Mobile finance solutions provider Mahindra Comviva has powered Iraqs first mobile money service.

The company announced at Mobile World Congress that its mobiquity Money solution is the technology behind AsiaHawala, a service that allows users to store money on their phone for use in a range of financial transactions.

The solution allows for peer-to-peer money transfer, bill payments , merchant payments, and even salary payments.

The AsiaHawala service is available to consumers on the Asiacell network in Iraq – 10.6m people, covering more than a quarter of the Iraqi population. Consumers set up, pay into, and withdraw cash from their AsiaHawala account by visiting AsiaHawala agents in the country.

“AsiaHawala is focused on improving people’s lives and positively contributing towards the economy by accelerating financial inclusion and economic development,” says Zring Faruk, CEO of AsiaHawala. “We also trust that our customers across the country will find it easy, fast and a more convenient means of making financial transactions, transferring funds internally and internationally in later stages.”

Srinivas Nidugondi, senior VP and head of mobile financial solutions at Mahindra Comviva, says AsiaHawala is the ideal financial solution for populations where bank account use is low. “As mobile phones become more functional, mobile money will clearly emerge as the financial solution for the unbanked,” he says.

“With only 11 per cent of Iraqi adults holding bank accounts, AsiaHawala will help to accelerate financial inclusion in Iraq, providing simple, convenient and affordable means to make financial transactions.”