Uganda saw its mobile financial services sector register 700,000 new mobile money accounts from the start of January to the end of March this year.
The growth saw the registered accounts grow from 24.7 million in December 2019 to 25.4 million in March 2020, according to the latest communications sector market performance report released by UCC.
Of these, the report says, 21 million accounts undertook at least one billable mobile money transaction in the 90 days preceding March 31. For every two Ugandans, at least one has an active mobile wallet.
“While registered accounts grew at only 0.9% during the quarter, the growth in active mobile money accounts averaged 4% during the same period,” the report states, pointing out that seventy-five (75%) of the new transactions were on previously dormant accounts.
During the same period, the industry enrolled a record 1.8 million new mobile subscribers.
Mobile subscriptions stood at 28.4 million at the end of March, up from 26.7 million three months earlier, representing a 7% quarter-on-quarter growth.
The report also indicates that internet subscriptions rose from 16.9 million to 18.8 million during the same period.
"This leap was in line with the yearly trajectory, which saw total internet subscriptions grow by 31% over 12 months (March 2019 – March 2020)," says UCC.
Mobile devices continued to stand out as the internet access medium of choice, accounting for more than 95% of new growth during the quarter. At the end of the review period, mobile internet subscriptions accounted for 99.6% of all internet subscriptions.
“The new growth in internet subscriptions and internet-enabled hardware on the market translates into an internet penetration of 45 internet connections per 100 Ugandans,” the report says.
Feature phones with basic internet access and smartphones remain the driver of the new mobile internet subscriptions, having grown from 23.8 million devices in December 2019 to 24.4 million in March 2020.