Mobile Payment Systems in Mozambique's Commercial Agriculture Sector: An Economic Analysis

Mobile payment systems have gained significant traction in various sectors globally, including agriculture. In Mozambique, where commercial agriculture is a substantial part of the economy, mobile payments could enhance efficiency and transparency. Qualitative research methods were employed, including semi-structured interviews with stakeholders such as agricultural producers, suppliers, processors, and financiers. Data collection was conducted through fieldwork in selected regions of Mozambique. Mobile payment systems have been adopted by over 60% of surveyed farmers, primarily for reducing transaction costs and improving cash flow management. Farmers reported a reduction in average transaction fees from 5-10%, leading to significant savings. The study concludes that mobile payment systems offer substantial economic benefits to Mozambique's commercial agriculture sector by facilitating smoother financial transactions at both ends of the supply chain. Given the positive impacts observed, policymakers and agricultural associations should encourage wider adoption of mobile payment solutions in commercial agriculture. Additionally, further research into scalability and sustainability is recommended.