KEYNOTE PRESENTATION

Presented By

EVANS WOHEREM, Ph.D

Founder and Chairman, Digital Africa Global Consult
Ltd and Compumetrics Solutions Ltd.
BANKING: PAST, PRESENT AND FUTURE
AGENDA
• INTRODUCTION
• THE PAST
• PRESENT DAY BANKING
• THE FUTURE OF BANKING
• RECOMMENDATION
• CONCLUSION.
BANKING: PAST, PRESENT AND FUTURE
INTRODUCTION
• Across every industry, the digital space continues to shape customer
expectations for service delivery.
• Future of banking will not be a continuation of the past due to the
emergence of new competitors
• New technologies will transform banking as we know it, providing both
opportunities and challenges for financial institutions.
 BANKING: PAST
• Banks services were characterized by slow operations using mostly paper.

• Someone would make deposit, the clerk would count the money, register it in a book
and give the depositor a receipt of the deposit

• The bank would regularly send the money and a copy of the registry to the central
bank.
BANKING: PAST
BANKING: Past | Present

Banks started
Introduction of in- Banks established Banks started
offering online
store credit internet presence introduced banking
services through
mobile applications
websites
BANKING: PRESENT
BANKING: PRESENT
• Technology plays a key role in the banking industry, maximizing the
efficiency of transactions and services.

• Almost all advances in banking within the past century or two owe
their existence to a leap forward in technology. E.g. The ATM, which
amazed the world when it appeared in a London suburb in the 1960s.
And mobile point-of-sale devices,

• New technologies in banking have led to branchless banking

BANKING: TRADITIONAL BANKING
• Traditionally, we store money in bank accounts

• We pay a fee for the service

• The bank enjoys the float

• The Projects which they invest in often may not align with the customers
preferences

• NO returns as average interest rate is 0.01% for current accounts.

BANKING: DIGITAL BANKING
• Digital Banking has been aided, vastly, by the implementation of mobile
application.
• In 1998, there were less than four million mobile phones on the
continent; last year that number had swelled to 500 million – half the
population. By the end of last year, the figure had risen 735 million.
• Africa is now the second-largest mobile market by connections after Asia,
and the fastest growing mobile market in the world.
BANKING: Digital Banking Progression
BANKING: Evolution of Mobile Banking
BANKING: Evolution of Mobile Banking
GOOD MONEY
 Mobile banking platforms like Good Money are ready to disrupt the
above traditional banking
 Good money is a mobile banking wallet
 It allows users to keep all their assets (both Fiat and Crypto currencies) in one
place, no annual fees.
 It allows for full interoperability between the Fiat and Crypto currencies
 No overdraft, minimum balance, or ATM fees (at 35,000 locations)
 However, GoodMoney offers interoperability between fiat and crypto currencies,
reasonable interests, and controls of where your money is invested.
 Besides Good Money, there are other mobile banking platforms around the world.
BANKING: Evolution of Mobile Banking
bKash (Bangladesh)

• Started in 2011 with $5m

• Has today gained more than 25m users and over $30m in donations and
investments
• With only a low 1.85% fee (only on withdrawals)
• Bangladeshis pay salaries, store their monies and do their day-to-day shopping
using bkash.
• bKaash wants to include services like loans and insurance
BANKING: Evolution of Mobile Banking
ANT Financials

• ANT Financial (former Alipay, a subsidiary of Alibaba) now owns 20% of bKash, to
enhance their serives.
• At the forefront of FIntech Revolution in China, Bangladesh and worldwide.
• Facilitated $8trillion of transaction in online payment in 2017 alone.
• Its recent funding round of $14billion sets it up to be valued at $150billion
BANKING: Evolution of Mobile Banking
M’PESA (Kenya, South Africa, and Southern Asia)

The banking evolution in Africa kicked into life five years ago, with the launch of
Safaricom’s M-Pesa – a service which allows users to store money on their mobiles
and then use it to pay their utility bill or to send money to their friends via text.
• Started by Safaricom in Kenya
• Brings Mobile payments and banking to more than 40 million customers in 10
different countries
• Initial use case was for transfer of money across long distances
• Indian government uses M’Pesa to pay pensions to retirees in rural areas.
• M’Pesa customers use M’Pesa agents to make and withdraw money, even
without ATMs or bank branches
BANKING: Evolution of Mobile Banking
PAGA (Nigeria)

Paga is a mobile payment platform that allows its users to transfer money and make
payments through their mobile devices.
• Paga was founded in Nigeria in 2009
• With numerous outlets across the country where its agents act as human ATMs.
• Currently have about 12,326,550 Customers with over 20,000 agents all over
Nigeria.
• Accept payments or disburse money to banked or unbanked customers in Nigeria
• Agents earn commission for every transaction they perform for their customers.
BANKING: Evolution of Mobile Banking
BANKING: FUTURE,
• There is a revolution impending in Fintech, caused by Mobile devices, Quantum Computing,
Blockchain, Artificial Intelligence (AI), and Internet of Things (IoT), that is disrupting the
traditional Brick and Mortar banking and finance.

• Future technologies will be more customer-centric and efficient, and provide more
targeted, secure and intelligent solutions
BANKING: Disruptive Technologies of Future Banking
BANKING: Disruptive Technologies of Future Banking
ARTIFICIAL INTELLIGENCE
• Can now monitor the entire financial history of a customer, up to the minute, and help pinpoint the
likelihood of banking fraud based on usage patterns and behaviors which is useful for lenders
• Another way AI can help the finance sector is making it easier to separate credit-worthy customers from
the less-credit-worthy.

SMART PHONES
• Mobile Application is another reason why smartphones have emerged as a favorite tool among financial
and banking customers.
• Smartphone and tablet culture is bringing us an entirely new class of app too — one that blurs the line
between traditional banking and something far leaner and more convenient.

BLOCK CHAIN AND DECENTRALIZED CURRENCY

• No discussion of emerging technologies in banking is complete without a mention of the blockchain.
• Blockchain essentially allows for safe and secure trading of almost anything – from money, ideas,
copyrights, or royalty fees – while also eliminating the middle man formerly needed to facilitate or
manage the transaction.
RECOMMENDATIONS
• Banks need to focus on improving five specific areas inside their
organizations
• There should be greater collaborations between Banks and Emerging
FinTechs
• Greater deployment and use of new exponential Technologies
• All banks should move away from operational level to strategic level of
operation.
• More eKYC, Digital ID schemes
• More policies and regulations from government
• Digitization of Payment infrastructure
Conclusion
• With technology holding so much potential, and both consumers and
banking leaders so enthused about the digital transformation of the sector,
we can certainly expect greater financial inclusion and more quality
financial services. Technology will help deliver a better future for the
banking industry, and for those who interact with it.
• The future belongs to those financial institutions which embraces and
recognize the technologies which will play a significant role.
THANK YOU!!!