Mobile Money Bridges Banking Gap, Ensures Financial Inclusion, Says World Bank
The World Bank’s Global Findex 2025 has revealed that more adults across developing economies, including Nigeria, saved money formally than ever before in 2024, driven by an increase in mobile money usage.
According to the report, a record 40% of adults in developing countries now save money using formal financial accounts, including banks, mobile money, and fintech platforms, a 16-percentage-point leap from 2021, making it the fastest growth in more than a decade.
In Sub-Saharan Africa, formal savings jumped 12 percentage points to 35%, thanks largely to the region’s leadership in mobile money adoption.
The World Bank noted that mobile-phone technology is the biggest driver behind this financial inclusion boom.
In developing economies, 10% of adults now save using mobile money, up from 5% in 2021, a development attributed to the rising smartphone penetration and growing access to internet services.
Digital finance can convert this potential into reality,” said World Bank President Ajay Banga, noting that the Bank is helping countries expand digital IDs, modernize payment systems, and streamline regulations to keep the momentum going.
The report, widely regarded as the gold standard on financial access, shows that nearly 80% of adults globally now have a financial account, up from just 50% in 2011.
However, 1.3 billion people still remain unbanked, though 900 million of them already own a mobile phone, with over half having smartphones.
The report also revealed that women’s financial account ownership in low- and middle-income countries nearly doubled from 37% in 2011 to 73% in 2024, narrowing the gender gap significantly.
Still, the digital shift brings its own set of challenges. Among the 4 billion adults in developing countries who own a mobile phone, only half use a password to protect it, raising concerns about digital security
More people than ever have the financial tools to invest in their futures. This is real progress. But there’s still work to be done to make systems safer and more inclusive,” said Bill Gates, Chair of the Gates Foundation, which supports the Global Findex.
While noting that digital payments are gaining ground across the board, the report added that in 2024, 42% of adults in low- and middle-income economies made a digital payment to a merchant, up from 35% in 2021.
It also noted that more governments and employers are ditching cash, with three-quarters of government payments and half of wages now going directly into bank or mobile accounts.
This shift is helping reduce leakages, cut fraud, and ensure funds reach the right people, quickly and securely.
Regional snapshots
According to the report, mobile money continues to dominate in Sub-Saharan Africa, with the region leading globally in usage. Account ownership rose to 58%, up from 49% in 2021.
In South Asia, account ownership is now at 80%, driven mainly by India’s surge in digital public infrastructure and account access.
Account ownership in Middle East & North Africa rose from 45% in 2021 to 53%, while formal savings grew from 11% to 17%.
The East Asia & Pacific region boasts high digital maturity—86% smartphone ownership, and 83% account access.
In Latin America & the Caribbean, account access stands at 70%, with more than half using cards or phones for digital payments.
What you should know
The World Bank report underscores the growth of mobile money in a country like Nigeria, where players like PalmPay, OPay, Paga, among others, are pushing mobile-based financial services deep into rural and urban areas alike.
According to data released by the Nigeria Inter-Bank Settlement Systems (NIBSS), licensed mobile money operators in Nigeria processed transactions valued at N71.5 trillion between January and December 2024.
This represents a 53.4% increase in transactions across the mobile money platforms when compared with the N46.6 trillion recorded in the full year 2023.
