IN SUB-SAHARAN AFRICA, MOST PEOPLE CAN'T ACCESS BANKS, SO A NEW WAY HAS EMERGED TO MOVE MONEY
WITHOUT THEM.
..THAT'S USING A MOBILE PHONE...
RIGHT, IN UGANDA, MOBILE MONEY SERVICE PROVIDERS ARE RAPIDLY EXPANDING.
AND AS VOA'S PAUL NDIHO RECENTLY REPORTED, PROVIDERS LIKE M-T-N ARE GIVING TRADITIONAL
FINANCIAL INSTITUTIONS "A RUN FOR THEIR MONEY".
MTN MOBILE MONEY IS A VIRTUAL WALLET ON YOUR CELLPHONE, AND IT ENABLES YOU TO SECURELY
SEND MONEY AND RECEIVE MONEY USING THE DEVICE...AND YOU CAN USE THAT MONEY
AT ANY PARTICIPATING STORE TO MAKE PURCHASES OR EVEN WITHDRAW CASH.
I WAS ACTUALLY TAKEN BY SURPRISE.
I DIDN'T KNOW TO WHAT EXTENT MOBILE MONEY HAS PENETRATED THE COUNTRY.
I LITERALLY FIND IT EVERYWHERE YOU GO ESPECIALLY IN THE
CITIES LIKE DOWNTOWN KAMPALA.
EVERY FIVE METERS THERE IS MAYBE TWO OR FIVE STALLS JUST TO TRANSACT BUSINESS THROUGH MOBILE
PHONES.
AND WHAT'S BEHIND THIS TREND.
YOU SPENT TIME, YOU'RE UGANDAN YOURSELF, YOUR PARENTS ARE EVEN USING THE MOBILE MONEY SYSTEM
SO WHY ARE PEOPLE TURNING TO THIS
RATHER THAN USING TRADITIONAL BANKS OR OTHER MONEY SOURCES.
WELL, A COUPLE OF THINGS.
ONE, PEOPLE ARE TIRED OF LINING UP AT THE BANKS.
I TRIED GOING TO THE BANK A COUPLE OF TIMES AND I WAS FRUSTRATED.
IF THEY DON'T KNOW
YOU, IF YOU'RE NOT A REGULAR CLIENT IT TAKES ALMOST FOREVER TO GET SERVED.
SO, I SAID, YOU KNOW WHAT WHY BOTHER WITH THIS SYSTEM IF I CAN WALK DOWN THE STREET
AND
HAVE THE TRANSACTION DONE.
PROSSY, LIKE MANY OTHER PEOPLE IN KAMPALA, IS A SELF-EMPLOYED MTN MOBILE MONEY VENDOR.
SHE SAYS THAT MOBILE MONEY IS FAST, SECURE, AFFORDABLE AND CONVENIENT.
AND
IT'S RIGHT THERE IN THE PALM OF YOUR HAND.
IT IS FASTER THAN A BANK BECAUSE YOU CAN TAKE LESS THAN A MINUTE TO RECEIVE YOUR MONEY.
SO, IN A WAY MOBILE MONEY IS DOING WHAT CREDIT CARDS DO FOR US OVER HERE.
PEOPLE, EVEN IN THE VILLAGES ARE USING MOBILE MONEY.
SO, I AT FIRST, I THOUGHT IT WAS A
CITY THING, PEOPLE IN THE CITY USE IT, BUT WHEN I WENT TO THE VILLAGE I WAS SURPRISED
TO SEE THAT MY PARENTS WERE USING MOBILE MONEY TO PAY THEIR DOMESTIC WORKERS.
I WAS LIKE WOW, HOW DOES THIS WORK?
AND MY DAD WAS LIKE, IT'S VERY SIMPLE.
INSTEAD OF GOING TO THE BANK EVERY END OF THE MONTH TO MAKE PAYMENTS FOR THEM I JUST
TRANSACT IT RIGHT HERE IN MY LIVING ROOM.
I DON'T' HAVE TO GO ANYWHERE.
AND I THOUGHT, I SAID TO MYSELF, WOW ! WHAT A WAY THIS IS TECHNOLOGY, HOW TECHNOLOGY
HAS TRANSFORMED THE ECONOMY, HOW TECHNOLOGY HAS TRANSFORMED THE PEOPLE.
