Report: Mobile banking faces global hurdles


While we're talking about mobile banking as the "Next Big Thing" (next to big data, of course) as cloud computing becomes "that old thing", there are still some very big hurdles that CIOs need to be aware of when planning their mobile banking strategies.

According to GSMA's report "The Economy of Mobile 2013", an estimated 2.5 billion adults in developing nations do not have access to a formal bank account. While this figure means that people do not have access to a local ATM or a branch with a human teller, they will have access to mobile banking via their cell phones.

According to the report:

"The mobile operators of many countries with modern urban centres like Johannesburg are often ready to leapfrog some developed markets in terms of technology to enable mobile banking and payment, says Gemalto vice-president for global marketing communication Hsin Hau Hanna in a recent interview with Business Day.
GSMA expects mobile money adoption to rise along with growth in new mobile connections in developing economies. It says the mobile industry is "uniquely placed" to deliver growth in mobile money services to the world's unbanked people."

The report further finds that there are 3.2-billion mobile customers globally. A further 700-million subscribers will join their ranks by 2017 and by 2018 that overall number will swell to four billion wired folks.

These are staggering numbers for a CIO to take in. If you work for a global bank - and after all we do live in a global marketplace - you may have to support clients who live and work half-way across the globe.  Is your team ready for that?

For more:
-see this article
-see this report

Related articles:
Credit unions ponder the rise of mobile banking
Study: Banks must adapt to Hispanics' mobile banking needs
Banks need to redouble efforts on mobile services