Branchless Banking News: Leveraging Technologies and Partnerships to Promote Financial Inclusion
This issue of Branchless Banking News discusses recent developments in branchless banking (BB) in Pakistan. Topics include regulations, events and news related to BB and a report from the World Economic Forum.
Total mobile phone subscription has grown in Pakistan and now reaches 109 million across customers in all income segments. This growth has fuelled expectations that transformational BB models would improve access to finance in Pakistan. The report states that:
- State Bank of Pakistan (SBP) has encouraged financial institutions to take advantage of its existing payment systems infrastructure to offer new transactional instruments;
- SBP has focused on providing an enabling environment to market players and has offered stakeholders incentives for market development;
- Current BB regulations encourage multiple approaches for developing partnerships;
- Easypaisa by Tameer Microfinance Bank, and Omni by United Bank Limited are two major BB models that have emerged in Pakistan:
- Early successes of mobile banking in Pakistan are attributable to the collaborative efforts of a wide range of stakeholders, including government and regulatory authorities.
The report highlights the need for continued close coordination among stakeholders to foster a market driven mobile banking ecosystem.