Factors Affecting Transaction Value of Mobile Financial Services: Illustration from an Emerging Economy

Abstract

The objective of this study is to identify the factors that affect the value of mobile financial services (MFS) transactions. To attain the aim, this research collects data from the Bangladesh Bank database that spans December 2018 and October 2021. The study employs an ordinary least squares (OLS) method to analyze the data. It finds that the value of MFS transactions is affected in a positive and significant way by the amount of remittances, e-commerce transactions, school banking, and the flow of private credit. Policymakers should come up with plans that make it easier for money to flow freely through the economy and help a developing country with similar institutional dynamics to grow.

Keywords: Mobile financial services, E-commerce, Remittance, Emerging economy

DOI: 10.7176/EJBM/14-10-13

Publication date:May 31^st 2022