Mobile money, traditional financial services and firm productivity in Africa

Abstract Despite the successful adoption of mobile money in sub-Saharan Africa, there is limited empirical evidence on how interacts with traditional financial services and implications this interaction for firm performance. In paper, we investigate effects use access to labour productivity test whether can accentuate impact productivity. Using firm-level data from World Bank Enterprise Survey across 14 African countries, find a significant effect but no robust direct However, when services, particularly bank capital, combined money, improvement. We similar sample small medium-sized enterprises. The gain combining service also found within firms East Africa especially other regions where emerging, uptake relatively low. Overall, suggests that heighten finance, attribute reduction transaction costs. findings paper support both should be promoted at level.