Nigeria’s long awaited foray into the Mobile Money Transfer (MMT) terrain has begun. As many as two thirds of mobile phone users in Nigeria who do not currently access formal financial services, with majority of them living in rural communities and fringe urban areas may now have a new time with the introduction of mobile cash . While this may create more jobs, it is also safe and fast! KEHINDE OLESIN reports

The idea is not new. Even in Africa, MPesa has reached out to millions of people. M-PESA is a branchless banking service, meaning that it is designed to enable users to complete basic banking transactions without the need to visit a bank branch. The continuing success of M-PESA, especially, in Kenya, has been due to the creation of a highly popular, affordable payment service with only limited involvement of a bank. The system was developed and ran by Sagentia from initial development to the 6 million customer mark. The service has now been transitioned to be operationally run by IBM Global Services on behalf of Vodafone, the initial 3 markets (Kenya, Tanzania & Afghanistan) are hosted between Rackspace and Vodafone.

In September 2010, Vodacom and Nedbank announced the launch of the service in South Africa where it is estimated that there are more than 13 million “economically active” people without a bank account.

However, the success of the mobile cash wave which has just got to Nigeria will be determined by existing fundamentals.

Many financial and telco companies are already involved in the business. For example, GTBank Plc entered into a strategic partnership with MTN Nigeria and Fortis Microfinance Bank , to launch Mobile Money. Mobile Money is targeted at the over 65% unbanked population of the county.

Managing Director/Chief Executive Officer, GTBank Plc, Mr. Segun Agbaje, said that Mobile Money will help mobilise funds from the unbanked and channel the funds to productive sectors of the economy where the funds are needed. Mobile Money, he said, will afford subscribers the opportunity to transfer money, pay bills, top up on airtime and shop from their mobile phones, among others.

According to him, financial inclusion is what the product is about, especially as it will help bring the unbanked into the banking system, through simple technological inputs and devices. Financial inclusion will help drive the growth and development of the Nigerian economy, as funds will be made available to critical sectors in need of funding. Nigerian mobile money model according to Agbaje is different from others around the world and is designed to provide immense benefits for the economy

It will hardly work in Nigeria because Banks and ATMs are every where. It works well in an environment where banks and other banking services are difficult to access, so the mobile money becomes the bank the people know about. Look at the cashless economy that the CBN is trying to introduce, how well is it working? Something drastic has to happen before mobile money can work, as long as there are readily available alternatives to saving and withdrawing cash, it will not work(Nigerians won't consider it).

I went to 4 ATM points 2day and dey were outta service... I used my Mobile to recharge N750 MTN Credit through my 1st Bank Mobile platform and i wasn't Credited:some of the constraints that would be experienced".. But am still enjoying my Mobile banking sha.. Cuz I just cant standing in da bank anymore...

Too busy!!!

Mobile Money is going to work in Nigeria, the Target is actually for the unbanked sector and the semi banked, i went through the frame work and they actually have good ideas about Mobile money.the question is how many Nigerians have Bank accounts compared to the ratio of those that don't ? what about those in the villages ? from what i understand its a better way of sending money to people accross Nigeria without the hassel of having to go to the banking hall, and its not everyone that has access to internet to do internet banking. After reading the frame work, i got so interested that i stopped over at one of the mobile money companies somewhere in V.I (92A YOUNIS BASHORUN STREET OFF AJOSE ADEOGUN and their name is EZPAYAFRICA )to be particular and believe me, i was impressed by their services and platforms. you can do everything from the comfort of your home, with the services they told me about, i don't even need to go to the ATM, i can operate my account from my phone regardless of the kind or model of phone and theirs work on all networks. i even tried alot of it in my phone and was happy. it should be a welcome idea in Nigeria.

only time will tell. I support the idea. It is innovative and I welcome all things innovative and positive.

An interesting article worth reading:Domestic Violence-The Problem Pervading Nigeria

http://thinkafricapress.com/nigeria/domestic-violence-problem-pervading

Can anyone explain how it works?

it will succeed.
just like the advent of anything new in Nigeria in terms of technology there is always the teething period after which it will be full trottle for all involved.
Stanbic has its own Mobile Money Platform too which is very robust presently.
the only constraint may come from the telco side, which I sense they too are beginning to invest heavily into as well.

Yeske!:
Can anyone explain how it works?

The mobile money i know about like i said is called ezpayafrica, here you can pay all your bills like Dstv, phcn, flights.
you can also send money to any one at anytime and you can top-up your credit from any telco like MTN, GLO, AIRTEL AND ETISALAT. i don't know everything but the ones i remember from my meeting with them is what i am putting down.
TO reigister with them, all you need to do is send: reg.<firstname><space><lastname> to 08103093020,e.g ( reg.wale okon ) to 08103093020. after this, you will get an IVR call asking you to put a 6 digit pin that you will never forget, just like you have a pin for your ATM Cards.when you do so, the call will be cut off and the you get a welcome confirmation SMS. to know more about thier services, you can send menu to the same number to a list will be sent for you, but for everytime you want to do anything, that machine call ( IVR ) will call your phone asking you to put that your 6 digit pin. They also have a way of loading your phone with the amount of money you request through the bank, but they call it voucher. well thats all i can remember, if i remember more, i will come back, but it was a nice experience.unlike other mobile money i have seen that will ask you to download the appplication to your phone, ezpayafrica, you don't need to download anything, it works authomatically with any model of phone including nokia 3310. thats all i remember or rather thats all i did.

