Vanuatu ministries learn about bank digitisation

Transcript

KRISHNAN NARASIMHAN - Basically to look at how to use the digital channels to increase or officiate the transactions that the government makes to people and that the people in turn can make to the government in the form of life and business fees, school fees payments, those sorts of things.

SELA JANE AHOLELEI - So is this basically like Internet banking or ATM machines?

KN - Internet banking is part of the whole package, but it also includes things like mobile banking and agency banking and branch banking. The Internet banking has restrictions in the sense that it can be only accessed in those places where there's robust Internet connection and in rural areas that you know that are the data penetration is quite low, so there are other digital options that they can use, tablet based applications and you can also use basic mobile phone applications to promote use of digital payments.

SJA - And what if people in Vanuatu are not familiar with technology and digital terms to do with banking?

KN - It did come up, lack of mobile phone penetration and understanding of technology especially by rural people and by many people who have low literacy levels, so as part of the whole thing in our national strategy, a key element will be financial awareness and financial literacy and plus consumer empowerment because it's just not offering services, but those that are appropriate and those that are affordable, so those will come as part of a strategy so the focus will be on the low income population and the far-flung areas.Basically to help them... the demand site survey that we did showed that an average banking access point will take 60 minute, travel distance and it can cost anywhere between 350 to 600 vatu to go there and even people with bank accounts, it takes minimum 20 minutes to go there, so therefore these rural areas that can be improved so part of the consultations was with the banks. All of them agreed that more education is a key to xxxxx We will also be looking at new financial products and services as part of our innovation strategy, looking at those products that can address specific pinpoints in the daily financial lives of people and that they can use the financial service to take care of their daily well being and their overall financial well being.