Digital Financial Services

Why Digital Finance Supervisors Should Automate Data Collection

May 15, 2018
|
The advent of technology solutions to data collection — or “RegTech” — has made it possible for supervisors to collect huge amounts of data from digital financial services (DFS) providers at a more granular level than ever before

RegTech and Digital Finance Supervision: A Leap into the Future

Feb 28, 2018
|
This Brief aims to provide national and global policy makers with a clear picture of the rapid development of digital financial services for the poor and the need for their attention and informed understanding.

The Unrealised Potential of Mobile Wallets in Pakistan

Dec 19, 2017
|
This blog provides an overview of the progress, or lack thereof, that mobile money providers in Pakistan are making towards driving mobile wallet ownership and usage to improve financial inclusion in the country.

API's for Financial Inclusion

Oct 5, 2017
|
API’s have become imperative for organisations to provide more efficient services to their respective customers, read to find out how.

How Do Mobile Money Fee Structures Impact the Poor?

Aug 10, 2017
|
As mobile money products continue to expand within emerging markets, effective, pro-poor pricing for transferring small amounts of money will be important to mobile money’s success in bringing new users into the formal financial system.

The Need for a Changing Regulatory Landscape for Digital Financial Services

Apr 22, 2017
|
GSMA’s recent report titled ‘The Mobile Economy’ for 2017 has undertaken a comprehensive scan of the global telecommunications landscape. Given the direct impact of telecommunications on digital financial services (DFS), increase in mobile subscribers presents a growing opportunity for increasing the footprint of DFS.

Contextualizing P2G within an E-Government Approach

Dec 22, 2016
|
The Central Bank of Jordan and the Indian State of Karnataka have been developing their person-to-government (P2G) payment channels and instruments within larger e-government initiatives.

A Public-Private Partnership to Digitize Bus Fares in Rwanda

Oct 18, 2016
|
The government of Rwanda since 2000 has prioritized the building of a “knowledge-based economy” as articulated by Vision 2020. A couple of key milestones on the path toward this vision include digitization of government services and a population that is 90% financially included.

The Promise of Digitising P2G Payments

Oct 6, 2016
|
The recently launched Global Landscape Study on Digitizing P2G Payments estimates global person-to-government (P2G) payment flows at USD 7.7 trillion.1 As the name suggests P2G payments essentially include mandatory payments, payments for government services, and co-payments for social benefits.

Adoption - The Bottleneck in Scaling Mobile Financial Inclusion

Aug 31, 2016
|
The second edition of The Brookings Institute’s Financial and Digital Inclusion Project (FDIP) Report presents findings on financial access and usage from a diverse set of 26 countries. The publication is built around a scorecard generated using four composite indicators: country commitment, mobile capacity and regulatory environment.

Mobile Wallets: A way to bring transparency to ROSCAs?

Jun 22, 2016
|
Rotatory Savings and Credit Associations (ROSCAs) are a popular mode of saving in Pakistan. In local parlance, they are called “committees” and are particularly popular among women.

Using HCD to Develop User Friendly Apps and Interfaces

Jun 2, 2016
|
Karandaaz Pakistan commissioned GRID Impact, a global research, innovation and design firm, to develop concept designs for a smart phone application for mobile money. With 8.7% of adult Pakistanis reportedly having an account at a financial institution

The State Bank's New Regulations for Prepaid Cards

May 12, 2016
|
Karandaaz Pakistan published a blog post on the use of prepaid cards in Pakistan. Among the needs discussed was a clear framework for the KYC requirements governing Pakistan’s prepaid market. That regulation arrived earlier this week.

What is Human-Centered Design?

May 4, 2016
|
Human-centered design (HCD) is a methodology that has existed for a while but began to resemble its current form in the early 1990s. More recently, the development sector has begun to adopt it in various sectors including the field of financial inclusio

Prepaid Cards and The Unbanked

Apr 27, 2016
|
Borrow a relative’s credit card. Have a friend pay. For those excluded from the formal financial system, paying online is more often a matter of finding the right proxy than finding the right tool. Innovations such as mobile wallets continue to expand access to electronic payments.

Mobile Money: The OTC and Agent Dilemma

Mar 31, 2016
|
In Pakistan, there are two primary transaction channels in the branchless banking sector: mobile wallets, and over-the-counter (OTC). In contrast to the mobile wallet platform where customers execute all transactions on their mobile phones themselves, the OTC model is facilitated by an agent. This channel is a convenient and reliable.

Experimenting with a Mobile Wallet on a Low-Cost Smartphone

Mar 21, 2016
|
There has been a steady rise in the promotion of mobile wallets as a viable alternative to conventional banking services.This innovative channel, MNOs seek to streamline the banking process and increase financial outreach to the wider population.

Advancing Financial Inclusion through Innovative E-Commerce

Mar 7, 2016
|
With foundations well in place for digital commerce to flourish in Pakistan, it is only a matter of time before e-commerce takes the Pakistani consumer market by storm.

Effectively Communicating with the Unbanked

Feb 3, 2016
|
The process of graduating from an unaware potential customer to a fully aware and regular user of mobile wallets is not necessarily a simple and linear one. It is important that targeted, customer segment specific, communication takes place at every stage of awareness to help individuals.

Making Mobile Money Accessible in Pakistan

Jan 25, 2016
|
Mobile wallets could have a revolutionary impact on financial inclusion in Pakistan. While 8.7% of adult Pakistanis reported having an account registered at a financial institution, approximately 48% of financially excluded adults reported owning a mobile phone. This means that the mobile channel holds great potential when it comes to financial outreach.

Smarter Wallets, Engaged Customers

Jan 21, 2016
|
With increasing competition in the branchless banking OTC (over the counter) business, this segment has become highly commission intensive, leading to diminishing margins for MFS (mobile financial services) providers. This reality has pushed mobile money providers to focus on mobile wallets as an alternate service delivery channel.

Mobile Wallet Registration: One Customer's Experience

Jan 12, 2016
|
In order to achieve the 50% financial inclusion goal that has been set by the State Bank of Pakistan, Karandaaz Pakistan believes that leveraging the ubiquity of mobile phones to increase mobile wallet uptake is critical. There are 124 million registered mobile SIMS in Pakistan.

Pakistan: Is Mobile Money a Viable Alternative to Banking?

Jan 7, 2016
|
In a world where 2 billion adults lack access to formal financial services, Pakistan is no exception. The 2014 Financial Inclusion Insights (FII) survey estimates that 93% of Pakistani adults are financially excluded as only 7% of the respondents reported to having a bank account.

Drawing Inspiration from DFS Innovations: Part II

Jan 5, 2016
|
In a previous blog, we highlighted a couple of the key elements that go towards fulfilling the goal of digital financial inclusion which is defined as digital access to and use of formal financial services by excluded and underserved populations.

Drawing Inspiration from DFS Innovations:Part I

Dec 21, 2015
|
The launch of M-Pesa in 2008 and its subsequent exponential growth heralded a new era of digital financial inclusion: one which promises to bring the unbanked and underbanked into the formal financial sector. A definition of digital financial inclusion is digital access to and use of formal financial services by excluded and underserved populations.

The Promise of Mobile Money in Pakistan

Dec 17, 2015
|
The penetration of traditional financial service delivery channels in Pakistan is low in comparison to the global average. There are approximately 6 ATMs and 9 commercial bank branches per 100,000 adults in the country versus the global average of approximately 34 ATMs and 12 commercial bank branches per 100,000 adults (World Bank, 2013).