A post written by Indi Samarajiva from LIRNEasia on December 10, 2009

IMTFI Researcher Harsha de Silva:
I’m looking at mobile payments from an economics angle. The idea here is to understand the volatility of cash flow of the poor. Then the prevalence of m-commerce to smoothen consumption. Then finally how to increase use of m-commerce solutions.
 
As a logic for this, you’re looking at people with irregular income streams. They have work some days, don’t other days. These guys have volatile cash flow and it’s very dissimilar to the people sitting in this room. We’re trying to see if mobile 2.0 services can be used to smoothen the expenditure.
 
The idea here is, look at the poor people here, sometimes they skip meals. Is it possible to use the service, the phone such that they don’t have to skip a meal. We’re looking and males and females, 18-50, with irregular income streams.
 
For the full story, please visit: http://lirneasia.net/2009/12/m-transfers-as-a-way-out-of-poverty/
 
For a related post by Halik Azeez on December 9, 2009, "Mobile Money: Harsha De Silva"
Understanding the volatility of cash flow of poor people is important in assessing the mass appeal of Mobile Money. M transfers must be used to smoothen consumption and expense. We need to consider how a poor person who skips meals can use technology to avoid it.
For the full story, please visit: http://lirneasia.net/2009/12/mobile-money-harsha-de-silva/