Ghana & Rwanda

GHANA & RWANDASUMMARY INSIGHTS FROM

NATIONAL SURVEYS

Nairobi, Kenya

August, 2015

CONTENTS

GHANA & RWANDA

2

About the surveys

Financial Sector Highlights

Use of Banking Services in Ghana

Use of Mobile Money Services in Rwanda

http://www.finclusion.org




THE DFS SURVEY DETAILS

Rwanda

• Nationally representative survey

(N=2,003) of Rwandese adults

aged 15+

• Face-to-face interviews lasting,

on average, 66 minutes

• Conducted from December 10,

2014 to February 18, 2015

• Provides baseline measurements.

Subsequent annual surveys will

measure trends and track market

developments in DFS

GHANA & RWANDA

Ghana

• Nationally representative

survey (N=3,002) of

Ghanaian adults aged 15+

• Face-to-face interviews

lasting, on average, 64

minutes

• Conducted from December

1, 2014 to January 3, 2015

• Provides baseline

measurements. Subsequent

annual surveys will measure

trends and track market

developments in DFS

Data collected

• Basic demographics

• Poverty measurement (Grameen

Progress Out of Poverty Index)

• Access/use of mobile devices

• Access/use of mobile money

• Access/use of formal financial

services (e.g., bank accounts)

• Access/use of semi-formal and

informal financial services (e.g.,

SACCO, cooperatives, self-help

groups)

• Financial literacy and

preparedness

• Technical literacy





FINANCIAL SECTOR HIGHLIGHTS

GHANA& RWANDA

4





Source: InterMedia FII Tracker Surveys 2014-2015.

IndicatorsKenya

(n=2,995)

Tanzania

（n=3,000)

Uganda

(n=3,001)

Rwanda

(n=2,003)

Ghana

(n=3,002)

% have required ID 82% 61% 59% 90% 98%

% with basic numeracy 90% 93% 79% 87% 95%

% own a mobile phone 74% 72% 58% 47% 91%

% ever send/receive SMS 69% 61% 50% 37% 74%

96%91%

74%

95% 98%

Have access to amobile phone

Own a mobilephone

Ever send/receivetext messages

Have basicnumeracy

Have an ID

Key indicators of preparedness for digital financial services (Ghana)(All adults, N=3,002)

equipment skills

GHANA & RWANDA

Ghana is not held back by any of the typical constrains in DFS

development unlike Rwanda that ranks the lowest among other FII

countries in preparedness for DFS uptake and use





GHANA & RWANDA DFS SNAPSHOT

In Ghana, banks are the key drivers of registered use of financial services

34% have bank accounts

9% have nonbank financial

institution accounts

(excluding credit only)

20% have registered mobile money

accounts

*Overlap representing those who have multiple kinds of financial accounts is not shown.

48% of adult Ghanaians

have financial accounts

37% of adult Rwandese

have financial accounts

16% have bank accounts

23% have registered mobile money

accounts

16% have nonbank financial

institution accounts

(excluding credit only)

In Rwanda, mobile money is driving

registered use of financial services










GHANA

7

Across FII countries in Africa, the gap in financial service use is the highest

by poverty status, followed by location and gender. Active use of financial

services in Ghana is reasonably balanced, Rwanda shows a drastic gap in

all three demographic groups.

Source: InterMedia FII surveys in Kenya, Tanzania, Ghana, Uganda and Rwanda, 2014-2015.

100% 100%

89%

59%

28%

56%

39%

61%

28%

39%

25%31%

Active account holder,bank

Active account holder,MM

Gap in active account ownership by

poverty status

100% 100%

48%

73%

103%

63%57%

78%

33%41%

23%

32%


Active account holder, MM

Normalized men, urban or above the poverty level

Kenya

Tanzania

Ghana

Uganda

Rwanda


location (urban/rural)

100% 100%

55%

88%

71%

81%

33%

86%

65%

76%

63%

54%


Active account holder, MM


gender

USE OF BANKING SERVICES IN GHANA

GHANA

8





6%

1%

22%

71%

Lapsed digital bank account holders Unregistered users of digital bank accounts

Active digital bank account holders Do not have digital access to a bank account

GHANA

Digital bank accounts in Ghana are more common than in any other FII Africa countries; those with a digital account access it through more than one digital channel

Method of access (Shown: Percentage of active digital bank account holders, n=177)

Digital bank account access* (Total population, N=3,002)

* Digital bank accounts offer at least one of the following options: debit/ATM or credit cards, internet or mobile access, or a digital money

transfer capability.

Active digital account

holders (22%) use a

variety of methods

*Question allowed for multiple responses.

55%

63%

86%

Can access a bank account viainternet or mobile app

Can transfer money digitally

Have a credit or a debit/ATM card


Adults with active

digital bank accounts

Kenya 20% Tanzania 6% Uganda 10% Rwanda 9%









47%

14%

38%

Basic use only (CICO)

Basic use and P2P

At least one advancedactivity

GHANA

Bank account uses(Shown: Percentage of active bank account holders,

n=751)

Top advanced bank account uses(Shown: Percentage of active bank account holders,

n=751)

• Active account holders

conduct, on average,

two advanced activities.

