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Mobile Money and the Future of Digital Currency: Evidence from Kenya

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  • Morshed, Monzur

Abstract

This paper explores the dynamics of mobile money adoption and satisfaction in Kenya, using household survey data from the Research ICT Africa (RIA) series. The study examines demographic and socio-economic determinants of M-Pesa ownership and user satisfaction through logistic and Poisson regression models. Results suggest that traditional barriers such as gender, age, and education have limited influence on M-Pesa adoption and user satisfaction, indicating a narrowing digital divide. Although the intensity of mobile money usage is proxied by self-reported satisfaction scores rather than transaction frequency, the analysis highlights the platform’s widespread acceptance and usability. These findings carry important implications for the design and rollout of central bank digital currencies (CBDCs), particularly in low- and middle-income countries. Kenya’s experience with M-Pesa provides a valuable reference point for future digital currency innovations that are inclusive, trusted, and infrastructure-ready.

Suggested Citation

  • Morshed, Monzur, 2025. "Mobile Money and the Future of Digital Currency: Evidence from Kenya," OSF Preprints msbz4_v1, Center for Open Science.
    • Handle: RePEc:osf:osfxxx:msbz4_v1
    DOI: 10.31219/osf.io/msbz4_v1
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    References listed on IDEAS

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    1. Jenny C. Aker & Isaac M. Mbiti, 2010. "Mobile Phones and Economic Development in Africa," Journal of Economic Perspectives, American Economic Association, vol. 24(3), pages 207-232, Summer.
    2. William Jack & Tavneet Suri, 2011. "Mobile Money: The Economics of M-PESA," NBER Working Papers 16721, National Bureau of Economic Research, Inc.
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