Effecte of Mobile Banking Technology in Kenya

In: Computers and Technology

Submitted By frankmo
Words 758
Pages 4
As the developed world begins to rebuild the recently collapsed global financial system, the financial architecture in parts of the developing world is being rapidly transformed. As the costs of mobile phone technology have fallen, and as the technology has been adapted to support financial services, mobile banking innovations have begun to spread across and within poor countries. The low cost, and the widespread unmet demand for financial services, as captured by low rates of bank access, means that mobile banking has the potential to reach remote corners of the socio‐economic, as well as geographic, spectrum.
‘Think of the developing world, and the first thing that springs to mind probably isn't cutting edge technology’, Mobile phone technology has reduced communication costs in many parts of the developing world from prohibitive levels to amounts that are, in comparison, virtually trivial. Nowhere has this transformation been as acute as in sub-Saharan Africa, where networks of both fixed line communication and physical transportation infrastructure are often inadequate, unreliable, and dilapidated. While mobile phone calling rates remain high by world standards, the technology has allowed millions of Africans to leap‐frog the land‐line en route to 21st century connectivity.
‘The success of the technology lies in necessity’, (Seema Desai), Early on in this revolution, cell phone users figured out that they could effectively transfer money across wide distances. Mobile money transfer allows those without a bank account to transfer funds as quickly and easily as sending a text message. Phone companies have long allowed individuals to purchase “air‐time” and to send this credit to other users. It was a small step for the recipient user to on‐sell the received air‐time to a…...

Similar Documents

Mobile Banking

...Term Paper "Understanding Factors Affecting Trust in and Satisfaction with Mobile Banking in Korea and its Implementation in Bangladesh" [pic] LETTER OF TRANSMITTAL June 17, 2012 Syeda Mahrufa Bashar Lecturer Institute of Business of Administration University of Dhaka Subject: Writing report on “Understanding Factors Affecting Trust in and Satisfaction with Mobile Banking in Korea and its Implementation in Bangladesh” Dear Madam We are submitting our term paper on “Understanding Factors Affecting Trust in and Satisfaction with Mobile Banking in Korea and its Implementation in Bangladesh”, as a part of fulfilling your instruction for acquiring the learning objectives of ‘Financial Markets and Institutions’ course. We thank you for assigning us this exercise as it has provided us with an eye opening valuable opportunity of improving our knowledge on this new technology as well as our research skills. We sincerely hope that the analysis work will meet the level of your expectation. Sincerely Yours Md. Farhan Imtiaz Md. Momenur Rahaman Md. Sohel Sagar Mohammed Zuber Alam Tanveer Mahmood Miah Sharif Taufique Atique ACKNOWLEDGEMENT It would not have been possible to complete this report and submit this report without the extensive support of some special people and it is high time to show our gratitude towards them. At first we would like to thank our......

Words: 8207 - Pages: 33

Banking Technology

...Impact of Information Technology on Service Competence In Indian Banking Industry Mrs. Punitha Sahaya Mary Francis Assistant Professor, MBA Dept., St. Xavier’s Catholic College of Engineering, Chunkaankadai, Nagercoil. punithaf2007@rediffmail.com, Mobile: 9942432809 INTRODUCTION The 21st century will bring about an all-embracing convergence of computing, communications, information and knowledge. This will radically change the way we live, work, and think. The growth of high speed networks, coupled with the falling cost of computing power, is making possible applications undreamed of in the past. Voice, data, images, and video may now be transferred around the world in micro-seconds. This explosion of technology is changing the banking industry from paper and branch banks to' digitized and networked banking services. It has already changed the internal accounting and management systems of banks. It is now fundamentally changing the delivery systems banks use to interact with their customers. All over the world, banks are still struggling to find a technological solution to meet the challenges of a rapidly-changing environment. It is clear that this new technology is changing the banking industry forever. Banks with the ability to invest and integrate information technology will become dominate in the highly competitive global market. Bankers are convinced that investing in IT is critical. Its potential and consequences on the banking industry future is......

