Tag Archives: remittances

Mobile in East Africa

An interesting study on mobile applications in East Africa. It looks at whats limiting applications fully taking off, with conclusions aimed at recommendations for donors. Mobile Active notes:

While mobile phones are the main channel for information in East Africa, with mobile penetration covering over 40% of the population, sustainable, scalable mobile services for social and economic development are limited. The report is supported by secondary data, statistics, and field work carried out in Kenya, Rwanda and Tanzania, along with numerous interviews, meetings and discussions with key stakeholders in EastAfrica. Major trends in mobile usage, barriers for increased use of m-applications, as well as opportunities for scaling are discussed.

Perhaps one of the most interesting innovations it reveals is how the Kenyan M-PESA money sending service M-PESA is being used to send money (in the form of airtime credit) between Kenya and Uganda. A Kenyan Safaricom sim card automatically roams on the Ugandan UTL network, allowing the transfer of credit between the two. Mr Michael Joseph, the Safaricom Chief Executive Officer, later commented the operation: “M-Pesa does not officially operate there [in Uganda]. We are investigating. It’s quite strange” (Telecom Africa 2009).

What does this mean for future remittance activities? Will expanding roaming agreements mean migrant workers can send home remittances cheaper than Western Union, and more directly than the Hawala network?

They also outline examples of mobiles for governance (without defining what they mean by governance). The report outlines aspirational examples of what mobiles could do to strengthen accountability, transparency (presumably with the aim of increasing more responsive political system). It goes on to give examples of how mobiles have supported service delivery such as water, electricity and basic health services.

For me, good governance is politicians and civil servants responding the needs and demands of their electorate. Driving this has to be the political will amongst both to recognise that their constituents needs come first – and not serving their political masters further up the chain as is so often the case.

The report is available here (pdf).

Advertisements