dazzle37:

The mobile money i know about like i said is called ezpayafrica, here you can pay all your bills like Dstv, phcn, flights.
you can also send money to any one at anytime and you can top-up your credit from any telco like MTN, GLO, AIRTEL AND ETISALAT. i don't know everything but the ones i remember from my meeting with them is what i am putting down.
TO reigister with them, all you need to do is send: reg.<firstname><space><lastname> to 08103093020,e.g ( reg.wale okon ) to 08103093020. after this, you will get an IVR call asking you to put a 6 digit pin that you will never forget, just like you have a pin for your ATM Cards.when you do so, the call will be cut off and the you get a welcome confirmation SMS. to know more about thier services, you can send menu to the same number to a list will be sent for you, but for everytime you want to do anything, that machine call ( IVR ) will call your phone asking you to put that your 6 digit pin. They also have a way of loading your phone with the amount of money you request through the bank, but they call it voucher. well thats all i can remember, if i remember more, i will come back, but it was a nice experience.unlike other mobile money i have seen that will ask you to download the appplication to your phone, ezpayafrica, you don't need to download anything, it works authomatically with any model of phone including nokia 3310. thats all i remember or rather thats all i did.

Just curious, why cant debit cards be used in this scenario?

Great idea if only the many Nigerian factors on ground will make it work.

Mobile money payment service in Nigeria is a laudable idea. Given the economic terrain and the present CBN stance as regards Cash based transactions, this payment medium has well above average chance of being successful.

Project Cashlite by CBN clearly pegs cash withdrawal via bank and ATM at 150k per day for individuals (if you do more than that, you will get charged).

Hence the idea of mobile money becomes quite attractive. Already the options for funds transfer or payment are being restricted to electronic modules.

I have actually heard of Ezypayafrica, just like pocketmoni.

Has anybody here tried that self registration described in previous post?

Are you advertising your service?Mobile money can't work in Nigeria.

dazzle37:

The mobile money i know about like i said is called ezpayafrica, here you can pay all your bills like Dstv, phcn, flights.
you can also send money to any one at anytime and you can top-up your credit from any telco like MTN, GLO, AIRTEL AND ETISALAT. i don't know everything but the ones i remember from my meeting with them is what i am putting down.
TO reigister with them, all you need to do is send: reg.<firstname><space><lastname> to 08103093020,e.g ( reg.wale okon ) to 08103093020. after this, you will get an IVR call asking you to put a 6 digit pin that you will never forget, just like you have a pin for your ATM Cards.when you do so, the call will be cut off and the you get a welcome confirmation SMS. to know more about thier services, you can send menu to the same number to a list will be sent for you, but for everytime you want to do anything, that machine call ( IVR ) will call your phone asking you to put that your 6 digit pin. They also have a way of loading your phone with the amount of money you request through the bank, but they call it voucher. well thats all i can remember, if i remember more, i will come back, but it was a nice experience.unlike other mobile money i have seen that will ask you to download the appplication to your phone, ezpayafrica, you don't need to download anything, it works authomatically with any model of phone including nokia 3310. thats all i remember or rather thats all i did.

Thanks but it's still all fuzzy. Really need to be educated.

This ezaypayafrica thing surely looks promising. I particularly like the fact that it can work on any phone, unlike the usual java enabled phones that other mobile money platforms usually require.

More feedback from users of it will be appreciated.

Yeske!:
Thanks but it's still all fuzzy. Really need to be educated.

simply put, its like being able to use the credit on ur fone to pay for goods and services, or conversion to cash.

The "credit" can also be xfered from user to user, or loaded/withdrawn with the assistance of agents.

Update: i've just gone thru their faqs @ their website, and i must say i'm very impressed with what i saw.

Particularly intruging is the fact that one doesn't need to have a formal bank account. . . that will be a definite plus for those in the rural areas.

Still awaiting more feedback though. . .

I think with time it will come to stay....

I believe it will work, a friend just introduced me to the ecobank mobile banking to be launched soon and to me its exciting. given that you dont need to have an account with the bank, i believe it will make the product popular. . moreover one can register with any type of phone from anywhere and anytime by just dialling *326# from a glo or etisalat line for now.

Sky-walker:


Just curious, why cant debit cards be used in this scenario?

No debit cards can't work like that because debit card can't send instant money to your relative in a remote village, but if your relative has a phone,the person can get the instant money and then do what is called a cash-out from the palmwine seller next door that has been train to be an agent.

like doofanc said, i have gone through their website today and all the information there is comforting that it can work.
check out : www.ezpayafrica.com

yamakuza:

simply put, its like being able to use the credit on ur fone to pay for goods and services, or conversion to cash.

The "credit" can also be xfered from user to user, or loaded/withdrawn with the assistance of agents.

Thanks joor

Place all of your adverts/marketing or find anything you want here www.ads-land.com with its fast growing network and over 100000 visitors a day let your customers find you.
www.ads-land.com

sunkyg: Place all of your adverts/marketing or find anything you want

hmmn.

i thot as much.

Kudos!

hey yamakuza..you here..yes i did something..but am stuck now..how have you been