Banking On the Go
IMF Blog, June 23, 2017
Source details
- Canonical URL
- Banking On the Go
Other formats
Bibliographic details
- Authors: The Editors
- Published: June 23, 2017
Overview
- Publication date: June 23, 2017
- Topic: Mobile banking and digital financial inclusion, focused on Paga, a Nigeria-based mobile payment platform founded in 2012.
- Key message: Paga is rapidly bringing millions of unbanked Nigerians into the banking fold and influencing national discussions on regulation, privacy, and financial data collection.
Scale and access to financial services
- Worldwide, more than two billion people are without bank accounts.
- Only one in three adults in sub-Saharan Africa has access to any type of financial services.
- Paga reports having six million customers who are using its services to perform transactions on a daily basis.
Impact on Nigeria’s economy and labor market
- Paga has risen to the center of economic activity in Nigeria since it started in 2012.
- The platform is helping to provide jobs and expand access to financial services, particularly among youth.
Demographics and user behavior
- About 54 percent of Nigeria’s population are below the age of 33.
- Younger users are described as more comfortable online, while adults are more likely to prefer going to an agent for services.
Data, privacy, and regulation
- Paga collects substantial financial data on its mobile platform.
- Key policy considerations highlighted:
- The need to think about privacy and the correct handling of collected data.
- Ensuring that regulation protects people.
- Using data collection to inform improvements in banking regulations and privacy and protection laws.
Outreach and further discussion
- Reference to a webcast of the IMF/World Bank 2017 Spring Meetings seminar on digital financial inclusion in Africa.
- Mention of IMF Managing Director’s recent blogs on financial technology—fintech.
Source: Banking On the Go (IMF blog), June 23, 2017.
