Title: Why M-Pesa Outperforms Other Developing Country Mobile Money Schemes
Author: Richard Heeks
Source: ICTs for development
Date (published): 24/11/2012
Date (accessed): 26/11/2012
Type of information: blog post
Language: English
On-line access: yes
Abstract: Why has M-Pesa been so successful in Kenya, yet mobile money initiatives in other developing countries much less so? Recent Centre for Development Informatics research can help provide a systematic response.

Title: Kenya to tax M-Pesa transactions
Author: Craig Wilson
Source: Techcentral
Date (published): 08/10/2012
Date (accessed): 09/10/2012
Type of information: blog post
Language: English
On-line access: yes
Abstract: M-Pesa, which has more than 14m subscribers in Kenya, could be forced to increase transaction costs by 10% as East African nation’s treasury looks to impose a levy on transactions made using the mobile money transfer service.

Title: Cell phones replace wallets in Kenya
Author: Alfred Kiti
Source: DW
Date (published): 12/09/2012
Date (accessed): 13/09/2012
Type of information: online article
Language: English
On-line access: yes
Abstract: Life hasn't been the same in Kenya since phone provider Safaricom introduced M-Pesa in 2007. The mobile phone-based money transfer system is the most popular on the African continent.

Title: Kenyans use social media to mobilize support for drought victims
Author: Kingsley Ighobor
Source: Bulawayo24
Date (published): 13/11/2011
Date (accessed): 14/11/2011
Type of information:
Language: English
On-line access: yes (HTML)
Abstract:
"...In July, as thousands of starving people walked across the border from Somalia into the Dadaab refugee camp in northeastern Kenya, there were also thousands of Kenyans dying of drought in that region, as well as in Turkana, Pokot and Baringo. Ms. Gichuru and other journalists covered that reality. "I went to the camp and saw children just screaming. It was deafening. Some had just died. Some were about to die, and I saw parents standing helplessly, just preparing to dig another infant grave," she told Africa Renewal.

The interventions of Ms. Gichuru and others have been acclaimed for both the sheer effort — more than $67 million donated so far by ordinary Kenyans and some companies — and the tools with which the mobilization has been carried out: Facebook, Twitter, mobile phones, television, radio and newspapers.

Reactions to the various media reports were swift and spontaneous. The Media Owners Association, Safaricom (one of the country's leading mobile phone companies) and the Kenya Red Cross continue to rally donations and other relief materials under the aegis of Kenyans for Kenya, an association officially launched in late July.

"The response by Kenyans was overwhelming and humbling, hitting KSh19 million through M-Pesa [mobile banking] contributions on the second day," reports The Standard, a leading Kenyan newspaper. Ms. Gichuru says that they collected the equivalent of about $10 million within two weeks.
…
How does it work? Safaricom assigned a dedicated account number that people with mobile phones can easily remember (111 111). Subscribers pay into their M-Pesa accounts, much as they do when adding to their phone calling credits. To make a donation they simply enter the amount and send it to the dedicated account number. Both the sender and the recipient promptly get SMS messages confirming the transaction. The ease of transactions has contributed to the project's success.

The credibility of the main implementing partner, the Kenya Red Cross, further encourages people to donate. "Once people knew who was going to spend the money, they felt more comfortable to contribute," says Ms. Gichuru."

Title: Why we shouldn’t put mobile money on a pedestal…yet?
Author: Laura Fedoryk
Source: Peace Dividend Trust Blog
Date (published): 01/12/2011
Date (accessed): 04/12/2011
Type of information: blog post
Language: English
On-line access: yes (HTML)
Abstract:
"Mobile money initiatives have exploded throughout the developing world. We’ve been hearing a lot over the past few years about its ability to provide access to savings, cash transfers, bill payments and other money management tools to unbanked populations. Yet given the dearth of cautionary literature on the topic, it appears it’s been a bit harder for development enthusiasts to pause and consider the possible pitfalls. What happens when a population — the one that is most likely to benefit from its services — rapidly adopts a new technology, like mobile money?
…
I’m not saying that mobile money is inherently bad – far from it. But as we click away on our smart phones, iPads, and other tech devices, it’s easy to forgive their flaws and look past the potential dangers they create (speaking of which, if you’re reading this while, say crossing the street, save it for later – it won’t be useful to you when you’re in the path of a city bus…).

