There are now more than half a billion mobile money accounts in the world
By the end of today, you'll probably have used your bank account — maybe to buy groceries, pay rent, or send money to a friend. Even better, to receive your salary. It's something many of us take for granted.
However, for more than a billion people globally, transactions only happen with cash. That means carrying around physical notes and coins, traveling long distances just to send or receive money, and facing the constant risk of losing it or having it stolen. The absence of formal banking services adds yet another hurdle for people trying to escape poverty.
But in recent years, “mobile money” has transformed how many people access financial services. Mobile money differs from traditional bank accounts; you don’t need a physical bank branch or even an Internet connection. Instead, you use text messages for services like deposits, transfers, and payments via a mobile phone. In this sense, it’s not the same as standard Internet banking, which many of us now use for most transactions.
The Growth of Mobile Money
In 2010, there were just 13 million mobile money accounts in the world, fewer than the population of my home country, the Netherlands. By 2023, this had reached more than 640 million. That’s more than twice the total number of Netflix subscriptions worldwide.
What’s immediately obvious is how much of this growth has come from Sub-Saharan Africa; it’s home to more than half of the world’s accounts. In 2023, there were over 330 million active mobile money accounts in the region; more than one mobile money account for every four people.
What’s changed? One of the obvious drivers of this growth has been the widespread adoption of mobile phones, not just in the richest countries but across the globe. Mobile subscriptions have surged in nearly every region.
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