Approximately 40% of the world's emerging market populations, a large proportion of which live in rural areas, have little or no access to financial services. On the other hand, the penetration of mobile subscribers worldwide is increasing rapidly with over 50% of the world’s population having access to a mobile handset.  These metrics indicate that mobile technology will empower traditionally underserved populations with access to a new micro-banking system.
 
"Out of the 6.5 billion people on the planet, less than one billion have a bank account. The only way to sustainably serve these people is through mobile communications," said emerging markets projects manager Ben Soppitt of the GSM Association, which groups the world's mobile carriers.

The rapidly expanding geographic reach of mobile networks and the ever-decreasing costs of handsets and usage associated with mobile services are collectively providing an environment where people in emerging economies can interact, collaborate, and exchange moneys. In order to address the reality of multi-national corporations and a mobile workforce, service providers are introducing new packaged micro-banking offerings for workers, family members, and entrepreneurs.  
 
These micro-banking offerings can unite rural, migrant, and travelling mobile users with the same financial services found in urban environments.
 
Mature and emerging market service providers are progressively building alliances and rolling out new services that allow for the exchange of information and seamless extension of services across networks. 

This form of interoperability will create and enhance the user experience and drive the adoption of micro-banking. Driven by demand for financial services and enabled by mobile networks, micro banking  is now finding its acceptance in many markets worldwide.  Redknee has observed four primary micro-banking scenarios: Mobile Money Transfer, Mobile Top-Up, Roaming Recharge Alliance and Basic Micro Banking.
 
• (International) Mobile Money Transfer allows subscribers to send money between subscriber accounts and between networks.
• (International) Mobile Top-Up allows subscribers to send "free" requests for mobile-to-mobile top-up.
• (International) Roaming Recharge Alliance allows subscribers to purchase alliance vouchers while roaming.
• (International) Mobile Banking allows subscribers to store and transfer money in an account, which is separate from their traditional IN account.
 
Imagine the possibilities for mobile phone owners who have been denied banking services, starting a business, or the ability to support family members across the globe.  The elimination of barriers to basic financial services will provide both underserved communities and migrant workers the ability to execute financial transactions simply and efficiently without the costs and risks associated with traditional methods such as ‘wiring’ funds or physically sending cash.

Travelers will now have the opportunity to extend the use of their pre-paid services by topping up their account with roaming vouchers and most of all, all mobile users will be granted the opportunity to store money in accounts to facilitate the transition to a truly subscriber-centric mobile environment. This will allow the subscriber to control and have visibility of their financial transactions via their mobile device.  Mobile micro-transaction solutions will enable the widespread deployment of financial tools and services within emerging economies – allowing them to rapidly grow towards the advanced capabilities previously only associated with mature markets.
 
Mobile Money Services allow subscribers to enhance communication channels and enrich day to day activities in a significant manner, thus building loyalty and satisfaction. Mobile Money Services, Redknee's latest addition to the Turnkey Converged Billing solution, offers a proven solution for mature and emerging market service providers. Contact us today to learn more about Redknee Mobile Money Services.