Mobile money is a tool and, much like we have seen activists and repressive governments alike use social media platforms to spread information or incite action, it can both positively and negatively affect large numbers of people with the tap of a single button..."

Title: The digital revolution in sub-Saharan Africa
Author: Laila Ali
Source: Al Jazeera English
Date (published): 12/10/2011
Date (accessed): 17/10/2011
Type of information: article
Language: English
On-line access: yes (HTML)
Abstract:
"Much has been written about the role technology played in bringing social and political change across much of the Middle East and North Africa, but less is known about the technological revolution that is taking place and transforming people's lives in sub-Saharan Africa.

It is estimated that by 2015 sub-Saharan Africa will have more people with mobile phone network access than electricity access at home. People with internet and no home electricity will reach 138 million, according to the Cisco Global Mobile Data Traffic Forecast for 2010-2015.

This deep and rapid mobile penetration is catapulting developing countries into the 21st century and bringing new and previously unimagined opportunities. While schools in the developed world enforce strict policies to keep mobile phones out of the classroom, African schools and universities are now exploring the use of mobile technology to assist teaching.
...
Mobile education
Under the BridgeIt initiative, known locally as Elimu kwa Teknologia or Education through Technology, teachers download video content using Nokia N95 mobile phones, which are connected to TVs in their classrooms, allowing rural schools and communities access to a digital catalogue of locally-developed or adapted educational content.
…
E-learning
In South Africa the concept of using mobile technology to support distant learners is also gaining ground. Pretoria University considers it an extension of e-learning - where distance learners use the internet to access materials to support their studies.
…
An app for that
The use of mobile technology in Africa is not limited to the field of education. In Kenya, high mobile penetration spurred the development of ground-breaking applications that are positioning the country as a regional leader in technology."

Title: Making the Most of Mobiles in Africa
Source: Africa the Good News
Date (published): 13/09/2010
Date (accessed): 21/09/2011
Type of information: blog post
Language: English
On-line access: yes (HTML)
Abstract:
"It is not often a technology guru will say, “Forget the internet!” but Ken Banks, founder of Kiwanja.net, advocates going back to basics – using mobile phones rather than the internet, and pretty basic phones at that.

While mobile phones are ubiquitous in Africa, the internet has nothing like the same penetration and is almost non-existent in rural areas. Says Banks: “For example, in Zimbabwe, there’s 2-3 percent internet penetration. If your amazing, whizzy mobile tool needs the internet, and you are looking to deploy it in Zimbabwe, you have lost 97 percent of people before you start.”

Dillon Dhanecha's company, The Change Studio, was trying to distribute management tools and training through the internet, and admits it fell into exactly the trap Banks was describing. “We were developing short YouTube clips and so on, but I was in Rwanda a few weeks ago and trying to access our site from my Smartphone, and it just wasn’t happening.”

But there are plenty of options with even a not-very-smart phone: one of the pioneers was M-Pesa, designed as a tool for repaying microfinance loans. But Kenyans found all kinds of other uses; for instance, people afraid to carry large sums of cash while travelling would send it to themselves for collection at their destination. It was also key to the recent Kenyans for Kenya drought aid funding drive."

Title: Saving On The Mobile: Developing Innovative Financial Services to Suit Poor Users
Source: AppLab blog (Grameen Foundation)
Date (published): 11/08/2011
Date (accessed): 12/08/2011
Type of information: blog post
Language: English
On-line access: yes (HTML)
Abstract:
"Grameen Foundation’s Sean Krepp and Dr. Olga Morawczynski recently published this paper on Saving on the Mobile in the World Economic Forum’s Mobile Financial Services Development Report 2011.