Words: 3137 - Pages: 13

Mobile Banking

...An Internship Report On Mobile Banking (Banking In Your Hand)-A Study On Dutch-Bangla Bank Limited, Satmosjid Road Branch Date of Submission: 10th September 2011 An Internship Report On Mobile Banking (Banking In Your Hand)-A Study On Dutch-Bangla Bank Limited, Satmosjid Road Branch Date Of Submission: 10th September 2011 Declaration I do hereby declare that this Internship report entitled “Mobile Banking (Banking in your Hand)” is submitted by me to Northern University Bangladesh for the degree of Bachelor of Business Administration is an original work. It has not been submitted earlier, either partly or wholly, to any other University or Institution for any Degree, Diploma, Studentship, Fellowship or Prize. ………………… Dipock Mondal BBA 070360590 Major: Finance Minor: Management Information System (MIS) Faculty of Business Administration Northern University Certificate of Acceptance This is to certify that Dipock Mondal, bearing ID No BBA 070360590, student of Department of Business Administrative, Northern University Bangladesh has done the internship report title “Mobile Banking (Banking in your Hand)” of Dutch-Bangla Bank Ltd -At Satmosjid Road Branch, under my supervision and guidance. I am approving his internship report and accepting it in quality form. Mr. Dipock Mondal is intelligent, sincere and hardworking. He has put in lot of work and has also brought forth his views and ideas......

Words: 12518 - Pages: 51

Mobile Banking the Future of Banking Industry

...Mobile banking is a system that allows customers of a financial institution to conduct a number of financial transactions through a mobile device such as a mobile phone or personal digital assistant. Mobile banking differs from mobile payments, which involve the use of a mobile device to pay for goods or services either at the point of sale or remotely,[1] analogously to the use of a debit or credit card to effect an EFTPOS payment. The earliest mobile banking services were offered over SMS, a service known as SMS banking. With the introduction of smart phones with WAP support enabling the use of the mobile web in 1999, the first European banks started to offer mobile banking on this platform to their customers.[2] Mobile banking has until recently (2010) most often been performed via SMS or the mobile web. Apple's initial success with iPhone and the rapid growth of phones based on Google's Android (operating system) have led to increasing use of special client programs, called apps, downloaded to the mobile device. With that said, advancements in web technologies such as HTML5, CSS3 and JavaScript have seen more banks launching mobile web based services to complement native applications. A recent study (May 2012) by Mapa Research suggests that over a third of banks[3] have mobile device detection upon visiting the banks' main website. A number of things can happen on mobile detection such as redirecting to an app store, redirection to a mobile banking specific......

Words: 264 - Pages: 2

Mobile Banking

...key authors associated with the subject matter. It includes “mobile banking” and “opportunities and challenges of mobile baking” as these are directly representative of the academic discussion on the subject of investigation. As a literature review needs to be sufficiently critical in a balanced way, the literature review for this study aims to do in the discussion of the opportunities and challenges of the subject matter through impartial assessment of the relevant concepts. 1.1. Opportunity & Challenges of Mobile Banking: 1.1.1. Mobile Banking: Today is the era of fast forward life style. Everything we need or want, we want it in a minimum time. Like all other things we also need a fast forward banking. The result of it is mobile banking. Mobile banking means the ability of making deposits, withdrawal and to send and receive funds from a mobile account. According to the Journal of Information Engineering and Applications (Vol. 1, No.6, 2011), Mobile Banking is a financial transaction conducted by logging on to a bank's website using a cell phone, such as viewing account balances, making transfers between accounts, or paying bills and this can be conducted through the internet browser on the phone, through a program downloaded from your bank, or by text-message (SMS). Since 2004, Dutch Bangla Bank Limited (DBBL) has introduced mobile and SMS banking. With a mobile phone, customers can perform many banking operations with their phone. According to Kalmadi and Shenoy...

Words: 3733 - Pages: 15

Mobile Banking

...Mobile banking also expanded the mobile payment services market, whereby consumers could pay for goods and services using their mobile phones. First introduced in Singapore in 2001, this mode of payment was gaining popularity throughout Asia and Europe. In 2009, the U.S. market was relatively immature but showed signs of growth. The mobile payments market could be categorized into three segments: local mobile payments, mobile commerce, and person-to-person (P2P) payments. Local mobile payments Using a mobile device equipped with Bluetooth, radio frequency identification (RFID), infrared, or near field communication (NFC), a consumer could make a "contactless" payment to a merchant via his or her mobile phone. This method could substitute for the use of debit or credit cards and save consumers the extra step of signing a receipt or punching in a pin number. In 2009 the technology was in the early stages of development in the U.S. Mobile commerce Mobile devices could be used for payment of goods and services even when a merchant was not located in physical proximity. One of the first uses of this service was for buying ringtones, virtual goods, and games. After the Haiti earthquake in January 2010, AT&T initiated a campaign that allowed its subscribers to donate $10 by sending a text message. Mobile operators (e.g., AT&T or Verizon) also started providing links to mobile shopping services such as mPoria and mShopper. Consumers could buy from online merchants and......

