Financial Inclusion: Using Mobile Phones To Provide Banking Solution To The Under-banked In Nigeria

Financial Inclusion: Using Mobile Phones To Provide Banking Solution To The Under-banked In Nigeria

Abstract

Mobile banking system as an innovative product of marketable banks and telecommunication companies has come an important practice in Nigeria. The preface of this telephoning banking system has ameliorate banking effectiveness in rendering services to client, as a result, the study examined inclusive fiscal result using mobile phones to give fiscal results to the “ unbanked ”. The study espoused a share slice fashion, data was collected by means of questionnaires from the residers of Ikorodu North Local Government Area and its outskirts( i.e. the townlets and remote areas girding that axis) – 700; the staff of the MTN Mobile Nigeria Limited, Lagos office – 300; and cooperative staff of Guaranty Trust BankPlc., Lagos head office – 300. The result shows that mobile banking does give fiscal result to the “ unbanked ” in Nigeria. Hence, there is a explosively positive relationship between independent and dependent variables. In other words, mobile banking is a dependable and effective means through which the “ unbanked ” are being handed with fiscal results.

To this end, it’s hereby recommended that mobile communication diligence(e.g.MTN Mobile Money) in collaboration with banking associations should endeavour to make available to low income earners, especially the “ unbanked ” or “ under- served ” affordable mobile phones enabled with ultramodern internet access and widgets. also, network providers should endeavour to extend their network services to the inward corridor of the pastoral areas, by planting their masts in all strategic areas of townlets girding Nigeria so as to insure effectiveness of this invention. latterly, banking organisations are advised to reduce their charges and freights so as to encourage the fearful “ unbanked ” open accounts and continue to enjoy banking products and services, so as to impact better on their lives through mobile phone system of banking of furnishing fiscal results and that delicate operation processes and procedures for account opening through mobile banking should be simplified in order to accommodate the stark illiterate among them.