JOHANNESBURG – MOBILE Money is projected to play a key role in global remittances in the coming years, according to an online remittance service firm.
WorldRemit said this would culminate in affordability and speed of services.
“Mobile Money will play a pivotal role in global remittances, helping to reduce fees, improve speed and convenience for users.
“Most importantly, Mobile Money is a key enabler of financial inclusion,” said Alix Murphy, Senior Mobile Analyst at WorldRemit.
She pointed out that there were currently 2,5 billion unbanked people in the world.
Some 1 billion of these already have access to a mobile phone and so a potential means of accessing financial services.
Her sentiments follow projections by World Bank global remittances will grow slowly in the current year but to accelerate in 2016.
Global remittances are projected to reach $586 billion in 2015, at a slower growth rate of 0,4 percent due to economic conditions.
However, remittances are expected to accelerate again to reach an estimated $636 billion in 2017.
Remittances to Sub-Saharan Africa are projected to reach $33 billion in 2015.
Growth in the region is expected to be at 0,9 percent in 2015.
– CAJ News