The potential for mobile money and digital payments to drive financial inclusion is immense. We can see this potential being unlocked in Africa as it accounts for 70 percent of the world’s $1 trillion mobile money value and registered a 12 percent growth in mobile money accounts to 1.75 billion in 2023.

This is opening a number of new opportunities for economic growth and development as more robust and connected payment networks are breaking down geographical barriers, opening up access to new markets and enabling anyone to send and receive payments quickly and easily from and to anywhere in the world.

However, these significant benefits are largely being realised and felt in Africa’s larger, and key, markets such as Nigeria, South Africa, and of course Kenya- where mobile money was first launched and popularised on the continent.

While these markets have reached greater levels of digital payments maturity, smaller and more underdeveloped markets are often passed over, leaving many still excluded from economic participation and financial freedom.

And yet, the truly transformative power of mobile money and digital payments can be most realised in these overlooked economies where the reliance on cash, a lack of traditional bank accounts due to limited infrastructure and access, and the substantial penetration of smartphones and increasing internet connectivity has created the ideal confluence of circumstances that will pave the way for a more inclusive and resilient financial future.

The biggest drivers of mobile money adoption in Africa is its accessibility and ease of use. Unlike traditional financial services, there’s largely no need for extensive paperwork, a credit and financial history, or a physical presence within a brick-and-mortar branch to gain access to these services.

This low barrier to entry, along with mobile money’s ability to enable economies beyond just transactions and empower both individuals and enterprises, makes it particularly impactful for underserved markets.

Within these regions, mobile money and the digital payments ecosystem has the power to serve as catalysts for economic growth, poverty reduction, and enable marginalised communities with the financial freedom to manage their day-to-day lives, start or expand their businesses, and invest in their futures.

It’s important that all levels of an economy work towards achieving the crucial objective of financial inclusion. Collaboration is a key component in creating and maintaining an environment that creates more opportunities for inclusive growth and ensures economic resilience.

Not only do governments play a pivotal role in developing and implementing the policies and regulations that foster a supportive framework for financial services, but investment from both the public and private sectors are essential to building the necessary digital payments infrastructure that will underpin financial inclusion on the continent.

Meanwhile, fintech firms can continue to drive innovation in this space that will achieve the desired convenience, speed and accessibility within the payments space.