EVEN THE VILLAGERS KNOW HOW TO USE MOBILE MONEY.
WHEN YOU'RE OUT THERE, YOU KNOW YOU'RE WALKING AROUND ON A TYPICAL STREET, LET'S SAY IN KAMPALA,
ABOUT HOW MANY PEOPLE WOULD YOU SAY YOU SEE THAT ARE CARRYING CELL
PHONES.
INTERESTING QUESTION.
TO TELL YOU THE TRUTH I THINK WHAT HAPPENED - THE TECHNOLOGY REVOLUTION OR THE CELL PHONE
REVOLUTION IS THE BEST THING THAT COULD HAVE
HAPPENED FOR AFRICA AS A WHOLE.
BECAUSE REMEMBER, FOR US WE DID NOT HAVE THE INFRASTRUCTURE.
SO WHAT MOST COUNTRIES DID, THEY JUMPED THAT INFRASTRUCTURE PHASE
AND JUMPED STRAIGHT TO DIGITAL TECHNOLOGY.
SO, THE CELL PHONES OVER THERE ARE MORE ADVANCED THAN THE CELL PHONES THAT WE HAVE OVER HERE.
YOU ALSO HAVE TO
UNDERSTAND THAT COMMERCIAL BANKS THERE ARE REALLY SCARED.
I THINK EVENTUALLY, OR SOONER OR LATER THEY WILL HAVE TO COME UP WITH WAYS OF COMPETING.
NOW, MOST OF
THESE PEOPLE ARE RUNNING AWAY FROM THE BANKS EXCEPT FOR THOSE PEOPLE WHO ARE TRANSACTING
HUGE SUMS OF MONEY, YOU STILL NEED A BANK.
IF YOU ARE LOOKING FOR A
MORTGAGE, YOU STILL NEED A BANK.
IF YOU ARE LOOKING FOR A LOAN, YOU STILL NEED A BANK.
BUT, FOR SMALL GUYS, YOU DON'T NEED A BANK.
BEING FROM UGANDA YOURSELF AND SEEING THIS TRANSFORMATION THAT'S TAKING PLACE WITH THE
USE OF MOBILE PHONES NOT JUST FOR MOBILE MONEY TRANSACTIONS BUT ALSO FOR
GETTING NEWS AND THERE ARE A VARIETY OF REASONS THAT AFRICANS ARE TURNING TO THEIR MOBILE
PHONES MORE AND MORE.
WHAT DO YOU THINK THAT'S DONE FOR, NOT JUST
UGANDA, BUT THE ENTIRE CONTINENT.
WHAT TRANSFORMATION HAVE YOU SEEN?
IT'S A REMARKABLE TRANSFORMATION BECAUSE WE LIVED IN A SOCIETY THAT WAS NOT ADVANCED IN
SO MANY WAYS.
BUT WITH THIS ADVANCE IN TECHNOLOGY I THINK IT HAS EASED
OUR COMMUNICATION, THE WAY WE TALK TO EACH OTHER, THE WAY WE REACT TO EACH OTHER, THE
WAY WE EVEN MARKET OURSELVES.
THE NETWORKS THERE GIVE THE NETWORKS HERE A RUN
FOR THEIR MONEY BECAUSE YOU CAN LITERALLY TALK TO ANYBODY ANYWHERE.
THEY ARE ALL OVER THE PLACE.
I DIDN'T HAVE ISSUES WITH THE NETWORK CONNECTION WHEN I WAS
THERE.
WHEN I'M HERE SOMETIMES I'M DRIVING AND I GET DROPPED CALLS SO IT TELLS YOU THAT SOMETHING
SIGNIFICANT HAS HAPPENED ON THE CONTINENT.
ALL RIGHT AND AGAIN OUR THANKS TO VOA ENGLISH TO AFRICA REPORTER PAUL NDIHO.
AFRICA HAS ACTUALLY BEEN LEADING THE WORLD IN GROWTH OF MOBILE PHONE USE...
UP 550
PERCENT IN THE PAST THREE YEARS.