Words: 311 - Pages: 2

Mobile Banking

...Mobile Banking “Banking in Your Hand” 11/24/2013 Department of Management Information Systems University of Dhaka Dhaka 1000, Bangladesh An Assignment on “Mobile Banking” Prepared by: ID: 05-036 ID: 05-048 ID: 05-053 ID: 05-054 ID: 05-067 Md. Khalilur Rahman Ashik Ahmed Md. Taijul Islam Jowel Sarker Md. Nurul Amin Prepared for: Mr. Ariful Islam Apu Lecturer Department of Management Information Systems University of Dhaka Page 2 of 26 Executive Summary Importance of banking system in a country is increasing day by day. It is quite impossible for any country to develop in industrial and commercial sector without sound banking system in modern economic era. Mobile Banking is one of the significant functions of the bank. It plays a vital role in overall economy of the country. Bank collects information from numerous sources relating to cost and revenue from Customer Management. Globalization of national economies has given a boost to international trade. The seller and the buyer in an international trading transaction must agree for a product or its quality, price etc. enter into a sales contract, spelling out precisely shipping and delivery details, terms of payment, required documentation and other related issues including dispute settlement procedure and legal framework available. The major objectives of my report is to describe the Mobile banking system of our country, measurement the employee behavior and performance, determine the wide range of services, and......

Words: 8269 - Pages: 34

Mobile Technology

...Mobile technology in today’s world.   In todays world consumers want to stay up to date with technology and , especially mobile phones. Faster, thinner and lighter is the new cool factor for mobiles phone buyers and for the people that love technology, also now days mobile phone manufactures have integrated the use of internet and also applications that help users with ease of access to banking and other features like steaming movies using applications like Net-Flix and Love Film, to buying your groceries at a touch of a button. In the 1940’s the mobile phone revolution started and only the wealthy and rich people could afford to buy them. It was more of a fashion factor, where as now days it is a vital tool for people to communicate with each other. Bulky phones are now of the past, retailers now concentrate on smart phones which have much more functionality and use for consumers and their are many platforms which they run on, in todays market ranging from Nokia having Symbian, Apple having iOS, Blackberry having RIM (research in motion) and Samsung using Google Android platform. All of these platform vary a little from each other but have the same goal which is grabbing consumers to by there product. Smart-phone ownership, by platform Google Android– 32%, iOS– 19%, Blackberry– 16%, Symbian– 8%, Windows phone– 4%, none of these– 22%.  “Smartphone penetration has continued to rise rapidly over the past few years, with almost two thirds (62%) of internet users owning...

Words: 1759 - Pages: 8

Challenges Facing Banking Industry in Kenya

...________________ DATE: ______________ MR KINYUA DEPARTMENT OF MOUNT KENYA UNIVERSITY i DEDICATION This work is dedicated to my mother Mrs. Perez Akinyi, and my sister Yvonne Atieno for their support in the course undertaking my research work ii ACKNOWLEDGEMENT I wish to thank the almighty God who has sustained me throughout this project I would also wish to thank my supervisor Mr. Geoffrey Kinyua for his valuable patience and assistance in accomplishing this project I would also wish to thank the technical staff of K.C B jogoo road branch for their help and cooperation iii ABSTRACT With reference to K.C.B this research is carried out to investigate the challenges facing the banking industry in Kenya. The specific objectives are; to investigate whether theft cases in banks are a major problem, to establish if ATM card skimming is a problem to the banking industry in Kenya, to determine if high interest rates are affecting the banking industry in Kenya negatively, to find out if mobile money transfer services are becoming a competition to banks in Kenya. The sample design was stratified random sampling so as to obtain data required within......

