Blue EconomyEconomy And Business

Mobile Money Sparks Saving Boom in Developing Countries

2 Mins read

…World Bank’s latest Global Findex report reveals record growth in formal savings and digital finance access, driven by mobile technology and inclusive infrastructure.

By Bunmi Yekini

More adults in low- and middle-income countries are saving formally than ever before, thanks in part to a dramatic rise in mobile-money use and digital financial infrastructure, according to the newly released Global Findex 2025 report by the World Bank Group.

In what experts are calling a watershed moment for global financial inclusion, the report shows that 40% of adults in developing economies saved through a financial account in 2024—a remarkable 16-percentage-point jump from 2021, marking the fastest increase in over a decade. Sub-Saharan Africa alone recorded a 12-point surge in formal savings, with 35% of adults now actively saving through banks or mobile platforms.

“Financial inclusion has the potential to improve lives and transform entire economies,” said World Bank Group President Ajay Banga. “Digital finance can convert this potential into reality, but several ingredients need to be in place. At the World Bank Group, we’re working on all of them.”

Banga highlighted the World Bank’s push to expand access to digital identification systems, modernize payments, and implement secure digital cash transfer programs as critical steps toward accelerating financial inclusion.

A key driver of this progress is the mobile phone. According to the report, 10% of adults in developing countries now use mobile-money accounts to save—double the figure from 2021. Globally, 86% of adults own a mobile phone, with 68% using smartphones, giving millions a gateway to banking services that were previously out of reach.

“More people than ever have the financial tools to invest in their futures and build economic resilience, including women and others previously left behind,” said Bill Gates, Chair of the Bill & Melinda Gates Foundation, a longtime supporter of the Findex. “This is real progress. The case for investing in inclusive financial systems, digital public infrastructure, and connectivity is clear—it’s a proven path to unlocking opportunity for everyone.”

Indeed, mobile phones are becoming a powerful equalizer. The gender gap in account ownership is shrinking: 77% of women worldwide now own financial accounts, compared to 81% of men. In low- and middle-income countries, women’s account ownership has nearly doubled since 2011, rising from 37% to 73%.

Still, 1.3 billion adults globally remain outside the formal financial system. Encouragingly, 900 million of them own mobile phones, including 530 million with smartphones, offering a unique opportunity to close the gap through digital platforms.

Yet, with growing digital use comes risk. Only half of the 4 billion mobile phone users in low- and middle-income economies use passwords to protect their devices, raising concerns about data privacy and financial security.

The Findex also reveals a broader shift toward digital transactions. In 2024, 42% of adults in developing economies made digital payments to merchants, either in-store or online, compared to 35% in 2021. Three-quarters of adults receiving government payments now get them directly into an account, reducing corruption and leakage.

Regional Snapshots:

Sub-Saharan Africa: Leads globally in mobile money usage, with account ownership now at 58%.

South Asia: Nearly 80% of adults own an account, driven by India’s near-universal coverage.

Middle East and North Africa: Account ownership rose to 53%, and formal savings increased from 11% to 17%.

Latin America and the Caribbean: Over half of adults use their accounts digitally via card or mobile.

East Asia and Pacific: 83% of adults have an account, with digital connectivity topping global charts.

Europe and Central Asia: Boasts the highest mobile ownership (94%) and internet usage among developing regions.

As financial inclusion rises, experts say the next steps involve bolstering consumer protection, securing digital platforms, and expanding public-private investments in digital infrastructure.

With billions now participating in the formal financial ecosystem, many for the first time, the world is witnessing not just a banking revolution, but a structural shift in how people save, transact, and build their financial futures.

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