The impact of technology on banking in Cameroon

Abstract

This research analyses the significance of modern technology in transforming the digital banking sector of Cameroon. It studies the role of mobile money banking in facilitating financial inclusion and the socioeconomic impact in Cameroon. The availability of mobile banking has played an instrumental role in integrating many unbanked Cameroonians citizens and reduced rural-urban travelling for banking reasons. This is one of the many benefits advancement technologies has brought in Cameroon. However, issues of phishing and online fraud have also skyrocketed due to insufficient tech knowledge and inefficient authentication processes. The research was to understand the economic impact of USSD banking in mitigating financial exclusion and the challenges encountered by end-users in Cameroon. This study was conducted using a combination of secondary data and primary data obtained through a Google form survey. A total of 41 responses were received.

The data reveals an uptrend in the number of new mobile money accounts as compared to traditional banks. It also shows that offline banking has more active daily usage than traditional banks. However, many respondents indicate that the level of fraudulent activity has skyrocketed, and the security of text-based banking is inadequate in safeguarding end-users. The findings show that USSD customers face challenges such smishing attack, identity theft, high withdrawal cost, and poor customer service.