Add banking to the growing list of things your cell phone can do.

A September special report in the Economist took a look at the expanding use of mobile banking in Africa and explained how it could play a large part in improving personal financial stability in the region. In essence, here's how it works:

You take your cash to a mobile banking agent and tell the agent that you want to send money to a friend or family member. They credit your mobile banking account. Once the funds are available, you transfer money by sending a text message to whomever you want. The recipient then goes to his or her local agent to access the transferred money. People can even pay utilities or pay for cab rides with the service.

There is a strong correlation between the increase in a developing nation's cell phone use and it's rise in GDP, notes the World Bank. Mobile money offers similar effects on the individual level. A study by researchers at the University of Edinburgh found that users of the Kenyan mobile money service M-PESA have seen a 5 to 30 percent increase in their incomes since the service began in 2007.

One reason for this is the increased convenience that M-PESA offers. Like many men in Kenya, Nairobi resident David Omuchilili used to have to take time off from work and pay for travel costs to deliver money to his family, whose village is nearly 200 miles away. With M-PESA, he is now able to avoid the traveling and can be more available for work, as he explains to Business Week.

Mobile money transfers also offers a safer, more reliable way to send cash. Citizens without the means for traveling no longer have to take the risk of giving an envelope full of cash to a middleman — like a bus driver — and telling him where to deliver it. In the aftermath of the 2008 Kenyan election, M-Pesa was used to send money to those trapped by the rampant violence.

One thing is for certain. As mobile banking continues to grow in popularity and scale, users will find opportunities for better financial stability.