Tag Archives: banking

The results, two years on, from Kenya’s Movable Property Security Rights Act 2017

Movable property such as household goods, livestock and office equipment has helped add 183,487 loan accounts into the banking sector, a Kenya Bankers Association (KBA) report shows. […] “The loans that flow out of the banking system on the basis of assets in the register has been growing. This shows that the alternative collateral has […]

Posted in Africa, African Consumer Market, Alternative currency, Banking, Biashara Economics, Business Models, Cattle, Consumer Behaviour, Economy, Flexibility, Livestock, Loans, Perspective, Prepaid Economy & Informal Sector, Rural Economy | Also tagged , , , , , , | Leave a comment

How informal financial services can lower the barriers to formal financial inclusion

Around 2 and a half years ago, I was on a short visit to Abidjan, the capital of Cote D’Ivoire as a guest of the African Development Bank. They were holding an innovation weekend for young women and men in the Francophone West African region who were interested in becoming entrepreneurs. David O. Capo Chichi, […]

Posted in Africa, Afrique francophone, Analysis, Banking, Base of the Pyramid, Biashara Economics, Business Models, Consumer Behaviour, Design, Flexibility, Income, Indigenous & Traditional, Informal & Flexible, Innovation Planning, Mama Biashara, Marchés africains, Marketing, Mobile platform, Perspective, Prepaid Economy & Informal Sector, Research, Retail in Africa, Savings, Strategy, Sub Saharan Africa, UEMOA | Also tagged , , , , , , | Leave a comment

Formalization is no panacea for micro-entrepreneurs, a liminal space is necessary for growth

Yesterday, my bank sent back a client’s payment though I’d presented the invoice and other paperwork. I’m a registered micro-business in the highly formal economy of Finland, and the bank I’ve been with since 2009 has upped their internal regulations after a spate of bad publicity surrounding the Panama papers. I’ve been caught in the […]

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Customer-Centric Business Model Design for Financial Inclusion

The Challenge Digital financial services (DFS) seek to bridge the chasm between the structures, policies and institutions of the formal economy, and the cash intensive informal and rural economy. Current day approaches tend to take the perspective of the service providers when assessing the market opportunity and the needs of the intended customers. And so […]

Posted in Africa, Airtime, Alternative currency, Assumption filter, Banking, Business Models, Cashless transactions, Consumer Behaviour, Design, Ecosystem, Frameworks, Innovation Planning, Mobile platform, Platforms, Prepaid Economy & Informal Sector, Process, Research, Systems, Technology, User research | Also tagged , , , , , , , , , | Leave a comment

First world trends: Financial inclusion, the unbanked, and the prepaid business model

The Economist explains just how expensive banking can be for the lower income population, even in the United States. Financial inclusion for the unbanked and underbanked must include cost/benefit analysis based on the limitations of income streams of those whom they hope to serve. The cost of ownership is often overlooked in current day literature, […]

Posted in Analysis, Assumption filter, Banking, Business Models, Consumer Behaviour, Economy, Expenses, Flexibility, Income, Innovation Planning, Marketing, Perspective, Prepaid Economy & Informal Sector, urban | Also tagged , , , , , , , , , | Leave a comment

Lessons for Formal Finance from Informal financial services

  On one of my many field explorations on rural financial services,  I found out, that for one mama biashara, as soon as payment checks in, she withdraws all her funds from her local coffee SACCO account, and spreads it out via micro-deposits across her more than 5 local informal savings groups (from right to […]

Posted in Assumption filter, Cashless transactions, Informal & Flexible, Kenya, Mama Biashara, Mobile platform, Perspective, rural, Rural Economy, Savings | Also tagged , , , , , , , , , , , | 1 Response

Financial Inclusion survey and the informal economy

Gallup conducted the survey on behalf of the World Bank and their comprehensive synopsis available online (with links to the full report) offers a few more charts in addition to the map above. These look at bank account ownership among adults in different regions comparing rural to urban, genders as well as the reasons stated […]

Posted in Assumption filter, Banking, Base of the Pyramid, Economy, global, Income, Research, Savings, User research | Also tagged , , | Leave a comment

Banking on Trust

Following up on the Reserve Bank of India announcement to allow small shops and phone kiosks, etc to handle basic services on behalf of banks – I directed questions around potential receptivity amongst Dharavi residents.

Posted in Banking, Base of the Pyramid, India, Informal & Flexible, Loans, Research, urban | Also tagged , , , | Leave a comment

Indian Banking Widens Reach

Yesterday’s Times of India pointed to a development by the Reserve Bank of India (RBI) to extend its services. It has yet to be seen how this initiative will be taken up by BoP users both rurally and in urban neighbourhoods not currently not served by banks.

Posted in Banking, India, Perspective, Research | Also tagged , , | 1 Response