• 12% conduct three

advanced activities.

4%

6%

7%

13%

15%

16%

Insurance-related activities

bank2mm or bank2banktransfers

G2P

Receive wages

Bill pay

Save/set aside money

The top advanced bank account uses are saving and bill pay










In Ghana, bank account holders are more active than the general population in

performing various financial activities; however, even those who only use bank

accounts use them mostly for P2P transfers and few – to save

GHANA

Use of banks for common financial services(Shown: Percentage of the respective groups)

60%

51%46%

43% 42%

25%

12%8% 6%

69%

93%

56%

48%51%

34%

16% 14%11%

31%

14%

3% 2%

9% 11%

3% 2%6%

Send or receiveP2P payments

Save or set asidemoney

Pay a regular billfor electricity,

cabel, water, etc.

Pay a medical bill Pay school fees Receive wages Pay insurancepremiums or

receive claims

Make P2Gpayments

Receive G2Ppayments

% adults performing the activity (N=3,002) %bank account holders performing the activity (n=1,015)

%bank account holders performing the activity through a bank (n=1,015)






Receiving payment from customers is the most common business transaction done via bank accounts

GHANA

Business related transactions on bank accounts(Shown: Percentage of active bank account holders who use accounts to make payments, n=85)

14%

19%

20%

26%

28%

30%

48%

Pay business associated expenses

Make investments

Pay for agricultural inputs

Pay suppliers

Receive payments from distributors

Pay employees

Receive payments from customers 11% of active bank account

holders use their accounts for

business-related transactions






USE OF MOBILE MONEY SERVICES IN RWANDA

RWANDA

13





The majority of Rwandese adopt mobile money for basic transactions

(P2P transfers) but some also adopt to save

RWANDA

Top reasons for starting to use a mobile money account(Shown: Percentage of active mobile money account holders, n=317)

40%

I had to receive

money from

another person

20% 9% 5% 2% 2%

I had to send

money to

another person

Wanted to start

saving money

with a mobile

money account

An agent

convinced me

I saw

billboards/post

ers/

radio/TV

adverts that

convinced me

I wanted a

safe place

to keep/store

our money






Advanced usage of mobile money services is more common in Rwanda,

bill pay tops the list with a quarter of customers using this feature

RWANDA

Advanced mobile money account uses(Shown: Percentage of active mobile money account holders, n=317)

Make mm2mm or mm2bank transfers

Bill pay*

Save/set aside money

Pay in person for goods and services

Pay remotely for goods and services

Receive wages

Receive G2P payments

Loan activity

Insurance activity

17.0%

14.0%

6.0%

2.0%

2.0%

0.6%

9.0%

3.0%

3.0%

25%

7%

2%

2%

2%

1%

1%

0.8%

0.5%

*Bill pay category includes paying

formal bills for buying commercial and

government services, including utility bills,

rent, payments of fees/fines/taxes.

Note: Question allowed for multiple

responses.

RwandaAverage for Kenya, Uganda & Tanzania






In Rwanda most customers are using the bill pay feature for electricity

and there is great potential to digitise other payment flows

RWANDA

Bill pay activity on mobile money accounts(Shown: Percentage of mobile money account holders who use accounts to make payments, n=77)

Those who pay bills with mobile money accounts,

Type of bill

1%

2%

3%

6%

7%

7%

12%

86%

Pay for solar lantern or system

Pay a government bill

Pay water access or delivery

Pay rent

Pay medical bill

Pay for TV, satellite, cable

Pay school fee

Pay electricity bill

25%

% of active MM account holders who use their

accounts for paying bills






Payroll is the most common business transaction done via mobile money

RWANDA

Business related transactions on mobile money accounts(Shown: Percentage of active MM account holders who use accounts to make payments, n=35*)

6%

11%

19%

19%

23%

31%

34%

43%

Pay for agricultural inputs

Receive payments from distributors

Reinvest in business (equipment,expansion, training)

Send money to employess to buy supplies& materials

Pay bills (rent, taxes, utilities)

Pay suppliers

Receive payments from customers

Pay employees • 10% of active MM account

holders use their accounts for

business-related transactions

*The analysis on this slide

is done on a small sample

(n<50) and should be treated

with caution.






Food for thought!

How come mobile money uptake lags in Ghana and not Rwanda?

GHANA & RWANDA


• Digital bank accounts in Ghana are more

common than Rwanda (55% of active bank

account holders can access a bank account

via internet or mobile app).

• In Ghana there is no clear disadvantaged

group, access and use of DFS is relatively

more balanced by poverty status, location

and gender unlike in Rwanda.

• It appears that the difference in financial

landscape and financial institution offers

creates unique settings in Ghana and

Rwanda – in Ghana, supporting the

expansion of bank use and in Rwanda

creating fruitful environment for expansion

of mobile money.

• Top uses of banks in Ghana and mobile

money in Rwanda (savings & bill pay) are

the same.









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Economy & Finance

Ghana & Rwanda