Mozambique has enhanced its financial oversight by integrating mobile money into its banking system, placing the country among the top 10 in Africa for mobile money regulation, according to the GSMA Mobile Money Regulatory Index 2024. This progress reflects Mozambique’s commitment to fostering a secure and inclusive digital financial ecosystem.
Two main factors have contributed to Mozambique's improved regulatory standing: In 2023, the country took substantial steps to strengthen financial inclusion and ensure equitable access to financial services. These measures included the approval of three key regulatory documents concerning Non-Banking Agents, Registration of Virtual Service Providers, and Pre-Contractual Information on Credit. Furthermore, revisions to the National Payment System Act were underway. The expansion of interoperability between mobile money operators and banking institutions has played a crucial role. This increased integration has streamlined digital payments and broadened financial inclusion.
Challenges in Mobile Money Adoption: Urban vs. Rural Divide
Despite the increasing adoption of mobile money, significant challenges persist in ensuring equitable access and effective usage, particularly between urban and rural areas.
Urban Areas: In cities like Maputo, Beira, and Nampula, mobile money adoption is relatively high, driven by better digital infrastructure, widespread smartphone access, and higher financial literacy. Urban consumers frequently use mobile money for bill payments, e-commerce, and remittances, benefiting from interoperability between banks and mobile operators.
Rural Areas: In contrast, rural communities face limited network coverage, low smartphone penetration, and a lack of financial and digital literacy. Many rural residents still rely on cash-based transactions, and traditional banking services remain scarce. Additionally, cultural norms and social inequalities can hinder adoption, particularly for women and marginalized groups.
These disparities highlight the need for targeted policies to bridge the digital divide, such as expanding mobile network infrastructure, improving financial education, and promoting inclusive fintech solutions.
Top 10 African Countries in Mobile Money Regulation
According to the GSMA Mobile Money Regulatory Index 2024, Mozambique ranks 6th among African nations with strong mobile money regulations.
The full rankings are:
1. Ghana – Score: 95.06
Ghana leads in mobile money regulation, ensuring secure and accessible financial services.
2. Malawi – Score: 93.88
Malawi ranks second, with strong policies promoting financial inclusion.
3. Lesotho – Score: 92.58
Lesotho has implemented effective regulations that enhance mobile money transactions.
4. Uganda – Score: 88.33
Uganda supports interoperability, allowing seamless transactions across different platforms.
5. Tanzania – Score: 87.16
Tanzania has developed a robust framework for mobile money oversight and regulation.
6. Mozambique – Score: 86.91
Mozambique has strengthened financial oversight by integrating mobile money into its banking system.
7. Morocco – Score: 86.75
Morocco adopts regulatory measures that encourage innovation while ensuring compliance.
8. Ethiopia – Score: 86.56
Ethiopia is refining its mobile money regulations to enhance digital financial services.
9. Madagascar – Score: 86.29
Madagascar advances policies that support secure and transparent mobile transactions.
10. Nigeria – Score: 85.34
Nigeria focuses on strengthening regulations for efficient and secure mobile money services.
The Path Forward
For Mozambique to fully leverage mobile money as a tool for financial inclusion, addressing the urban-rural gap is essential. Expanding network infrastructure in remote areas, enhancing digital literacy programs, and simplifying mobile money platforms can significantly improve access and usage. With continued regulatory improvements, Mozambique has the potential to become a leader in mobile financial services, driving economic empowerment across all regions.
