Background:Mobile money services have been associated with unprecedented access to financial services,notably to under-banked and unbanked populations.Thus,mobile money opens a channel through which to examine the sup...Background:Mobile money services have been associated with unprecedented access to financial services,notably to under-banked and unbanked populations.Thus,mobile money opens a channel through which to examine the supply of private sector credit in Uganda.This study investigates how mobile money services influence private sector credit growth.Methods:We applied the vector error correction(VEC)model and Granger causality analysis to Ugandan data from March 2009 to February 2016,the period when mobile money services were introduced.Results:The VEC model reveals that mobile money has a significant positive longrun association with private sector credit growth.Granger causality analysis reveals long-run unidirectional causality from mobile money to private sector credit.Conclusions:Mobile money is critical for financial intermediation because it attracts resources from both the banked and the unbanked populations into the formal financial system,facilitating private sector credit growth.展开更多
文摘Background:Mobile money services have been associated with unprecedented access to financial services,notably to under-banked and unbanked populations.Thus,mobile money opens a channel through which to examine the supply of private sector credit in Uganda.This study investigates how mobile money services influence private sector credit growth.Methods:We applied the vector error correction(VEC)model and Granger causality analysis to Ugandan data from March 2009 to February 2016,the period when mobile money services were introduced.Results:The VEC model reveals that mobile money has a significant positive longrun association with private sector credit growth.Granger causality analysis reveals long-run unidirectional causality from mobile money to private sector credit.Conclusions:Mobile money is critical for financial intermediation because it attracts resources from both the banked and the unbanked populations into the formal financial system,facilitating private sector credit growth.
