Moroney’s company has been the market-leading pioneer in terms of spreading knowledge on the Internet, computing and telecommunications across most of English-speaking Africa.
He spoke to Hilary Okeke on the forthcoming AITEC Banking and Payment Technologies Conference and other issues.
AITEC Banking and Payment Technologies Conference is a platform where experts in banking technology from Nigeria, South Africa, UK and other parts of the world, come together to share their knowledge with the professionals and managers that attend the conference. Last year we had over 400 delegates attending the conference. In parallel with the conference, we have the exhibition which is the marketing showcase for the industry. Here, we see the latest technologies for the banking and financial services sector under one roof, providing a competitive situation where the banks and other potential buyers of the products can compare and actually quiz the companies that are on display about the services they are providing.
The Banking and Payment Technologies Conference has transformed the development of the financial credit sector from one that is rather traditional and colonial in perspective, to one that is now more outward looking, more inclusive and providing services for the unbanked. The problem that the conference has is that the vast majority of the populace still remains unbanked. They do not have basic financial services in order to transfer funds; in order to get money from one part of the country to another and also to be able to save their funds securely. The mobile banking phenomenon has hit East Africa in a big way and it is expected in this part soon. That would be a major focus of this year’s conference – Mobile Banking or what we call Branchless Banking. So, that has been the major achievement of the conference, providing a forum where new developments that are rapidly evolving can be deliberated.
Definitely! I think one needs to draw a line between e-payment and mobile payment. The former is facilitated by the Internet. I think the infrastructure is not well developed, in that way a lot of people do not have access to the Internet. For mobile payment, we are going to see huge increases in terms of volumes. Because there is rapid roll out of mobile telephony in the country, one can now leverage on that infrastructure and develop mobile banking.
Well, the potential is limitless. It still boils down to leveraging on the mobile networks, and there is big potential. You can use the mobile networks to transfer from user-to-user; you can also deploy wireless systems with mobile devices to function in the rural areas. At this moment, we have thousands of agents vending mobile scratch cards. Those agents can be trained and upgraded to actually become bank agents and can be in charge of certain transactions. So, the opportunities are boundless.
Telecommunication networks provide the backbone of the mobile banking system. In Kenya for example, on the M-pesa system there are millions of customers making fund transfers through the mobile system. The time has come for the banks to partner with mobile operators to provide these services because they have the proper banking expertise and experience in order to provide customers with the security and professionalism they need using mobile banking; whereas the mobile operators are more experienced in the infrastructure aspect. There is the need for partnership between the two sectors in order to provide effective mobile banking services.
Of course it could, but the right regulatory environment needs to be put in place. The Central Bank is grappling with that at the moment. Moneybox has been given mobile banking licence, which indicates some progress. I think we are on the eve of another banking revolution in Nigeria and we will see millions of people making use of their mobile phones for banking transactions.
That is an important focus of this year’s conference – it includes the microfinance institutions. The conference, which would be in partnership with CGAP, EFIna and the World Bank, is going to focus on fashioning out ways in which these new technologies and new ideas can be utilized by the microfinance institutions. One of the sessions would be “Linking MFIs, Banks and payment Providers: What are the Obstacles in Nigeria?” So, we are going to look at what the problems are and what are the solutions. That would be a major focus of the conference - to find a way around to actualizing the benefits of these new developments.
The unbanked are the target audience. The key untapped market out there needs low cost banking solution to be able to transfer funds from one point to another; a low cost solution to be able to invest their funds effectively, as well as access micro loans to develop their businesses. That is very critical in a branchless banking system that is based on telecoms networks.
They include latest software developments for ATMs. We will be looking at e-channels for microfinance banking, and the major focus will be on security issues. As we speak about mobile banking, security is a major problem. So, we would be looking at solutions in terms of security. We would be addressing ATM software trends for 2009/10, contact centres in banking, matters arising in Islamic banking, among others. In the exhibitions, we have a number of South African countries participating and we would be seeing a lot of cutting-edge technologies.
more about AITEC: http://www.aitecafrica.com/
more about the conference: 4-6 May 2009 at Muson Centre Lagos, Nigeria
The first day of the conference will be hosted by a consortium of agencies promoting the extension of banking services to the unbanked through mobile technology and other innovations. These organisations include Enhancing Financial Innovation & Access (EFInA), supported by the UK’s Department for International Development (DFID), the MSME Project which is a joint pilot of the Federal Government of Nigeria and the World Bank.
With the theme, Transforming Access to Finance Through Branchless Banking, the conference will highlight technologies used by pioneering organizations in the financial services industry, including microfinance organizations, to reduce costs and reach new customers.
Technology presents great opportunities for the financial sector to extend reach, improve service and reduce costs. However, in the drive to implement the very best that technology vendors have to offer, the focal point of the banking process is often forgotten – the customer. Banking & Payment Technologies 2009 will therefore focus on the customer experience in relation to all technology implementation and services, challenging suppliers and bankers alike to evaluate their systems in the light of customer needs and preferences.
Banking & Payment Technologies 2009 will engage with bank customers by inviting them to attend the exhibition and experience the new services available today through the wide range of new payment technologies being offered by banks.Banks will be invited to demonstrate their services by setting up mini-branches on the exhibition floor, using them as platforms not only to market their services but also to obtain valuable customer feedback and data. The Banking Mall of the exhibition will be a live laboratory platform to demonstrate world class banking services powered by latest payment technologies.The Technology Hub of the exhibition will provide a showcase for technology manufacturers and vendors to demonstrate their latest products and systems to enhance West Africa’s rapidly growing financial services sector.
The event includes a three-day conference which provides a valuable educational forum for the financial services sector, updating CXOs and IS managers on latest international developments in payment technologies, best practices in IT project deployment, and latest trends in customer service delivery.
Joe DiVanna, an acknowledged world thought-leader in banking, has been appointed as Conference Chairman and will be contributing to the formulation of the key topics to be covered. Bankers will be asked to share their insights into optimizing customer service through technology deployment. There will be an emphasis on case studies and vendor product promotion will be kept to a minimum, limiting them to clearly designated Commercial Presentations or Showcase Presentations. Vendors will be encouraged to do their product presentations in the Fast-Track Theatre in the Exhibition.
Disclaimer The opinions herein are those of their authors alone and not necessarily ... More...