Balanced regulations key to digital financial services

Experts tells Asia-Pacific Business Forum

Financial model experts suggested building a balanced regulatory framework for digital financial services, so that all services can come under one platform and assist implementation of Sustainable Development Goals (SDGs) through digital financial models of inclusive business. 

Experts made this statement in a business session titled--Supporting SDGs through Digital Financial Models by Inclusive Business--of the Asia-Pacific Business Forum, which was held at a hotel in the capital yesterday. 
“We need one specific balancing regulation of digitization of the banking system and digitization is a broader term compare to digital financial models”, said former Governor of Bangladesh Bank Dr Salehuddin Ahmed while moderating the business session.
To deliver digital banking services to the mass people conveniently, Dr Salehuddin Ahmed has suggested four things--to make the payment service with low cost, secure the transaction of the payment, all digitize all the parties, ensure impeccable security and transparency to support SDGs through digital financial models.   
Speaking on the occasion, Director of Industrial and Commercial Bank of China George Yuen has explained the impact of tech disruption on banking services and said that in 2015, 1.8 trillion financial transactions have occurred through digital payment system. 
Nowadays every single technology firm has started giving out their payment system to the third party company, he added. 
China is one of the largest economies in the world and presently 1.3 billion people have used mobile phone.   
During the business session, Chief Executive Officer of Credit China FinTech Holding Ltd Phang Kiat informed that approximately 700 million people are now using mobile wallets in China and last year 200 million people have settled business transactions through an online payment system.      
CEO of City Bank Ltd Sohail Hussain said that during last three years, mobile banking has increased 600 per cent and it shows the potentiality of digital banking in Bangladesh. 
People can pay any types of digital financial services through mobile phones. Digital Financial Services can impact the economy through trade receivable discounting system, to receive early payments through SMSs, salaries, school fees, retail payments, and electronic bills, he added.
In 2016, 33 per cent people have active internet connection through mobile phone in South Asia, so the future of the potential business of mobile banking would be generated from this region, Sohail Hussain described.
Cloud based system is certainly cost effective in the digital banking system, he suggested.
According to the officials of bkash Ltd, they have currently 26.4 million registered users.  
Speaking at the programme, CEO of bKash Ltd Kamal Quadir explained that bKash is designed for small transactions and having human agent is cheaper than automated teller machine (ATM) infrastructure so, bKash has more than 6000 agents across the country at this moment.   
The idea of using digital money has become revolutionised through bKash at this moment in Bangladesh, he added.
CEO of Robi Axiata Ltd Mahtabuddin Ahmed said that more than 30 million people in Bangladesh have used mobile financial services and only 60 per cent penetration has completed. 
It has the potentiality to reach 100 per cent, he informed.    
During the programme, CEO of Bangladesh International Arbitration Centre (BIAC) Muhammad A. (Rumee) Ali defined financial inclusivity and said that financial inclusivity is not just sending money from one place to another, it includes all financial services into one platform. 
Rumee Ali explained cost infrastructure as an impediment of financial inclusivity, because banks cannot provide services below certain standard level.    
He also urged to all banks, Mobile Phone Service Providers (MPSP), operators to come under one platform and to build a grand alliance. 
Asia Pacific Business Forum programme is organised by International Chamber of Commerce, Ministry of Commerce and United Nations Economic and Social Commission for Asia and Pacific (UNESCAP).

Balanced regulations key to digital financial services

Experts tells Asia-Pacific Business Forum

Financial model experts suggested building a balanced regulatory framework for digital financial services, so that all services can come under one platform and assist implementation of Sustainable Development Goals (SDGs) through digital financial models of inclusive business. Experts made this statement in a business session titled--Supporting SDGs through Digital Financial Models by Inclusive Business--of the Asia-Pacific Business Forum, which was held at a hotel in the capital yesterday. We need one specific balancing regulation of digitization of the banking system and digitization is a broader term compare to digital financial models, said former Governor of Bangladesh Bank Dr Salehuddin Ahmed while moderating the business session. To deliver digital banking services to the mass people conveniently, Dr Salehuddin Ahmed has suggested four things--to make the payment service with low cost, secure the transaction of the payment, all digitize all the parties, ensure impeccable security and transparency to support SDGs through digital financial models. Speaking on the occasion, Director of Industrial and Commercial Bank of China George Yuen has explained the impact of tech disruption on banking services and said that in 2015, 1.8 trillion financial transactions have occurred through digital payment system. Nowadays every single technology firm has started giving out their payment system to the third party company, he added. China is one of the largest economies in the world and presently 1.3 billion people have used mobile phone. During the business session, Chief Executive Officer of Credit China FinTech Holding Ltd Phang Kiat informed that approximately 700 million people are now using mobile wallets in China and last year 200 million people have settled business transactions through an online payment system. CEO of City Bank Ltd Sohail Hussain said that during last three years, mobile banking has increased 600 per cent and it shows the potentiality of digital banking in Bangladesh. People can pay any types of digital financial services through mobile phones. Digital Financial Services can impact the economy through trade receivable discounting system, to receive early payments through SMSs, salaries, school fees, retail payments, and electronic bills, he added. In 2016, 33 per cent people have active internet connection through mobile phone in South Asia, so the future of the potential business of mobile banking would be generated from this region, Sohail Hussain described. Cloud based system is certainly cost effective in the digital banking system, he suggested. According to the officials of bkash Ltd, they have currently 26.4 million registered users. Speaking at the programme, CEO of bKash Ltd Kamal Quadir explained that bKash is designed for small transactions and having human agent is cheaper than automated teller machine (ATM) infrastructure so, bKash has more than 6000 agents across the country at this moment. The idea of using digital money has become revolutionised through bKash at this moment in Bangladesh, he added. CEO of Robi Axiata Ltd Mahtabuddin Ahmed said that more than 30 million people in Bangladesh have used mobile financial services and only 60 per cent penetration has completed. It has the potentiality to reach 100 per cent, he informed. During the programme, CEO of Bangladesh International Arbitration Centre (BIAC) Muhammad A. (Rumee) Ali defined financial inclusivity and said that financial inclusivity is not just sending money from one place to another, it includes all financial services into one platform. Rumee Ali explained cost infrastructure as an impediment of financial inclusivity, because banks cannot provide services below certain standard level. He also urged to all banks, Mobile Phone Service Providers (MPSP), operators to come under one platform and to build a grand alliance. Asia Pacific Business Forum programme is organised by International Chamber of Commerce, Ministry of Commerce and United Nations Economic and Social Commission for Asia and Pacific (UNESCAP).