There has been a growing debate on whether greater integration and interoperability of banking and other financial services provided through the ANMs/BCNMs is a prerequisite for greater acceptance and adoption of the BC model by the consumers. MicroSave conducted a comprehensive research study on the need for integration and interoperability of financial services for the poor. The intent was to understand the consumer aspirations and needs; and the challenges from a supply side perspective and from policy and regulatory standpoint. The intended outcome was to develop a point of view based on perspectives of various stakeholders, and to arrive at a realistic and practical road-map.
MicroSave conducted this study through primary market research across select urban and rural geographies, supplemented with secondary analysis and building a point of view. In addition to the needs of the target segments, the study team interacted with major banks, business correspondents (BCs), technology solution providers (TSPs), mobile network operators (MNOs) offering BC services, regulators and other key stakeholders and influencers to understand their perspective on interoperability, challenges that they foresee and the likely emerging scenario.
This study brings out the following:
1. Understanding of client need and expectations - demand side analysis.
2. Understanding of perspectives, challenges and plans of providers and enabling institutions - supply side analysis.
3. Analysis of regulatory and policy environment and recommendations on changes desirable.
4. A review of evolution of industry standards and specifications and their impact on alternate banking channels.
5. Assessment of business potential for banks and ANMs and for various feasible options recommended.
6. Recommendations and actions required by ANMs, banks, regulators/policy makers and the Government.