1.Mobile Banking in Developing Countries:
Financial Power
to the People
Justin Bean
Jake Blackshear
SeMe Sung

2. Background
Percentage of households with access to banking
Image source: World Bank
3. Background
Financial barriers are a serious problem for firms in developing countries
Image source: Finance for All, World Bank
4. Background
The missing middle (loans of $5,000 - $500,000) faces the highest barriers to finance.
Image source: Finance for All, World Bank
5. Background
Access to finance reduces inequality
Image source: Finance for All, World Bank
6. Background
Mobile Subscription Rates & Growth
Image sources: International Telecommunications Union
7. Background: Regions
Image sources: Sources: ITU (2010); Global Entrepreneurship Monitor (2009); World Bank (2008).
8. Background: Regions
Image sources: Sources: ITU (2010); Global Entrepreneurship Monitor (2009); World Bank (2008).
9. Background: Regions
Image sources: Sources: ITU (2010); Global Entrepreneurship Monitor (2009); World Bank (2008).
10. How Mobile Banking Works
1. cash to e-float
2. e-float to e-wallet
3. e-wallet to e-float
4. e-float to cash
Image sources: ShaswatPatel, Christian Science Monitor
11. Barrier: Liquidity Management
Travel times and cost
Personal harm or robbery
Employee malfeasance
High working capital
Image sources: The Economist, The Huffington Post
12. Recommendation: Liquidity Management
Secure Infrastructure
Secure Loans for Agents
Image source: The Economist
13. Barrier: Interoperability
Banks: Different mobile money platforms
Phones: Different handset technologies
Image source: David Ajao blog
14. Recommendation: Interoperability
Banks: Different mobile money platforms
Phones: Different handset technologies
Image source: David Ajao blog
15. Barrier: Fraud

Growing concern for mobile banking networks.

16. Cost MPESA 21m KES (.006% of all transactions to date). 17. Tumbling fools the validation process. 18. Counterfeit MPESA ID badges and impersonation used to defraud agents.