products. On the other hand, there are not created main mechanisms, infrastructure, and other important devices to regulate Islamic banking services in the country. The major objective of this study was to investigate there were used some Islamic banking products under some conventional banks for two decades and we have discussed the empirical experiences in Uzbekistan as well as given recommendations for improving the use of Islamic financial services related to foreign experiences and the result of the survey.

scholarly journals The Nexus between Mobile Money Regulation, Innovative Technology and the Promotion of Financial Inclusion in Zimbabwe

2021 ◽  
Vol 24 ◽  
pp. 1-33
Author(s):  
Howard Chitimira ◽  
Elfas Torerai
Keyword(s):  
Low Income ◽  
Rural Areas ◽  
Financial Services ◽  
Banking Sector ◽  
Regulatory Framework ◽  
Financial Inclusion ◽  
Innovative Technology ◽  
Technological Innovations ◽  
Mobile Money ◽  
The Poor

The advent of mobile money innovations has given people in rural areas, informal settlements and other poor communities an opportunity to participate in Zimbabwe's mainstream financial economy. However, the technology-driven money services have presented some challenges to the traditional banking sector in general and the regulation of financial services in particular. Firstly, most mobile money services are products of telecommunication corporations, which are not banks. Telecommunication companies use their network reach to provide mobile money services via mobile devices at a cheaper cost than banks across the country in Zimbabwe. As such, banks face unprecedented competition from telecommunications companies that are venturing into financial services. It also appears that prudential regulation of banks cannot keep up with the fast pace at which technological innovations are developing and this has created a disjuncture between the regulation and the use of technological innovations to promote financial inclusion in Zimbabwe. The Banking Act [Chapter 24:20] 9 of 1999, the Reserve Bank of Zimbabwe Act [Chapter 22:15] 5 of 1999 and the National Payment Systems Act [Chapter 24:23] 21 of 2001 have a limited scope in terms of the regulation of mobile money services in Zimbabwe. The Ministry of Finance and Economic Development launched the National Financial Inclusion Strategy (NFIS) 2016-2020 to provide impetus to the financial inclusion of the poor, unbanked and low-income earners in Zimbabwe. However, the NFIS appears to push more for bank-led financial inclusion than it does for innovation-driven initiatives such as mobile money services. This article highlights the positive influence of mobile money services in improving financial inclusion for the poor, unbanked and low-income earners in Zimbabwe. The article also seeks to point out gaps and flaws in the financial services regulatory framework that may limit the potential of mobile money services to reach more people so that they actively participate in the Zimbabwean economy. It is submitted that the Zimbabwean mobile money services regulations and the financial regulatory framework should be carefully amended in line with the recent innovations in mobile money to adequately regulate the use of mobile money services and innovative technology to address the financial exclusion of the poor, unbanked and low-income earners in Zimbabwe.

scholarly journals Innovations in emerging markets: the case of mobile money

2019 ◽  
Author(s):  
Adeline Pelletier ◽  
Susanna Khavul ◽  
Saul Estrin
Keyword(s):  
Developing Countries ◽  
Emerging Markets ◽  
Transaction Costs ◽  
Emerging Economies ◽  
Financial Services ◽  
Spillover Effects ◽  
Financial Inclusion ◽  
Legal Rights ◽  
Mobile Money ◽  
Policy And Strategy

Abstract Mobile money is a financial innovation that provides transfers, payments, and other financial services at a low or zero cost to individuals in developing countries where banking and capital markets are deficient and financial inclusion is low. We use transaction costs and institutional theories to explain the growth and impact of mobile money. Having developed a new archival dataset that tracks mobile money deployment across 90 emerging economies during 16 years between 2000 and 2015, we address the question of relative economic impact of the banking and telecoms sectors in the provision of mobile money. We show that telecom groups and not banks are more likely to launch mobile money in countries where legal rights are weaker and credit information less prevalent. However, it is when mobile money is offered via a banking channel that the spillover effects on the economy are greater. Findings have significant implications for policy and strategy.

scholarly journals USO DE LOS SERVICIOS FINANCIEROS. ESTUDIO EMPÍRICO EN ESTUDIANTES UNIVERSITARIOS

2017 ◽  
Vol 2 (1) ◽  
pp. 581
Author(s):  
Milka Elena Escalera-Chávez ◽  
Esmeralda Tejada-Peña ◽  
Arturo García-Santillán
Keyword(s):  
Economic Development ◽  
Empirical Study ◽  
Financial Services ◽  
Financial Inclusion ◽  
Public And Private ◽  
Banking Services ◽  
Frequency Of Use ◽  
Banking Institutions ◽  
Upper Level ◽  
Estudiantes Universitarios

