mobile banking service mobile banking service

MOBILE BANKING SERVICE
WHAT IS IT?
One of the country’s biggest 4 banks: Khan Bank,
Bank Golomt Bank
Bank, TDB and XacBank as end of
December 2009
‰ Demonstrated: Microfinance and
micro-lending
g can be profitable;
p
;
‰ Proved: Projects can be successful if
run by a professional institution;
‰ Pioneered: Establishment of nonb k financial
bank
fi
i l institutions;
i tit ti
‰ Collaborated: with Mongol Bank in
developing Accounting Policies and
Procedures Manual for NBFIs;
‰ Concluded: First merger in the
Financial sector of Mongolia;
KEY INDICATORS
Total Deposit (MNT Billion)
•
Established in 1998,
•
Total of 80 branches operating
p
g throughout
g
country,
y,
•
Number of employee is 1200,
TECHNOLOGY IN BANKING
The project is funded by
Technical assistance
program from CGAP:
•9 projects were selected from
70 projects from 38 countries,
•CGAP will document the
outcomes of the projects to
demonstrate to other countries,
WHY
Bank led service
17 Types of
loan products,
products
7 Types of
savings
products
XacBank have
10 years of
successful
experience in
banking,
Bank’s savings
interest rate is
among the
highest in
country,
It is real bank
account, not a
virtual
account,
Bank have
many other
banking service
to offer,
WHAT
OFFERS?
11 services to XacBank clients and agents
Clients
Agents
Independent
Affiliated
1
Cash deposit
Cash deposit
Cash deposit
2
Cash withdrawal
Cash withdrawal
Cash withdrawal
Cash provisioning
3
4
Account transfer
5
Payment
P
Payment
t
6
Check balance
Check balance Check Limits
Check Limits
7
8
PIN change
PIN change
9
Mini statement
Mini statement
PIN change
MB statement
10
11
P
Payment
t
R itt
Remittance
R itt
Remittance
R itt
Remittance
SOFTWARE DEVELOPMENT
Phase I:
• SMS based service interface. Successfully
implemented.
Phase II:
• JAVA application/menu/. Ready to release.
Opportunity to manage second accounts.
Phase III:
• Mobile phone top-up
• Utility bill payments
HOW AMAR WORK
XacBank
Execute according to
the request
Noomadic
platform
Agent
Telco operators
Mobile Network
Client B
Exchange
cash, goods
PARTICIPANTS
Client
Agent
Person, who has his bank account
tied to his cell phone for managing.
•Transfer
•Payment
Payment
•Information
Entity,
y, who have contract with Bank
to do cash transactions.
•Cash transactions,
•Receive p
payment,
y
,
Merchant
+
Client service
Entity, who have contract with Bank
Entity
to receive payments only.
•Receive payment,
+
Client service
CASH WITHDRAWAL/example/
Client
Type MBC to confirm
withdrawal transaction
of 28000 mnt at
061001 HUSEL.
Withdrawal
28000 MNT
061001 1234
1
Agent
From: 131888
From: 131888
To: 131888
2
Take 28000 mnt from
HUSEL, 061001. Your
balance is now 6000
mnt
mnt.
To: 131888
MBD
4
3
4
Type <ConfirmationCode> to confirm Withdrawal transaction of
<Amount> <Client_Currency> at <Agent_ReferenceNumber><Agent_Name>
From: 131888
Give 28000 mnt to
DULAM, register
AB1234567.
Agent number
SUCCES /in numbers /
Client /35,538/
Агент/2,619/
19%
28%
72%
81%
Улаанбаатар
Улаанбаатар
Хөдөө
Хөдөө
(as of 2010.03.31/)
Total transactions/succesfull,
cash & non cash
t
transactions/
ti
/
Total transaction amount volume
Average
g transaction amount
DESTINATIONS REACHED
34,126
861,692,397 mnt
25 250 mnt
25,250
101
ISSUES SO FAR
‰ Legal environment:
• No relevant
ele ant law,
la
• E-signature,
• E- finance
‰ Cooperation with
h operators:
• Terms and conditions, pricing policy of operator are different from
each other
• Technical capability is different,
• In rural areas, network capability is low, poor,
• Each operator use different technology and it prevents AMAR from
introducing same technology for all,
THANKS FOR YOUR ATTENTION