Financial Inclusion in Action

Read, Share, and Discuss

Financial Inclusion Histories

Header3c

We do most of our work in a historical vacuum. We tend to think of today's problems and opportunities as unique. That's a natural bias in an age imbued with a sense of inexorable progress reliant on technological solutions. But if we lift our gaze over historical time, we find numerous references to issues and… Continue reading

Mobile Money and Microfinance: A Match Made in Heaven or Marriage Gone Awry?

Header3c

Use of mobile money in microfinance seems to be an idea whose time has come. It has also figured in our publications as potentially the next big idea in financial inclusion (see Can MNOs Lead the Way for Banking the Excluded 1 and 2 as well as Mobile Money – Influencers of Success and Speculation on… Continue reading

Communication – The Achilles Heel of Direct Benefit Transfers – Part II

Header3c

We strongly believe that an integrated communication approach should be the starting point of large Direct Benefit Transfer (DBT) programmes. It certainly helps to be as clear and succinct as possible to manage expectations. In the previous blog we highlighted how poor and often contradictory communication is leading to mass confusion and apprehension amongst beneficiaries.… Continue reading

Draft Branchless Banking Regulations in Indonesia – A Review

The Government of Indonesia has been proactive in its efforts to extend formal financial access to the unbanked and under-banked sections of the society. The release of draft regulations on branchless financial services for financial inclusion by Otoritas Jasa Keuangan (OJK – the financial services authority that regulates and supervises financial services activities in banking,… Continue reading

Customer Service – More Than Just Smiles

Header3c

With the renewed interest in client-centricity, it seems appropriate to recall the core role of customer service in serving the low income market. In our research, MicroSave consistently sees “how I am treated by the staff (or agents) of the institution” in the top 3-4 drivers of customer choice of service provider as well as… Continue reading

Non-Bank-Bank Partnerships: Break-ups, New Dates on the Cards?

Header3c

Until this month RBI maintained the view that only licensed commercial banks can offer cash-out services. As a result a number of banks and non-banks formed partnerships. In fact, the RBI’s view hasn’t changed. The RBI has simply decided to regulate non-banks offering business correspondent services too, as differentiated, Payments Banks (PB). Business correspondents (BC)… Continue reading

Does the New Inclusion Scheme Risk Adding a Rs. 1,000 Billion Subsidy Burden?

The Prime Minister is all set to announce a mega new programme on financial inclusion on India’s Independence Day. The Department of Financial Services, Ministry of Finance, is busy shaping the ‘Sampoorn Vittiyea Samaveshan (SVS)’ (Comprehensive Financial Inclusion) scheme in consultation with bankers. Anyone closely associated with the financial inclusion space will worry that without very… Continue reading

Survival of the Fittest: The Evolution of Frauds in Uganda’s Mobile Money Market (Part-II)

In the first blog of this series we outlined the evolution and increasing sophistication of fraud in Uganda. The ingenuity of fraudsters is impressive. But what about the MNOs’ response? Have the providers set up systems improvements and processes geared toward checking such frauds? Talking to the staff of leading mobile money providers in Uganda,… Continue reading

Survival of the Fittest: The Evolution of Frauds in Uganda’s Mobile Money Market (Part-I)

Uganda has seen an explosive growth in mobile money adoption in the last few years, growing from 550,000 active users in 2009 to 5.2 million in 2012 (active on a 30 day basis) according to the Economic Regulation Unit’s Broadcasting & Telecommunications Market Review 2011/12. Now, the rate of mobile money account ownership outstrips bank… Continue reading

The OTC Trap – Impact on the Business Case for Uganda’s Mobile Network Operators

Header3c

Mobile money providers in Uganda are well aware of the Over The Counter (OTC) trap and its implications, but their response to it will be the subject of another, later blog. This blog examines why OTC matters – enormously – to all stakeholders in digital financial services (DFS). As highlighted by Pawan Bakshi, in “Beware the… Continue reading