Mobile money now accounts for nearly 60 percent of all formal borrowing in Sub-Saharan Africa, according to the World Bank’s Global Findex Database 2025.
The report revealed the role of mobile financial services in reshaping the credit landscape across low- and middle-income economies, particularly in Africa where traditional banking penetration remains low.
Despite only 12 percent of adults in Sub-Saharan Africa borrowing formally in 2024—well below the global developing market average of 24 percent—mobile money providers are responsible for the majority of those formal loans.
Kenya leads the region in mobile borrowing with 32 percent of adults borrowing from mobile money platforms, representing 86 percent of all formal borrowing in the country.
The report noted that 7 percent of all adults in Sub-Saharan Africa borrowed from mobile money providers last year, marking a major shift from conventional borrowing channels like banks and microfinance institutions.
Mobile money’s accessibility, low documentation requirements, and integration with digital ecosystems have accelerated credit inclusion for rural and underserved populations.
World Bank data also shows that mobile savings are rising sharply across the region, with 23 percent of adults saving via mobile accounts in 2024—more than double the 9 percent average across all low- and middle-income countries.
Overall, 40 percent of adults in Sub-Saharan Africa now own mobile money accounts, up from 27 percent in 2021, driven by strong adoption in countries such as Ghana, Kenya, Senegal, Uganda, and Zambia, where nearly half of all adults use the service to save.
The rise of mobile-based financial services has propelled formal savings in the region to 35 percent, up 12 percentage points since 2021, making Sub-Saharan Africa the second-best performer globally after East Asia and the Pacific.
The increased formal financial activity is positively impacting monetary policy transmission, savings mobilisation, and domestic capital formation across key economies in the region.
Mobile money providers, including MTN Group, Airtel Africa, Safaricom, Vodacom, and Orange, have emerged as central players in Africa’s evolving financial infrastructure.
The expansion of mobile credit has also helped reduce informal borrowing reliance, with a growing number of users transitioning to regulated platforms that offer transparency and traceability.
Despite the progress, formal borrowing remains subdued compared to savings, reflecting lingering challenges around risk assessment, borrower capacity, and regulatory harmonisation across markets.
Only 20 percent of mobile money account holders use the service to pay merchants directly, signaling room for further ecosystem development around merchant services and digital commerce.
The World Bank noted that mobile finance continues to bridge longstanding gaps in access, particularly in rural and low-income areas where conventional banking services remain scarce.
With over 60 percent of adults in the region now saving formally or informally, up from just over 50 percent in 2021, digital finance is increasingly driving household financial security and supporting small-scale enterprise growth.
The ongoing mobile money expansion positions Africa as a global leader in inclusive digital financial services, with significant implications for fintech investments, regulatory evolution, and regional economic integration.
