The Basics

Introductory trainings and resources

If you do not have experience in economic growth or need a refresher, start here. Regardless of your current knowledge level, consider joining the Digital Payments community of practice for additional support and to keep learning. 

Note: For general training on digital development and other aspects of digital technology, please see here.

1. Digital Development Training - Module 5 - Digital Economy 

   • Online, self-paced training, < 60 minutes The module is broader than digital financial services as it also addresses other aspects of a digital economy.

2. A Systemic Approach to Financial Inclusion - Module 1 

   • Online, self-paced training; 2 hours. The full training is broader than only digital financial services.

3. UN Principles for Responsible Digital Payments 

   • Online, self-paced training, 3-4 hours

4. Toolkit for Using Digital Payments in Development Programs 

   • Self-paced reading with links to videos. Specific to digital payments, not all digital financial services.

5. Digital Frontiers Institute

   • Variety of online, instructor-led classes at different prices, some free, offerings change regularly

Key Terms

Digital Payments are defined as transfers of money enabled by, or delivered through, digital technology. For example, digital payments can be made through mobile money, mobile wallets, electronic funds transfer (EFTs) between bank accounts, QR codes, credit/debit and prepaid cards, or online payments. While many of the resources in this guide are specific to mobile payments or mobile money they are not the entirety of digital financial services. Source: USAID Digital Finance Govt page

Digital financial services (DFS) are financial services enabled by or delivered through digital technology, (e.g., mobile phones, credit and debit cards, the internet).  These services use the functionality and transaction and credit histories created by digital payments to expand into credit, insurance, savings, and advisory services. They can be offered by a range of providers, from banks to a host of non-bank financial institutions, such as microfinance institutions, digital credit providers, payment providers, technology vendors, and electronic money issuers. Well-designed DFS products are created and piloted with the target users and operate in an environment that prioritizes consumer protection. The application of digital technology to financial services can also be referred to as “financial technology or FinTech”. Source: USAID Digital Finance Govt page

Digital Literacy is the ability to access, manage, understand, integrate, communicate, evaluate, and create information safely and appropriately through digital devices and networked technologies for participation in economic, social, and political life. USAID Digital Literacy Primer 

Digital Financial Literacy  is the application of digital literacy and financial literacy to enable the use of digital financial services. Having a basic understanding of finance and of managing money through digital tools, like a mobile phone or applications, is a prerequisite for the safe adoption of services like mobile money or digital credit. USAID Digital Literacy Primer 

Fintechs are companies that create technology used to support or enable banking and financial services, see “Digital Financial Services” Source: Building Resilient and Inclusive Digital Ecosystems

Mobile Financial Services are a subset of “electronic banking”, The use of a mobile phone to access financial services and execute financial transactions. This includes both transactional services (such as payments) and non-transactional services (such as viewing financial information on a user’s mobile phone). Mobile financial services include both mobile banking (m-banking) and mobile payments (m-payments). In some cases, MFS is defined broadly to include other means of accessing financial services remotely, such as Internet-enabled devices (tablets, laptops, desktops, smartphones) and PoS terminals Source: Guide to the Use of Digital Financial Services in Agriculture

Mobile Money also referred to as “Electronic money” or “e-money” is a type of monetary value electronically recorded and generally understood to have the following attributes: 1) issued upon receipt of funds; 2) stored electronically; 3) accepted as a means of payment by parties other than the user; and 4) redeemable for cash Source: Guide to the Use of Digital Financial Services in Agriculture

Mobile Network Operator (MNO) is also known as a Telco, they operate digital networks that provide mobile communications services including voice, data, and broadband services. Source: Building Resilient and Inclusive Digital Ecosystems

Branchless Banking or Banking beyond Branches is the delivery of financial services (whether by banks or by other providers) outside of conventional bank branches. Banking beyond branches uses agents or other third-party intermediaries as the primary points of contact with customers and relies on technologies, such as card-reading point of sale (PoS) terminals and mobile phones, to transmit transaction details. Source: Guide to the Use of Digital Financial Services in Agriculture

Digital Wallet is a digital payment wallet, usually accessible through a mobile device, that allows users to transact, save and receive payments digitally Source: Building Resilient and Inclusive Digital Ecosystems

Know-Your-Customer (KYC) - The process of identifying and verifying the identity (and risk) of customers for financial services. Source: Building Resilient and Inclusive Digital Ecosystems

Interoperability - generally refers to platforms that permit the transfer of funds from mobile accounts of one service provider to mobile accounts of another service provider. Source: Guide to the Use of Digital Financial Services in Agriculture