Mobile Money Agents and the Financial Inclusion Drive of Central Bank of Nigeria

Abstract

In recent time, financial inclusion has assumed a critical development policy priority in Nigeria. The inability of the Central Bank of Nigeria (CBN) to achieve financial inclusion despite all efforts yielded no desirable results. This study examined the role of mobile money agents on the current financial inclusion drive by CBN. This study employed descriptive survey, correlation analysis, structural modeling and Fleiss Multirater Kappa technique to analyze 398 survey questionnaires administered on both the customers and the mobile money agents. The result of the correlation analysis (89.7%) shows that there is a positive relationship between mobile money agents and financial inclusion drive. Though there was evidence for low quality services by mobile money agents, the mobile money agents’ role can be an important tool in achieving financial inclusion in Nigeria. Therefore, it is recommended that public enlightenment campaign should be heightened, as to inform the society on the importance of financial inclusion through mobile money agents. There are reports of arbitrary charges by banks on mobile money customers. Consequently, the banks need to be more transparent and honest in dealing with their customers; hence the banks should ensure the complete removal of all unauthorized arbitrary charges against the customers’ accounts. Finally, the CBN needs to adequately monitor the banks to ensure total compliance to CBN’s approved charges only.