Do you send money to Pakistan through a mobile application? The mobile industry is rapidly expanding, and its users are rising by the day. The availability of low-cost cell phone services is the primary factor. Second, similar utilities are integrated with banks, and mobile service providers charge meagre rates, and in some cases, no charges at all. It is the method by which you gain access to your account. The term “mobile banking” refers to a transaction that is sent through a mobile device.
Mobile banking allows customers to check their account statements, credit card information and receive information about account operations such as receiving and sending money to Pakistan online from abroad through SMS alerts. Pakistan’s telecom sector has expanded dramatically and now meets international security standards. It began as a luxury and status symbol for the rich, but it is now affordable to the average citizen.
How Mobile Banking Helps Low-Income Families in Developing Countries?
Even though we live in the twenty-first century and the age of technology, global access to basic banking and financial services remains surprisingly limited. According to recent data, approximately 2 billion adults worldwide remain outside of the formal financial system, with most of them living in developing countries. According to World Bank statistics, only 14% of adults in the Middle East, for example, have a bank account.
Inadequate access to these resources stifles growth by restricting opportunities to start and develop a business, create jobs, and acquire skills and knowledge.
Enlarging branchless and digital banking and financial services is one way to solve the issue. Such services have sparked a lot of interest because of their potential to change the way low-income people access these services like online money transfer to Pakistan and handle their finances, eventually leading to full financial inclusion.
Digital Financial Services (DFS) have many potentials to help the low-income families, unbanked and underbanked, get access to banking and financial services like money transfers to Pakistan and abroad. Despite these advancements, the overwhelming majority of countries remain underdeveloped regarding technology adoption and use for financial inclusion. Regulators are typically cautious, and little or no legislation has been established. Many central banks also take a careful approach, limiting all financial operations to prudentially supervised organisations.