Abstract.USE OF FINANCIAL SERVICES EMPIRICAL. STUDY IN UNIVERSITY STUDENTS.The financially included population has access to banking services, hence this insertion favors the economic development of the population, however there are many people who do not use formal financial services, including students. For this reason, the objective of this work was to identify the frequency with which the upper level students of Tuxtepec Oaxaca access the financial services offered by the Banking Institutions. The sample is made up of 800 upper level students who belong to 8 public and private universities in Tuxtepec Oaxaca. The frequency of use of financial services was checked by means of the test. The results show that students use the financial services offered by Banking Institutions. However, it is important to reiterate that some students do not resort to the financial system, this proportion of the population being an area of opportunity for the process of financial inclusion in Mexico.Key Words: Use, Financial Services, University Students.Resumen.La población incluida financieramente accede a los servicios bancarios, de ahí que ésta  inserción favorece el desarrollo económico de la población, sin embargo existen muchas personas que no  utilizan  los servicios financieros formales, incluyendo a los estudiantes. Por este motivo, el objetivo de este trabajo fue identificar la frecuencia con la que los estudiantes de nivel superior de Tuxtepec Oaxaca acceden a los servicios financieros que ofrece las Instituciones Bancarias. La muestra está conformada por 800 alumnos del nivel superior que pertenecen a 8 universidades públicas y privadas de Tuxtepec Oaxaca. Se  comprobó por medio de la prueba t la frecuencia del uso de los servicios financieros. Los resultados muestran que los estudiantes usan los servicios financieros que ofrecen las Instituciones Bancaria. Sin embargo, es importante reiterar que algunos estudiantes no recurren al sistema financiero, siendo esta proporción de la población un área de oportunidad para el proceso de inclusión financiera en México.Palabras Claves: Uso, Servicios Financieros, Estudiantes Universitarios.

scholarly journals A GLIMPSE INTO THE LEVEL OF FINANCIAL INCLUSION IN TRIPURA

2020 ◽  
pp. 1-5
Author(s):  
Sayan Saha ◽  
Kiran Shankar Chakraborty
Keyword(s):  
Financial Services ◽  
Composite Index ◽  
Secondary Data ◽  
State Level ◽  
Pilot Project ◽  
Financial Inclusion ◽  
Vulnerable Groups ◽  
Annual Reports ◽  
Banking Services ◽  
Reserve Bank

The term ‘Financial Inclusion’ signifies a process of ensuring delivery of financial services as well as banking services to the vulnerable groups at the point of need, adequately at an affordable cost. The concept of ‘Financial Inclusion’ was accentuated in 2003 by Kofi Annan, former General Secretary of United Nations. Such, efforts were undertaken by the Reserve Bank of India (RBI) in 2005 and the said policy as already mentioned in a pilot project was first implemented by Indian Bank. Probably, by implementing such policy resolution a vast section of the rural disadvantaged people in India was gradually coming under the ambit of formal banking services. The main aim of this paper is to assess the level of financial inclusion in Tripura based on composite Index. The study conducted in the four districts of Tripura state. The present study relies on secondary data. Secondary data collected from State Level Bankers’ Committee Reports, NEDFi databank, Economic Reviews and RBI Annual Reports. Through this paper Index of Financial Inclusion (IFI) has been used to assess the level of financial inclusion in Tripura.

scholarly journals The Role of Digital Consumer Protection in Mediating the Effect of Mobile Money usage towards Financial Inclusion: an Evidence from Buleleng, Indonesia

2021 ◽  
pp. 195-207
Author(s):  
Luh Regita Eka Pratiwi ◽  
Astrie Krisnawati
Keyword(s):  
Consumer Protection ◽  
Sampling Technique ◽  
Poverty Rate ◽  
Financial Inclusion ◽  
High Poverty ◽  
Mobile Money ◽  
Current Utilization ◽  
High Poverty Rate ◽  
Process Method

The current utilization of digital services especially in finance sector among the productive age communities is increasing. Mobile money utilization and the implementation of a digitalization system in the financial sector are expected to increase financial inclusion. By increasing financial inclusion, the poverty rate is also expected to be reduced. Buleleng Regency is one of regency in Bali Province, Indonesia which has a high poverty rate. It is necessary to increase financial inclusion through mobile money usage. However, it is also necessary to increase consumer protection to support this digitalization. This research aims to determine the effect of mobile money usage on financial inclusion with digital consumer protection as a mediator in productive age communities in Buleleng Regency, Bali, Indonesia. The population of this research consists of 439,400 people from productive age group in Buleleng Regency, Bali, Indonesia. This research used a non-probability sampling technique with the total of 477 samples. This research applies the Sobel test, Baron and Kenny’s mediation analysis, and the PROCESS method by Hayes. The results of this study show that digital consumer protection partially mediates the effect of the mobile money usage on financial inclusion in Buleleng Regency, Bali, Indonesia. Based on the results of this study, it is suggested to regulators and related agencies in Indonesia to show more attention about the safety factors of mobile money users by strengthening consumer protection in terms of both regulation and the system reliability. Furthermore, it is also necessary to develop education programs on how to manage finance properly by using mobile money in order to improve people’s welfare.

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