Financial Inclusion White Paper - NCR
Financial Inclusion White Paper - NCR
Financial Inclusion White Paper - NCR
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Table of Contents<br />
1. Introduction to <strong>Financial</strong> <strong>Inclusion</strong> ........................................................................6<br />
a. The role of Government .................................................................................6<br />
b. The role of technology ...................................................................................7<br />
c. <strong>Financial</strong> inclusion case studies .......................................................................7<br />
2. India’s Socio-Economic Landscape .......................................................................10<br />
2.1 Rural/Urban Divide.................................................................................... 11<br />
2.1.1 Urban India ................................................................................ 11<br />
2.1.2. Rural India ................................................................................ 13<br />
2.2 Un-banked unbankable population............................................................... 15<br />
2.3 Underbanked bankable population ............................................................... 16<br />
3. Reasons for <strong>Financial</strong> Exclusion - India ................................................................17<br />
4. <strong>Financial</strong> <strong>Inclusion</strong> Lifecycle.................................................................................18<br />
Step 1: <strong>Financial</strong> Literacy ................................................................................ 18<br />
Step 2: Opening a Bank Account ...................................................................... 19<br />
Step 3: Delivering <strong>Financial</strong> services ................................................................. 19<br />
5. A Feasible Solution for <strong>Financial</strong> <strong>Inclusion</strong> ...........................................................20<br />
5.1 <strong>Financial</strong> Instruments .............................................................................20<br />
5.1.1 No-frills savings account............................................................... 20<br />
5.1.2 Microfinance/Microcredit ............................................................... 21<br />
5.1.3 Kisan Credit Cards (KCC).............................................................. 22<br />
5.1.4 Remittance................................................................................. 22<br />
5.2 Technology Solutions ..............................................................................24<br />
5.2.1 Conventional Solutions................................................................. 24<br />
a. Smart Card .......................................................................... 24<br />
b. Point of Service device........................................................... 25<br />
bi. Biometric Reader....................................................... 25<br />
c. Mobile Phones....................................................................... 25<br />
5.2.2 Self-service Solutions................................................................... 25<br />
a. Full Self-service .................................................................... 26<br />
1. Automated Teller Machine (ATM) ................................ 26<br />
2. Mobile Phone Applications.......................................... 27<br />
b. Assisted Self-Service ............................................................. 29<br />
1. Point of Service Terminal............................................. 29<br />
5.2.3 Technology Enablers .................................................................... 29<br />
1. Biometric Recognition............................................................ 29<br />
2. Interactive Voice Response Services (IVRS) .............................. 29<br />
3. Multilingual Software ............................................................. 30<br />
4. Graphical User Interface ........................................................ 30<br />
5. Wireless Connectivity ............................................................ 30<br />
6. Internet Connectivity............................................................. 30<br />
5.2.4 <strong>NCR</strong> EasyPoint TM 70 Tijori ............................................................ 31<br />
a. Technology features .............................................................. 31<br />
b. Distribution Model for <strong>NCR</strong> EasyPoint 70 Tijori ........................... 32<br />
c. Advantages of the <strong>NCR</strong> EasyPoint 70 Tijori ................................ 32<br />
d. Results from the <strong>NCR</strong> EasyPoint 70 Tojori Proof of Concept ......... 33<br />
5.3 Multi Channel Delivery Models.................................................................34<br />
5.3.1 Business Correspondents - Agent Model ....................................... 34<br />
5.3.2 Independent and Shared Access Networks.................................... 36<br />
a. Independent Networks ......................................................... 36<br />
b. Shared Access Networks....................................................... 36<br />
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