Impact Pathways - Mobile Money

Situational Analysis

Lack of access to financial services in unbanked and underbanked populations may result in:

  • High transaction costs and time lost to make and receive payments and remittances
  • Theft or loss of savings
  • Inability to access capital to grow business activities
  • Increased risk due to lack of access to other financial services such as, insurance coverage

Overview of Mobile Money

Mobile Money allows customers to make and receive money transfers through a mobile phone commonly known as an ‘m-wallet’. this functionality also enables the following services:

  • Bill payments: An ‘over the counter’ service where the agent performs the transaction, or an m-wallet service where the customer performs the transaction. Customers use the service primarily to pay utility bills but may also be able to pay medical bills and school fees.
  • Airtime top-up: ‘Airtime’ is pre-paid mobile phone credit that can be used for voice or SMS communication and is typically purchased from an agent. With a m-wallet, customers can use the stored value in their account to directly purchase airtime from their handset.
  • Money transfer: Transferring cash from person- to-person via m-wallets. The transfers can be recurrent, which function as income support for the recipient, or used to address lump sum needs.

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Enabling environment

Regulatory environment

Financial services regulation; corruption levels

Consumer environment

Financial inclusion rates; consumer attitudes towards Mobile Money

Market environment

Density of banks; quality and affordability of financial services

Supporting infrastructure

Cost or availability of mobile network infrastructure

Mobile penetration

% of population with access to mobile; affordability of mobiles


Customer accounts

# active/registered customers

Person-to-Person (P2P) transfers

Amount transferred P2P through Mobile Money

Bill payment

% using Mobile Money for bill payments; types of bills paid

Airtime top up

Customers’ perception of importance

Agent outlets

# active/registered agents/agent outlets

Balances and values

Value of transfers made and received; average transaction value

Economic and Social



Time/money saved in making payment

Transaction cost; reports of time saved

Increased ease of transaction

Reports of increased transaction ease

Increased accuracy of payments

Reports of increase accuracy, leakage reduction

Increased sense of security

Reports of increased sense of security

Increased sense of empowerment

Reports of feeling empowered and increased self-esteem

Liquidity and cashflow

Perceived impact on customer/agent liquidity

Customer satisfaction

Customer perceptions on quality of service


Increased individual/business income

Reported increases in business turnover and personal income

Increased no. of employees

Impact on local employment levels

Increased amount/frequency of remittances

% increase in remittance frequency; increase in transaction volumes

Increased bank use

Increase in use of formal banking services

Increased spending

Increase in variety of goods purchased

Improved risk resilience

Improved ability to absorb negative shocks

Increased physical/money security

Increased physical/money security

Reports of increased personal safety; reduced chance of theft

% increase in crops grown; food security

% increase in crops grown; food security

Reports of reduced visits


Economic expansion

Employment opportunities, potential GDP increase

Financial capital accumulation

Increase in wealth; ability to accumulate savings

Diversity & equality

Equal access to jobs, benefits and other rights


Reports of greater income control for women


Impact on health for poor/under- privileged

Human capital accumulation

Impact on ability to pay for schooling


Increase in government revenues

Social capital accumulation

Impact on social bonds within communities

Key for Impact Pathway

Indicator (Sources : # of data points)
  • Examples of measurement

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