Words: 4741 - Pages: 19

Mobile Banking

...Problems and prospects of mobile banking in Bangladesh S.M. Sohel Ahmed (Corresponding author) Lalmatia Mohila College Lalmatia, Dhaka-1207, Bangladesh. E-mail: smsohelahmed@gmail.com Shah Johir Rayhan Sher-e-Bangla Agricultural University Sher-e-Bangla Nagar, Dhaka-1207, Bangladesh. E-mail: johir_rayhan2006@yahoo.com Md. Ariful Islam Regional Statistical Officer Dinajpur, Bangladesh. Samina Mahjabin Department of Management & Finance Sher-e-Bangla Agricultural University Sher-e-Bangla Nagar, Dhaka-1207, Bangladesh Abstract The main objective of the study is to find out the problem and prospect of mobile banking in Bangladesh. For this research primary data were used. This study adopts with descriptive in nature. Total respondents were 120 within that 61 % respondents think it saves time than traditional banking, the highest number of respondents use mobile banking for ‘Air-time top-up’ service, that is 21%, out of 120 respondents 56% replied it is less costlier than traditional banking, 100% respondents did agree that it is speedy, and 38% respondents are upper class. Although this concept is new in Bangladesh but its potentiality is high. From this research, other researchers and policy makers will get an insight about the problems and prospects of mobile banking in Bangladesh. Key words: Problem, prospect, Mobile banking. 1. INTRODUCTION E-business has been continuously growing as a new industry during the last decade (Van Hoeck, 2001). The banking industry has been......

Words: 7353 - Pages: 30

Mobile Banking

...Research Paper Commerce Mobile Banking in Rural India: Roadmap to Financial Inclusion * Ms.Rati Dhillon * Assistant Professor, Department of Commerce, Bharati College, University of Delhi t ABSTRACT The concept of digital inclusion in the banking industry has become a parlance in the worldwide. The term digital inclusion provides the people the skills of basic technology to participate in the knowledge economy that lead to an enhanced performance of macro-economic. The study deals with the mobile banking in India. This study in detail discusses about the mobile banking, the emergence of mobile banking and present scenario in India, mobile banking in rural areas of India, how mobile banking helps in achieving financial inclusion. Further it will also discuss how mobile banking helps in overcoming the financial challenges with the analysis of scope of mobile banking in the near future. Keywords : Digital Inclusion, Banking, Mobile Banking, Rural, Financial Inclusion Introduction to Mobile Banking According to Tiwari and Buse (2007) mobile banking is also referred as m-banking, SMS banking and so on. Mobile banking is the term used for performing account transactions, balance checks, credit applications, payments and more through a mobile device like tablet computer like iPad or mobile phone. Mobile banking is a provision offered by financial and banking institutions that help users avail their services with the help of devices like mobile phones and other devices.......

Words: 3329 - Pages: 14

Mobile Money Services in Kenya

...IMPACT OF MOBILE MONEY SERVICES ON THE PERFORMANCE OF SMALL AND MEDIUM ENTERPRISES IN AN URBAN TOWN IN KENYA BY KENNETH M. NYAGA A DISSERTATION SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE AWARD OF MASTER OF BUSINESS ADMINISTRATION (CORPORATE MANAGEMENT) IN THE SCHOOL OF BUSINESS AND PUBLIC MANAGEMENT AT KCA UNIVERSITY NOVEMBER, 2013 DECLARATION I declare that this dissertation is my original work and has not been previously published or submitted anywhere for award of a degree. I also declare that this contains no material written or published by other people except where due reference is made and author duly acknowledged. Student Name: ______________________ Sign: __________________________ Registration Number: ________________ Date: ___________________ I do hereby confirm that I have examined the master’s dissertation of: Kenneth Miriti Nyaga And have certified that all revisions that the dissertation panel and examiners recommended have been adequately addressed. Signed _______________________________ Date ___________________ Dr. Okonga-Wabuyabo, Brigitte M. Dissertation Supervisor ii ABSTRACT Since the launch of mobile money services in Kenya in 2007, the number of subscriptions has grown to approximately 48% of entire the Kenyan population. This overwhelming uptake has been attributed to the affordability and accessibility of the service, especially among low income earners. The main challenges of mobile money......

