FICS Researchers Investigate – Mobile money in developing countries: study reveals security flaws in apps

The developed world takes universal cashless payment systems for granted. From credit cards and online banking to massive scale business-to-business transactions, our modern economy is reliant on regular and instantaneous movement of funds. And for the most part, transactions are secure and customers are safe from electronic fraud. But can the same be said of the systems in developing countries?

Mobile money offers tremendous promise to enable financial inclusion in the global south, where in many countries more people have a mobile phone than a bank account. These systems have been viewed as an improvement to physical security because customers no longer need to carry large amounts of currency or travel long distances to make payments. However, little attention has been paid to whether these accounts are actually secure and customers’ money is safe, until now.

We recently published a security analysis of mobile money apps in developing countries, focusing on a new wave of branchless banking applications designed for smartphones. […]

Read the entire article at The Guardian here.