I was recently asked if regulators are catching up with the innovations of Mobile Money in Africa. In my experience, we have seen some positive steps being taken by regulators to facilitate the introduction of Mobile Money but there is still a long way to go. I am encouraged by the interest that regulators are taking in this industry but I believe there is a fine balance between open regulation to create an enabling environment and strict regulation to reduce risk.

In countries where regulatory policy for mobile money implementations is limited, often a good starting point is to investigate the policies that Money Service Providers are regulated under and then determine how these policies can be adjusted to apply to electronic transfers.

As the industry evolves, regulators need to be fluid in their approach to Mobile Money so they can strike the right balance in their particular market. A key objective for the Regulator should be to maintain objectivity and avoid being cajoled into severe regulation from industry players that fear competition.

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Name: Aleeda Fazal Title: Director Company: Paradigm Solutions & Consulting View Aleeda Fazal's Blog