Abstract

Digital savings has become an enabler of financial inclusion and economic empowerment in the developing countries. However, questions still arise over the category of consumers these existing digital savings products intend to serve. Existing literature points to the benefits that a savings account provides – financial health, buffer for emergencies, foothold for investments, etc. While the new players have stepped in to bridge the exclusion gap left by the traditional banks, a select customer segment is being excluded by default. The product and service offerings from current providers boast of exceptional digital experiences, aesthetic user interfaces, fancy dashboards, trackable transaction tools and convenience, individuals without access to the internet and across the digital divide are not being targeted. Consequently, this degrades the financial inclusion drive. Similarly, the context of digital savings remains undefined leading to key misconceptions in the subject. This paper examines whether digital savings includes or excludes the unbanked and low-income population who need such services. For digital savings to achieve its full potential in financial inclusion, this paper argues that providers need to consider users without internet access in their delivery of digital savings products. Thus, it becomes imperative to examine whether the expected users are the apparent consumers of such products and services.

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