Unserved by banks, poor Kenyans now just use a cellphone

Unserved by banks, poor Kenyans now just use a cellphone

With a click of a cellphone key, Bernard Otieno makes the transfer – sending funds instantly from his residence in a sprawling Nairobi slum to his wife, who holds down their rural family farm some 250 miles away.

Mr. Otieno, a security guard who works the night shift, used to risk carrying cash on infrequent, slow trips to his hometown or pay high rates to send money through the post office.

Now, he's one of a growing number of Kenyans tapping into a service called M-PESA – M for "mobile" and pesa for "cash" in Swahili. Launched this year, it's one of the world's first cellphone-to-cellphone cash-transfer services for people who lack access to conventional banks.

Matthew Clark

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