With the rapid uptake of M-Shwari, Commercial Bank of Africa (CBA) is the envy of the digital financial services industry. Many factors led to M-Shwari's success, including that it solves a real problem faced by Kenyans: on demand liquidity.
InterMedia conducted a study of M-Shwari users and found that in just over a year after launch, M-Shwari achieved the highest level of awareness and use compared with other beyond-basic mobile wallet products in Kenya.
Digital credit products are only going to become a more important element of financial services in emerging markets where expansion of mobile money platforms has created potential borrower segments of millions of consumers that are only an SMS away.
For many low-income families worldwide, education can be out of reach. Mobile money and digital financial services have the potential to help families by providing them with better tools that can help them save, plan and make education payments.
The results of an experiment with a lend-to-save model in Kenya, Jipange KuSave, showed that there is demand for financial services which are quite different from those currently offered by mainstream providers.