Mobile Money Overtakes Cash in Somalia
Use of mobile money has overtaken use cash in Somalia with over $2.7 Billion being transacted monthly.
A report by the World Bank has found that close to 155 million mobile transactions are carried out every month, making the country one of the most active mobile money users in the world.
Lead ICT policy specialist at the World Bank Tim Kelly says private sector actors have given Somalia a unique opportunity to leapfrog towards widespread financial inclusion saying that the World Bank will continue to support the partnership between the Central Bank of Somalia, the National Communications Authority and the key private sector actors as they deliberate on an appropriate regulatory framework for the sector.
“Reducing costs and promoting greater stability is a top priority for the overall development agenda for the financial sector, ensuring that regulation does not stifle innovation by levelling the playing field is a very close second,” said Thilasoni Musuku, Senior Financial Sector Specialist at the World Bank Finance,
Media reports by Capital news also indicate that Somalia has overtaken most African countries in mobile money use despite lack of infrastructures that other countries enjoy such as, robust consumer protection and know-your-customer requirements as well as key policies and regulation.
Early 2017 reports by Quantum Global Research Lab had put Somalia at 34 per cent only 3 per cent behind Congo in mobile money usage.