Mobile-Phone Technology Fuels Financial Inclusion Boom in Nigeria and Developing Countries – World Bank

A new report by the World Bank Group has revealed a significant surge in financial account usage and formal savings in Nigeria and other developing economies, largely driven by mobile-phone technology. According to the Global Findex 2025 report, account ownership in sub-Saharan Africa rose to 58% in 2024, up from 49% in 2021. This growth marks the fastest rate in over a decade and highlights the transformative role of mobile money accounts, especially in regions previously underserved by traditional banking systems.

The data shows a sharp increase in the use of financial accounts for savings: 40% of adults in developing economies saved money formally in 2024—a 16-point jump from 2021. Sub-Saharan Africa saw a 12-point increase in formal savings, with 35% of adults now participating. Mobile money platforms contributed significantly, with 10% of adults using them to save, a five-point rise from 2021. The World Bank attributes this trend to the widespread adoption of digital tools and mobile-based financial services.

World Bank President Ajay Banga emphasized that financial inclusion not only improves lives but also strengthens entire economies. He stressed that digital finance, backed by digital ID systems, cash transfer programs, and modernized payment platforms, can unlock opportunities for innovation and job creation. The Bank is actively working with governments to eliminate regulatory barriers and expand access to financial tools for underserved populations.

Bill Gates, chair of the Gates Foundation and a key supporter of the Global Findex, called the progress encouraging, especially in reducing inequality. He noted that more women and marginalized groups now have access to tools that help build economic resilience. The report also shows a narrowing gender gap in account ownership, with 77% of women globally now owning financial accounts, up from 37% in 2011 in low- and middle-income countries.

Despite the gains, challenges remain. Around 1.3 billion adults worldwide still lack access to formal financial services. Yet, many of them own mobile phones—900 million, including 530 million with smartphones. The report calls for investments in secure, instant digital payment systems, better consumer protections, and improved access to mobile and internet technology. Overall, the data highlights a promising shift toward financial inclusion, with mobile technology playing a central role in bridging long-standing economic gaps.

Source: The nation