Banks strategies @ doms

10
Banks Strategies for Financial Inclusion

Transcript of Banks strategies @ doms

Page 1: Banks strategies @ doms

Banks Strategies for Financial Inclusion

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Agenda for Discussion Typical Challenges in

Financial Inclusion Support from Micro Finance

& Self Help Groups Information Communication

& Technology Mobile Banking Biometrics ATMs Rural Employment

Opportunities

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Challenges of Financial Inclusion Illiteracy Remote Locations Cost of servicing small

sized transactions Telecommunication Reach of Technology

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Micro Finance & Self Help Groups

– Reach remote unbanked areas/non branch locations through SHG Lending Programme

– SHG Clients being serviced with Loan & Savings Products

– Door step banking (disbursement of loans and collection of installments) to all the SHGs using Service Providers (SP) as our Business Correspondents.

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Information Communication & Technology

Cash Terminals – Card based transactions Hub and spoke model with co-

operative banks Cash Deposit and withdrawals PIN based cards

Hand Held Devices – Biometrics enabled Offline devices for remote

locations Biometrics for customer

authentication Transactions record on the

spot

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Mobile Banking – Catalyst for Microfinance

• Current Usage– Currently only for A/C

Related Enquiry– Use of Mobile Phones for

Financial Transactions•Opportunities - Microfinance–Exploration with Technology Partners–Funds Transfer using Mobile Phones – SMS Based–Mobile to Mobile funds transfer ( Futuristic )–Stringent KYC norms of Telecom cos. to be leveraged

•Challenges–Security on mobile devices–Transaction encryption

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Biometric ATMs• ATMs with Biometric solution• Biometrics as authentication

mechanism• Illustrative ATM screens for

illiterate customers

• Challenges– ATMs efficiency and

maintenance in Rural conditions

– Biometrics efficiency in Rural condition

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Rural BPOs Migration of non-core image based

activities to Rural BPOs to create employment opportunities to rural youths.

Enable rural youths to gainfully use their education in their own environment.

Reduce rural youth’s migration to crowded cities causing frustration caused by infrastructural inadequacies there.

Contribute to rural development enabling educated youth to support their family business in their spare time.

Extra income enables Rural youths live a life of dignity and escape clutches of economic poverty.

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Opportunities

• Improved Communications• Technology reaching out to

the Rural Areas.• Huge Business

Opportunities• Stickiness of Rural

Customers• Mass Banking – Very

Large volumes• Low Establishment Cost

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Thank You