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Mobile phones are growth drivers: Vodafone study

Survey says Rising subscriptions between 2010 to 2012 accounted for 11.4% of economic growth in country

Katya B Naidu Mumbai
Last Updated : Oct 07 2013 | 1:13 PM IST
Rising mobile phone subscriptions between 2010 to 2012 accounted for 11.4 per cent of economic growth in India, says a survey done by British telecom major, Vodafone Plc.

The largest contribution of growing mobile phone subscriptions however was seen in Egypt which accounted to 20 per cent.

The study said that as people use mobile phone for the first time, it allows them to communicate and do business across long distances. Hence, mobile technology has a stronger impact on the economic systems of developing nations. It also allows establishment of economic institutions such as mobile banking services.

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Mobile phones, the study says, aids social progress as well. “The figures show that mobile technology isn’t just driving economic growth, but also social progress. Mobile phones are more than just communication tools. They give people the opportunity to participate in economic and social processes,” said Dr Mark Speich, Managing Director, Vodafone Institute for Society and Communications.

The statistics of the study also showed that gender inequality reduces as mobile phone usage soars, as it helps empower women in the family unit. “Mobile phones are just an ancillary component of the emancipation movement. They help women in developing countries to obtain medical advice when their children are sick, and to obtain information about job opportunities,” the study said.

Vodafone's scientists also discovered that mobile phone adoption has a positive impact on education, especially in developing countries. There is a statistically significant increase in the United Nations Education Index with a higher level of mobile phone subscriptions.  

“More mobile phones mean better access to education. Development projects that explain crop growing and hygiene issues to people by SMS increase their level of education. Indirect effects have also been observed. Mobile phones help people coordinate their (family) lives better, leaving more time for education,” the study said.

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First Published: Sep 26 2013 | 7:44 PM IST

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