THE interoperability of mobile payment services has substantially contributed to the increase in transactions across network operators by almost four times, according to a Bank of Tanzania report.
The transactions reached 988.9bn/- in the second half of last year, which was much higher than 178.1bn/- that took place during similar period of the preceding year. BoT Monetary Policy Statement shows that in in the said period some 20.1 million mobile money transactions were achieved compared to 4.4 million of similar period in 2015.
“The usage of digital technology in financial services has made Tanzania as one of the global hot spots of innovative financial services,” the report said.
The latest report said that central bank is also facilitating establishment of switch to facilitate interoperability of mobile banking and mobile payment systems. The switch envisages increasing efficiency of digital financial services in the country.
The services also has uplifted the financial inclusion percentage where the central bank set a new goal of 80 per cent in this year after surpassing the previous target before time. At the end of last December, the number of active users of mobile phone financial services was 17.02 million.
The success of mobile money has boosted economic development in the country. “The eco-system for MFS (Mobile Financial Services) is expected to expend with new products and services becoming available, such as savings and loans platforms and merchant services,” Vodacom said.
Vodacom is expecting mobile subscription to grow to 52 million by 2020 to reach a penetration rate of 83.5 per cent. “With a growing proportion of these customers using data and mobile money services…the industry will continue to grow its revenue base,” Vodacom predicted.
At the moment the country’s teledensity is lowest in the region at 34 per cent poorly compared with 40 per cent and 85 per cent of Uganda and Kenya respectively. The mobile money services are provided by Vodacom under M-Pesa, Tigo (Tigo-Pesa), Airtel (Airtel Money) and Zantel (Ezypesa).