12 Sep Mobile Money for eCommerce Emerging Market Online Payment – Africa focus

Africa has more than 900m mobile consumers which is almost as many people as are on the African continent.  There are many mobile money services in the rest of the world but none of them as successful as M-Pesa’s market adoption and penetration in Kenya.

GMSA states that in 2014 there were 255 mobile money services in 89 countries worldwide.  In emerging markets mobile money is the most prevalent way of transacting as compared to developed markets where traditional banking has the lion’s share.  

Mobile money is most pervasive in Sub-Saharan Africa followed by South East Asia and LATAM.  Interoperability is critical to mobile adoption and penetration and governments, telcos and banking operators work together in the most successful regions to create a seamless and well regulated but expansive network.

Banking and telecoms are sometimes reluctant bedmates and this combined with regulatory constraints has had a retarding influence on mobile money growth around the world.  M-Pesa mobile and now an online payment through African Payment Solutions slipped through the cracks with development aid support promoting financial inclusion, government backing in an unregulated financial environment.

Twenty million Kenyan consumers with access to the internet consumers can now use their M-Pesa mobile money account to buy international goods and services online with merchants linked to African Payment Solutions payment methods.