Financial Literacy Pilot Report
This report summarizes findings from AppLabs financial literacy pilot, which ran during March-December 2010. The pilot focused on making formal financial services and financial information more accessible and helping individuals to structure savings. It tested several incremental innovations in the delivery of mobile financial services, such as a new class of mobile money intermediaries, a savings reminder SMS and an electronic link (e-link) that facilitated remote deposit transactions.The pilot test revealed that Direct Sales Teams and footsoldiers were the most effective savings mobilizers. The majority of customers who signed up for bank accounts were male, had variable income inflows, were unbanked and had registered for mobile money (m-money). Customers preferred transaction to savings accounts across all locations. Most SMS customers noted that reminders helped them to structure their savings. The report made the following recommendations:
- Further develop local intermediaries to increase the banked population in rural locations;
- Leverage m-money to introduce products that are more appropriate for the lower-income segment;
- Establish an e-link integrating the m-money wallet with a bank account to allow mobile operators and banks to reap profits and facilitate delivery of additional products.
