It remains to be seen whether bill payment and other money transfers will dominate branchless banking there. Among the countries studied, the phenomenon ranges in age from only a few months in the case of kenya, to a few years in the case of brazil and some services in india. Download use of agents in branchless banking for the poor. Financial sector opportunities and challenges branchless. Fincas experience deploying agency banking in africa1 by nathan w ere and helen lin2 introduction denoting trust and continuity, for centuries the physical infrastructure of brick and mortar branches has been the face of banking. Putting the banking in branchless banking branchless banking. Technology is usually assessed in terms of convenience of conducting transaction, user interface, portability etc. Colombian legal and regulatory framework for branchless banking, focusing on the recent reforms and types of retailers permitted to serve as agents. Branchless banking creating the target of opportunity usaid initiated a two pronged dialogue to shift the focus of these discussions in a more systemic direction. With commercial banks on branchless banking strategyopportunities including study tours to. So far, 7 of the partner banks have made noteworthy progress in blb expansion with over 100 blb points launched across the country. We then methodically select seven androidbased branchless bank.
View branchless banking research papers on academia. Branchless banking is defined as the delivery of financial services outside. Branchless banking customers are also provided with nibl visa card, which along with. Legal environment for branchless banking, including mobile. The primary audience of these guidelines is deposittaking financial institutions bank and nonbank desirous to undertake branchless banking. The bankled branchless banking model in india was born out of a national financial inclusion mandate that seeks to connect unbanked populations to formal financial services. These channels are less expensive and more adaptable than the traditional bank branch, bringing more people into formal finance.
Secondly, the paper examines the traditional banking sectors interest in branchless banking, and shows the available platforms for banks and their use of banking agent networks. Bank of ghana proposed guidelines for setting up payment services infrastructure for branchless banking these are proposed guidelines for deposit taking financial institutions seeking permission to set up a platform for payment services. Branchless banking is a type of banking that takes place where the banking customer does not need to visit a branch or central location of the bank. Depending on the culture of the company, either method can contribute knowledge about employee satisfaction to managers and employees 6. The ability to receive text messages for twofactor authentication. Pdf the effect of branchless banking strategy on the. Bank of ghana proposed guidelines for setting up payment. Present report focuses on the impact of choice of technology on agent economics. By june 2016, pointofsale pos terminals including smart card printers and accessories had. Similarly, the quarterly growth of the number of agents engaged in branchless banking is growing rapidly, transforming the retailers of commodities into. Efinancial services pillars services transfer ecommerce payment to billers micro finance gov. The conclusion seeks to consolidate broad responses as to how best to shape the future direction of branchless banking as a means to improving poor peoples access to financial services. Innovation in retail branchless banking models abounds in china. It also raised public awareness of mobile and branchless banking services under the planned.
Collection and processing of formsdocuments in relation to account opening, loan. Employee satisfaction is an important success factor for all. Agency banking and branchless banking internationally, the concepts of agency banking and branchless banking appear to be closely aligned or even synonymous. The long road to branchless banking finca international. Pdf branchless banking bb is an emerging financial segment also known as banking beyond branches. On average, branchless banking services are 19% cheaper than banks note. Branchless banking integrating pakistans poor into the. For example, cgap discussions around banking correspondents in brazil and. Banks are finding creative ways to reach customers with savings, credit and moneytransfer products.
Mobile banking is a type of electronic banking, or ebanking, which includes a broad array of electronic banking instruments and channels like the internet, pos terminals and atms. However, technology is rapidly disrupting this concept and bring. The rise of branchless banking financial services analysis. A survey conducted cgap to gauge the effectiveness of branchless banking and to determine that what were the income levels of the people who were using this service showed that 41% of the easy. It is the mode of rendering financial services through distribution network without having conventional branch brick and mortar set up. One very important impact of the choice if technology is on the viability of the business model. Establishing branchless banking services at pso forecourts pakistan state oil company limited pso is the largest oil marketing company of pakistan, having a. In india, for example, local agents, known as business correspondents bcs, accounted for 51% of total banking outlets in march 2010 representing 34,316 of a total of 67,694 outlets. Pdf study of branchless banking business model researchgate. International development agencies and media have now been highlighting pakistan for its market and institutional environment for branchless banking. This is implemented through a transformational, hybrid infrastructure that extends outreach. We perform the rst comprehensive security analysis of branchless banking applications.
Analysis of employee satisfaction in banking sector. Branchless banking, in which a resident of a village acts as an agent for a faraway bank, provides a way of. Almost all millennials 88% do their banking online and half use their smartphone to bank. Our goal is to put as much power as possible in your hands. Early branch banking in new york and new england 29 first and second banks of the united states 32. The ability to view portable document format pdf files. Pakistans efforts have been recognized internationally. The long road to branchless banking findev gateway. Among eight branchless banking products, five are telcoled branchless banking products offered by telecom operators with the help of financial institutions. A final key piece are the thirdparty agents who serve either as cashincashout points for mobile and other branchless money transfers in remote areas, or as field officers with responsibilities for new accounts and.
First, we use a wellknown automated analysis tool on all 46 known android mobile money apps across all 246 known mobile money systems. Pdf branchless banking, the use of alternative delivery channels such as. A final advantage of the bc model is the fact that agents are normally drawn. Contents introduction 1 examples international 4 examples southern africa 9 regulatory challenges 12 potential for remote access initiatives in southern africa 14 conclusion 16 about this publication this report is a short summary of a. Branchless banking bb is one of the marvels of innovation in the fields of information communication technology ict and bpr business process reengineering. Branchless banking is an economical channel for delivering financial services without relying on the traditional bank branches. The term mobile banking is often used to refer only to customers with bank accounts. The long road to branchless banking microfinance gateway. Currently, eight branchless banking service providers have developed a network of 125,000 agents to provide branchless banking services 9. Pdf on jan 1, 2018, tetty yuliaty and others published study of branchless banking. The agent in a transformational mbanking ecosystem. Branchless banking provides basic banking services through nibl agents having biometric pos devices with finger print scanner. Rather, banking business may be completed through technological services, such as online, over the phone, or through an atm.
Regulation and the case for interestbearing and insured emoney savings accounts tilman ehrbeck, consultative group to assist the poor michael tarazi, consultative group to assist the poor buoyed by a growing belief that poor people need a. Can agency banking improve financial inclusion in south. For most households, access to financial services is increasingly through such agents. A direct bank sometimes called a branchless bank or virtual bank is a bank without any branch network that offers its services remotely via online banking and telephone banking or through an independent banking agent network and may also provide access via atms often through interbank network alliances, mail and mobile. It concludes with considerations for prudent but accessoriented regulators and policymakers regarding branchless banking for the poor. Branchless banking is relatively new in nepal as this form of banking services has been operational for less than a decade. Traditional banking in rural areas does not work well 10, 9, because of poor transportation services, large distances, and the resulting high cost of delivery. The effect of branchless banking strategy on the financial performance of commercial banks in kenya article pdf available september 2017 with 2,426 reads how we measure reads. Read online use of agents in branchless banking for the poor. The role of branchless banking in performance of households micro.
932 432 137 1043 652 333 1026 1471 998 1153 973 1014 865 884 228 51 1408 416 65 72 384 82 789 713 459 1214 114 1180 1032 887 573 940 32 585