Savings on mobile money
A recent survey of over 2,000 Kenyan households found that 89% of respondents used M-PESA, a Kenyan mobile money (MM) application, “to save” (Suri and Jack, 2010). Dr. Morawczynski confirmed this finding after spending over 18 months studying the financial habits of resource poor M-PESA users in two locations: an urban slum called Kibera and village in Western Kenya called Bukura (Morawczynski, 2010). The study found that M-PESA was integrated into the financial portfolios and acted as a complement, rather than a substitute, to other mechanisms. This paper expands on these findings by disaggregating the term “savings” and focusing on behavior.

Four scenarios have been developed to explain how and why resource poor individuals use MM as a savings mechanism. These scenarios describe the frequency of transactions and the costs associated with each form of savings. A case study accompanies each scenario to explain the circumstances leading to the savings behavior.

Two MM applications are central to this analysis— M-PESA in Kenya and MobileMoney in Uganda. Product ideas are derived from analysis of practices. To “go beyond payments” and be relevant to poor users, mobile applications must be designed to fit into existing practices rather than trying to change or displace them."

Title: CGAP releases pricing tool for mobile banking for the unbanked
Author: Claudia McKay
Publisher: CGAP: Consultative Group to Assist the Poor
Date (published): 16/06/2010
Date (accessed): 18/06/201
Type of information: blog post
Language: English
On-line access: yes (HTML)
Abstract:
A few weeks ago, CGAP released a study comparing the prices of 16 branchless banking pioneers and 10 traditional banks across eight use cases. We found that the average monthly cost of using a branchless banking service is $3.90 (PPP adjusted) compared with US$4.80 when using a traditional bank. The conclusion: branchless banking is cheaper than traditional banking, but the gap is not as wide as some may think.

Title: Bridges to Cash: the retail end of M-PESA : The challenge of maintaining liquidity for M-PESA Agent Networks
Authors: Frederik Eijkman, Jake Kendall, and Ignacio Mas
Pages: 20 pp.
Source: www.microfinancegateway.org
Date (published): 29/04/2010
Date (accessed): 14/06/2010
Type of information: research report
Language: English
On-line access: yes (pdf)
Abstract:
M-PESA (“M” for mobile and “PESA” for money in Swahili) is a mobile money service promoted by Safaricom, the leading mobile operator in Kenya. The service provides a method of electronic payment accessible through mobile phones. Once customers deposit cash in their M-PESA accounts, they store the value as “e-float” – a form of electronic value issued by Safaricom – until they are ready to use it for transfers, buying airtime, or bill payments.
“De-materializing” cash into e-float offers benefits in terms of safety (reduced risk of theft or loss), convenience (less bulk, easier to send money remotely, lower transport costs, can purchase airtime and pay bills from the phone), and privacy. The core value proposition to customers is that M-PESA allows them to send money quickly and cheaply to distant business associates, friends, or relatives, a common need in Kenya where many families have some members working in urban areas.2
By solving this customer need, M-PESA has generated a large and loyal customer base. M-PESA is used by over 40% of Kenyan adults3 and more than 95% of users report that M-PESA is faster, safer, cheaper, or more convenient than alternative services like those provided by banks, ATMs, the post office, or money transfer services offered through bus companies.4 A full 84% of users claim that losing the service of M-PESA would have a large, negative effect on their lives.
The ability to quickly and conveniently withdraw cash or deposit cash is critical to achieving the high level of value that M-PESA delivers to its users. To access their accounts, customers exchange cash for e- float at a network of M-PESA retail stores (often referred to as sub-agents or agent points). There are some 16,000 agent points in Kenya, putting one within reach of most Kenyans. In fact many locations have multiple M-PESA agent points within a few hundred meters of each other. Keeping these agent points stocked with cash and e-float so that they can meet customers’ needs for deposits and withdrawals is a major challenge, and the subject of this article.