Harsh Computing Environments in Financial Services Markets
Download as PPTX, PDF0 likes519 views
This document discusses the challenges of providing computing services in remote financial institutions in developing countries. It provides examples of two banks, BPR in Rwanda and NMB in Tanzania, that have partnered with Rabobank to implement mobile and automated banking solutions. Both banks have expanded access to services through mobile banking apps and ATM networks. However, operating technology in remote, rural environments presents difficulties such as unreliable power, lack of infrastructure, environmental conditions, and scarce IT skills and resources. Rabobank aims to help banks overcome these challenges to increase financial inclusion.
Harsh Computing Environments in Financial Services Markets
- 1. Harsh Computing Environments in Financial Services Markets Dan Armstrong Takashi Mobile and Financial Services takashimobile.com http://www.slideshare.net/danarmstrong
- 2. Rabo Development Rabobank Development is a division of Rabobank International, one of the world’s largest food/agri- banks Wholesale banking in 47 countries, 65.000 employees AAA status as a retail bank, but focused on rural/retail and agri- banking Rabo Development partners/takes minority equity in banks in developing countries that match this historical profile and our skillsets (see following slide). In addition to support in food/agri- and basic banking services, Rabo Development also supports partners with brick-and-mortar branch network strategies, channels/automation projects (mobile, ATM, internet), banking products, fraud and in-country personnel.
- 3. Rabobank & Rabo Development World-Wide RIAS & Rabo Development Rabo International (logos indicate Rural/Retail banks) Rabobank Foundation Advisory Projects / Partners
- 4. Banking in Harsh Environments Bringing compute resources and solutions to banks in remote locations with limited infrastructure is a major challenge: Fixed line internet connectivity (fibre, WiMax) and, if available, huge cost Mobile internet connectivity (GSM/HSDPA, GPRS/EDGE, WCDMA, etc.) Power (lack of power at all, or lack of stable power and/or UPS) Weather conditions (humidity, flooding, sun exposure, lack of closed buildings and server environments) Environmental conditions (dust, exponentially higher maintenance cycles) Security of computing platforms (theft, transport, as well as e.g. stolen cooper phone wire for other purposes like jewelry) IT skills (system set-up, monitoring, maintenance, usage of computers) Literacy
- 5. We’re talking about the dark areas
- 6. Case Study: BPR Rwanda BPR (Banque Populaire du Rwanda) is by far the largest bank in Rwanda, “bank of the people” with roots in cooperative and food/agri-banking (>85% of Rwandans are farmers) Currently 47/191 BPR branch banks are automated/ connected Around 150 locations use paper-and-pencil ledgers Staff may have no previous experience with computers Fraud and information integrity are problems. Customers can only bank at one bank location.
- 7. Case Study: Banque Populaire du Rwanda BPR Mobile Banking Launched in Q3 2010, 10k new customers per week Check balances, make transfers, pay bills, buy prepaid airtime BPR Debit Cards Enables “automated” account, lower fees, 24/7 service BPR Quickcash ATMs 100+ ATMs nation-wide Connectivity New solar/electric and GPRS modem programme launched in 2011 will automate BPR in 18 months
- 8. Case Study: NMB Tanzania NMB: National Microfinance Bank Ltd. Also by-far the largest bank in Tanzania 1.9 mln customers: regular Tanzanians, all teachers, army, etc. ATMs in place (300+), most customers have ATM cards 150 connected branches (100%) However, major queue problems In branches and at ATMs
- 9. Case Study: NMB Tanzania NMB mobile launched in August 2009 400.000+ active customers to-date Highly profitable for NMB Prepaid airtime, bill payment, prepaid electricity Vodacom, Zain, Tigo, Zantel (99% mobile penetration) SMS Alerts to 220.000 customers monthly Moving into merchant payments, business services NMB mobile 1. Balance Enquiry 2. Mini-Statement 3. Money Transfer 4. Prepaid Services 5. Other Services 6. Help
- 10. Challenges in Rwanda, Tanzania and Elsewhere Utilities: high-quality power, paved roads, Environmental conditions: heat, humidity, dirt Knowledge: trained technicians, maintenance and support personnel Equipment: spare parts, local hardware/software licenses Costs: generator electricity only option in some remote locations (costly), high-quality solar still expensive … but GPRS is being widely available and can be a cheap and effective solution!