Words: 20382 - Pages: 82

Mobile Banking

...editor Bill Gates Can mobile banking revolutionize the lives of the poor? By Ben Popper We're excited to have Bill Gates as our guest editor in February. Throughout the month, Bill will be sharing his vision of how technology will revolutionize life for the world's poor by 2030 by narrating episodes of the Big Future, our animated explainer series. In addition, we'll be publishing a series of features exploring the improvements in banking, health, farming, and education that will enable that revolution. And while the topics reflect the bets Bill and his wife Melinda are making with their foundation, they've asked us for nothing less than fully independent Verge journalism, which we're more than happy to deliver. Turns out Bill Gates is a pretty confident guy. Nilay Patel, Editor-in-Chief In the village of Sori along the banks of Kenya’s Lake Victoria, fishing has long been the lynchpin of the local economy. Jobs here are largely divided by gender: men catch the fish, and the women process the meat, take it to market, and handle finances. As detailed in a 2012 study from the SIT Graduate Institute, residents of Sori traditionally kept their money at home. Theft was a constant concern, and many of the women interviewed reported their husbands misappropriating their savings. For many, traditional banks were either too far away, or demanded minimum deposits the villagers could not afford. All that changed in 2007 with the introduction of M-PESA, a mobile service that......

Words: 2583 - Pages: 11

Impact of Mobile Banking

...WORKING PAPER SERIES MOBILE BANKING: THE IMPACT OF M-PESA IN KENYA Isaac Mbiti David N. Weil Working Paper 17129 http://www.nber.org/papers/w17129 NATIONAL BUREAU OF ECONOMIC RESEARCH 1050 Massachusetts Avenue Cambridge, MA 02138 June 2011 We are grateful to Taryn Dinkelman, John Driscoll, Frederik Eijkman, James Habyarimana, Stephen Mwaura, Benno Ndulu, Pauline Vaughn, Dean Yang and seminar participants at Tulane University and the NBER Africa Success Conference for helpful comments and suggestions. Emilio Depetris Chauvin, Federico Droller, Richard Amwayi Namolo, Angeline Nguyen, Scott Weiner and Jingjing Ye provided superb research assistance. We are grateful to the Financial Sector Deepening (FSD) Trust of Kenya and Pep Intermedius for providing us with data. Financial support for this research was graciously provided by the NBER Africa Success Project. The views expressed herein are those of the authors and do not necessarily reflect the views of the National Bureau of Economic Research. © 2011 by Isaac Mbiti and David N. Weil. All rights reserved. Short sections of text, not to exceed two paragraphs, may be quoted without explicit permission provided that full credit, including © notice, is given to the source. Mobile Banking: The Impact of M-Pesa in Kenya Isaac Mbiti and David N. Weil NBER Working Paper No. 17129 June 2011 JEL No. E40,O16,O33 ABSTRACT M-Pesa is a mobile phone based money transfer system in Kenya which grew at a......

Words: 16766 - Pages: 68

Mobile Banking

...respondent, I am Balbir kaur student of final semester MBA, School of management studies, Punjabi university,patiala .I am doing a survey on Mobile banking in different banks, so I would be grateful if you could spend some of your time in filling up this Questionnaire. Name______________________________ 1. Age: a)18-20 b)21-25 c) 26-30 d)31-40 e)41-50 f)>50 2. Monthly Income a)5,000-10,000 b)10,001-15000 c) 15,001-20,000 d) 20,001-25,000 e)>25,000 3. Which are the banks you are dealing with? a) ICICI Bank b)HDFC Bank c) Bank d) Axis bank e)IDBI Bank f) Others 4. Since how long are you holding a Account in the following banks Years | ICICI | HDFC | HSBC | Axis bank | IDBI | Others | a)6m-1yr | | | | | | | b)1yr-2yr | | | | | | | c)2yr-5yr | | | | | | | d)> 5yr | | | | | | | 5.In last 6 months which channels did you mostly used for your every daily transaction? Channels | ICICI | HDFC | HSBC | Axis bank | IDBI | Others | a) Branch transaction | | | | | | | b) ATM | | | | | | | c) Tele-banking | | | | | | | d) Online banking | | | | | | | e) Mobile banking | | | | | | | 6. In which of the following banks are you aware of Mobile Banking services? Banks | YES | NO | ICICI Bank | | | HDFC Bank | | | HSBC Bank | | | Axis bank | | | IDBI Bank | |......

Words: 3577 - Pages: 15

CyberLink PowerDirector Ultimate v14.0.2820.0. | Divergence Eve 2: Misaki Chronicles | Watch Movie