Financial inclusion is much more than a question of technology

The challenge of successful financial integration in Africa lies in providing appropriate financial education, a detailed analysis of user behaviour and proactive stakeholder engagement.

Financial innovations are often dictated by external constraints. To meet technical and regulatory requirements, organisations tend to favour technological solutions which, however efficient they may be, are not enough to guarantee universal financial accessibility.

The challenge of successful financial integration in Africa goes far beyond digital infrastructures. It relies on appropriate financial education, a detailed analysis of user behaviour, and proactive stakeholder engagement.

The experience of the last twenty years has shown that ingenious advances such as mobile money have only met with massive success when they are accompanied by an in-depth understanding of the sociocultural and economic realities of the target populations.

Sub-Saharan Africa is certainly the leading continent in terms of the adoption of mobile money, with more than 850 million accounts registered in 2023 ; yet a significant proportion of the population remains financially excluded.

Why is this? Because the adoption of financial technologies is not just a question of infrastructure. There are many obstacles. First, a lack of confidence in digital technology. In 2022, a World Bank study revealed that 30% of unbanked adults in sub-Saharan Africa do not trust digital financial institutions.

In addition, the level of financial education remains low. A survey conducted by the Alliance for Financial Inclusion (AFI) shows that only 38% of Africans have a basic knowledge of financial concepts.

Finally, the cost of financial services remains high: even with digital solutions, the cost of transactions remains a major barrier, particularly in rural areas where incomes are low.

The user experience

Therefore, sustainable financial inclusion requires a multidimensional approach, integrating not only technological innovations but also expert support and adaptation to local specificities.

To accelerate the adoption of digital financial services, organisations must design seamless and accessible user experiences, integrating appropriate awareness campaigns.

The use of various digital channels (SMS, WhatsApp, social networks, personalised emailing) makes it possible to educate users about the benefits of digital financial services.

For example, M-Pesa has succeeded in gaining the trust of Kenyan users by sharing authentic testimonials about the impact of mobile money in everyday life.

It also seems useful to simplify interfaces and adapt them to local languages; using local languages in the interfaces of financial applications increases the adoption of services by 40%.

All this must be accompanied by a strengthening of field agents. In Tanzania, for example, collaboration between Fintechs and banking agent networks has led to a 25% growth in the adoption of mobile money in rural areas in just two years.

Successful financial inclusion requires a concerted commitment from all stakeholders; governments and regulators must facilitate an enabling environment with clear and inclusive regulations. Financial institutions and Fintechs must offer products that are accessible, affordable and adapted to local realities. Not to mention that NGOs and development partners play a key role in financial education and support for vulnerable populations.

By combining technological innovation, educational support and targeted marketing strategies, financial sector players can transform financial inclusion into a sustainable and impactful reality. It is essential that this transformation takes economic, social and environmental issues into account, to ensure inclusive and equitable growth.

To achieve this transformation, it is essential to surround oneself with experts capable of adopting a global approach based on the user’s experience throughout their financial journey.

This approach must combine technology, distribution network analysis, re-evaluation of the economic and organisational model and a dedicated marketing strategy to establish a value proposition aligned with both innovation and the concrete needs of customers.

Financial inclusion will only be truly achieved when it ceases to be perceived as a simple technological challenge and becomes a global dynamic of social and economic transformation.