Comparison of mobile financial services between Bangladesh and Finland
Reya, Nowshin Noor (2021)
Reya, Nowshin Noor
2021
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Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi:amk-2021093018208
https://urn.fi/URN:NBN:fi:amk-2021093018208
Tiivistelmä
The domination of mobile financial services in the global finance sector is manifested in both developed and developing countries. In Bangladesh, for instance, traditional banking platforms had dominated the financial sector for several decades, but the entry of mobile financial services has expanded the scope of service delivery within the sector for non-bank financial institutions. A similar case exists in Finland, where an increase in the use of mobile financial services has forced players within the banking sector to consider revising the existing legislation and regulations to boost the operationalization of such services.
The issue, however, has been the skewed growth of mobile financial services, where the developing countries have shown an increase in the adoption of such services compared to the developed countries. In this analysis, some of the identified reasons for this phenomenon include the introduction of a larger population of developed countries that were never captured by the existing traditional banking processes with the introduction of mobile financial services. The other factor is the nature of the service packages that are provided through mobile financial services that have proven attractive to populations in the developing countries.
In the developed countries, the approach in incorporating mobile financial services has been in a complementary manner, as opposed to a mechanism of expansion, as is the case in developing countries. This explains the skewed growth of mobile financial services in the developing countries compared to developed countries.
The issue, however, has been the skewed growth of mobile financial services, where the developing countries have shown an increase in the adoption of such services compared to the developed countries. In this analysis, some of the identified reasons for this phenomenon include the introduction of a larger population of developed countries that were never captured by the existing traditional banking processes with the introduction of mobile financial services. The other factor is the nature of the service packages that are provided through mobile financial services that have proven attractive to populations in the developing countries.
In the developed countries, the approach in incorporating mobile financial services has been in a complementary manner, as opposed to a mechanism of expansion, as is the case in developing countries. This explains the skewed growth of mobile financial services in the developing countries compared to developed countries.