Mobile MoneyRegulatory Impact and Reference Cases

Olutunmbi Idowu

Head of Compliance and Risk Control Ericsson M-Commerce

1 billion connected places

50 billion connected things

Pace of change

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The networked society

2 B Internet

users

6+ B Mobile

Subscriptions

2.5 billion Lack

Bank account. 2.1 B of these have a mobile

200.000 SMS

each second

2 B creditcard holders

80% Population

Coverage

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M-commerce is gaining momentum

>60M*Active users by June 2013

228*Live deployments in emerging markets February 2014

9Countries have more mobile money accounts than bank accounts

>1BOf non bank account owners have a mobile

2,5B**Lack a bank account

* Source: GSMA MMU Deployment Tracker, 225 Deployments in February 2014

** Source: GSMA MMU State of the Industry Report 2013

*** Source: Ericsson 2014

Financial and Bank regulators

Mobile Money Event Iran | Commercial in confidence | © Ericsson AB 2015 | 2015-01-15 | Page ‹#›

REGULATORY MODELS

Hybrid ModelBank Led Model

+Agent Banking

Model

=

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Innovation & execution required in all dimensionsIN

NO

VA

TIO

N

Applications & Services

Fit-For-Purpose Regulatory Framework and Government Engagement

Financial Inclusion & Stakeholder Activation

Technology & Processes

Ecosystem

ERICSSON INTERCONNECT

ERICSSON CONVERGEDWALLET

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open money

CONNECTING THE ECO SYSTEMS

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› Innovation, adaption & execution - in all dimensions

› Digitization of cash & financial inclusion - key for social growth

› Mobile technology - lower distribution costs, secure transactions

› Purpose driven partnership between key stakeholders

› Sustainability

Conclusions

Mobile Money Event Iran | Commercial in confidence | © Ericsson AB 2015 | 2015-01-15 | Page ‹#›

It’s timefor Moneyto Change

When money is open, the way we send, spend, and receive money will change forever.

Mobile Money Event Iran | Commercial in confidence | © Ericsson AB 2015 | 2015-01-15 | Page ‹#›