| Abstract: |
This study focuses on linkages between bank accounts and supply-side mobile
money drivers for mobile money innovations. It seeks to understand how bank
accounts can be complemented with mobile subscription and mobile connectivity
dynamics (i.e., mobile connectivity coverage and mobile connectivity
performance) for mobile money innovations. The empirical evidence is based on
quadratic Tobit regressions. First, there are positive net relationships from
the roles of mobile subscriptions and mobile connectivity coverage in
modulating bank accounts for mobile money innovations. Second, mobile
connectivity performance does not significantly modulate bank accounts for
mobile money innovations. Third, given the negative marginal relationships
associated with the positive net relationships, thresholds for complementary
policies in mobile money supply factors that are worthwhile for bank accounts
to stimulate mobile money innovations are provided. The thresholds are: (i)
mobile subscription rates of 87.50%, 80.50%, and 98.50% of the adult
population for respectively, the mobile money accounts, the mobile used to
send money, and the mobile used to receive money, and (ii) mobile connectivity
coverages of 64.00%, 69.33%, and 78.00% for respectively, the mobile money
accounts, the mobile used to send money, and the mobile used to receive money. |