African digital financial inclusion remains a challenge. In that context, the new partnership seeks to expand access to financial services.

US Fintech Visa and the GSMA Mobile for Development Foundation (GSMA Foundation) launched the Digital Finance for All (DFA) initiative on Monday during the Mobile World Congress in Barcelona, Spain. This initiative aims to boost digital financial inclusion among 20 million individuals across Africa, Asia, and Latin America by providing targeted educational resources and facilitating access to mobile money services.

The DFA program seeks to equip women, small-scale farmers, and entrepreneurs running nano-, micro-, or small-sized enterprises with essential financial knowledge via technological tools. By doing so, it hopes to enable these groups to leverage mobile money platforms effectively within their respective nations.

"At Visa, we believe that digital payments are critical to including everyone in the digital economy by helping provide access to economic livelihood. Together with the GSMA Foundation, we seek to empower those in underserved communities across the world and provide equal access to help build better financial futures for all," said Chiagozie Nwabuebo, Vice President of Global Growth and Social Impact at Visa.

Despite progress over the past decade, Africa's bank account penetration remains low globally. As a result, many African citizens have increasingly relied on mobile money as a viable alternative form of payment. With the expansion of fintech companies throughout the region, mobile money has become an integral aspect of daily life in Africa.

As per the GSMA's "State of the Industry Report on Mobile Money 2023," the number of active mobile money accounts in Africa rose by 17%, reaching approximately 763 million, while total transactions approached $832 billion - an increase of 22% from 2021. Although growth rates were lower in Latin America and Asia compared to Africa, these markets have also seen significant increases in mobile money usage.

As stated by Ashley Olson Onyango (photo, left), Head of Financial Inclusion and Agri-Tech at the GSMA, “Mobile money can play a transformative role in advancing financial inclusion and resilience for the nearly 2 billion people who remain unbanked globally. However, poor digital and financial literacy is a key barrier to accessing digital financial services, especially for certain population segments like women, farmers, and micro-merchants.”

Adoni Conrad Quenum