It is quite obvious now, that Bitcoin Cash can accelerate the development process potentially in various fields. In general, new technologies and innovations are key solutions for the catch-up process that developing countries need to go through.
However people first need access to the internet to benefit from BCH-based enhancements. For this reason, it is good and necessary that the usage of the internet in developing countries has increased dramatically over the past decade, the share of internet user of the total population is expected to increase significantly in the whole world. The growth rate is especially high in areas with more developing countries like in the Sub-Saharan Africa region with a growth rate of over 90%. This shows that developing countries have a rapidly growing interest in the internet and the related innovations.
Without BCH the local fiat currency must often be exchanged to more wide-spread fiat currencies like the US dollar then must be converted again into the target currency, since there is often no liquid market for the exchange of the fiat currency to the target fiat currency. This process could be optimized through BCH, which could make it faster and cheaper.
For example, an LA-based Lebanese worker could use a local service provider that transfers US dollars to BCH to transfer money to a family member in Lebanon, where the family can then deduct LBP at a local service provider, which changes BCH to LBP. This would make companies as Western Union irrelevant. However, it is essential to have a liquid market for the exchange of BCH to US dollar and to LBP to increase efficiency. To create a liquid market for Bitcoins some start-ups have been founded, such as BitPesa in Kenya, which provide liquid markets for some specific currency corridors, e.g. for the direct exchange of Kenyan Shilling to US dollar.
BCH could furthermore solve the problem of the participation in international trade without having a bank account. BCH could help individuals and businesses to facilitate small-scale international trade. Using Bitcoins enables these parties to sell products in exchange for BCH and thereby avoiding traditional e-commerce systems, which often involve having to set up a merchant account with a formal bank.
Another way of how BCH could help to increase financial inclusion in developing countries is by serving as a quasi-bank account, since everybody with internet access can download a BCH wallet. This wallet then can be used as a quasi-bank account, where people can conduct savings, and daily transactions.
The decrease in transaction costs could also increase the possibility for microcredits because currently, money transactions face high costs. The elimination of these costs would open immense possibilities for international financing. Using BCH enables individuals in more developed countries to make small money transfers to people in developing countries. This transaction might be for a small amount of money but could be life changing for an individual in a developing country.
In addition, BCH, predominantly in combination with smart contracts, can contribute to strengthening social trust and fighting corruption through a more transparent contract system. Citizens can use the publicly available record data of the crypto currencies in the blockchain to monitor the way in which the state funds are used. It would also allow governments to track their spending better and to improve their budget allocation.