Ride the New Mobile Solutions Wave Triggered by UID
Carol RealiniCarol Realini, CEO Obopay Inc , CEO Obopay Inc
Sanjay SwamySanjay Swamy, UIDAI , UIDAI
Arun TaArun Tanksali - VP-Mobile Solutions, Comviva nksali - VP-Mobile Solutions, Comviva Abhishek Sinha Abhishek Sinha – EKO – EKO India Financial Services India Financial Services
Ramesh Loganathan, Progress Software Ramesh Loganathan, Progress Software
Slides TBD
UID brief- by Sanjay Swamy
2May 3, 2023
Bringing Opportunity to LifeBringing Opportunity to Life
Twitter - carolrealiniTwitter - carolrealini
Gap NarrowingGap Narrowing Gap WideningGap Widening
0.7 B mobile phones0.7 B mobile phones
0.2 B savings bank accounts 0.2 B savings bank accounts
UnderservedUnderserved
1.2 B people1.2 B people
Why Mobile Money?• Economic growth• Empowers small business• Financial Inclusion• Why we should care?
• Security• Healthcare• Commerce• Scaling microfinance• Empowering women
Serving the underserved
Very low cost model via pooled account
National ID will drive down on boarding costs and speed adoption
Retail reach for customer on-boarding, support, cash in/out
Full range of financial products – payments, savings, credit, insurance
Local Language and voice support
Broad device and network coverage – including low end phones & SMS
UID is key
UID for registration will save over 50% of KYC costs in
handling documents/paper
UID can be used for BC Cash Out of up to Rs 5,000 per
instance making it a highly effective domestic
remittance vehicle
UID can be used for merchant payments, making it a
highly effective and fraud proof substitute for plastic
and when supported by a mobile phone providing
timely notifications of transactions
Mobile Solutions perspective
Arun TanksaliVP, Mobile Solutions, Comviva
• There are circumstances where end-users/Retail level authentication is required• This means that end
users, as opposed to organizations, may want to authenticate others in a transaction
• Examples could be:• Hiring a driver, domestic
help• Renting an apartment
• End users do not have access to the API or tools that are appropriate for simple usage
• Opportunity for retail authentication service providers
Retail Authentication
Mobile Authentication Service
SMS Client USSD
Text factors Text factorsText + image factors
• Consuming any kind of premium content or service via a mobile phone results in a payment via the Mobile Service Provider
• The current dynamics of this payment model results in a very small portion reaching the actual content/service provider
• If a mobile phone number is associated with a UID, which in turn is associated with a bank account then a simple model for micropayments can evolve directly connecting the provider and consumer
Mobile Apps & Service Micropayment
?
+?
• The availability of a trusted authentication mechanism can simplify the challenge/response model of access in secured public places• Example: Airports
• The prevalent model is to produce a paper identification which will allow the access authority to match against the individual and ticket/boarding pass that is held
• This can be simplified considerably if the ticket/boarding pass contains the UID barcoded onto it• Or the barcode is
available on a mobile phone
• A passenger can simply scan the ticket/boarding pass and authenticate with a fingerprint scan
UID enabled boarding pass
BLR-DEL
Seat: 1c
Airline Ticketing System
The India angleAbhishek Sinha
Eko India Financial Services
Fundamentals
• Rapid & massive scale• No CAPEX• Extremely low cost of transaction• Leverage retail distribution infra - 15 million• Leverage cell phone users ~ 700 million
• Exclusive to None - True Democratization
13May 3, 2023
All MNOsAirtel / BSNL / Idea / Reliance / Tata etc.
All PlatformsSymbian / Java / Android etc.
All OEMsNokia / LG / BlackBerry / iPhone etc.
All
Technologies3G / GPRS / CDMA / GSM / EDGE etc.
Multi BankState Bank of India / ICICI Bank etc.
All FSPsBharti AXA / SKS / L&T Finance etc.
Digitization of a financial transaction
BENEFICIARY
AMOUN
T
AUTHORIZATION
Missed Call | Only Numbers | Works on Ultra-low cost handsets | FREE
*543*9811234389*99
9*1598271234#
Use cases
Currently live @ EKO/-• Money transfers into SBI
accounts• Pension payments for
ESIC employees• Incentive disbursal for
ASHA workers• Bharti Axa Bachat Bima
insurance premium payments
Possible use cases• MFI Loan disbursal• Prepaid recharge• Farmer purchase of
weather / commodity price updates
• Payment for remote diagnostics / healthcare
• Low income payroll disbursal
15May 3, 2023
Challenges?
Thank You
Challenges• Provider neutral
communications access• Standards development /
frameworks• Regulatory clarity• Creating service awareness• Creating customer literacy• Funding scalable infrastructure
Solutions• Public private partnerships• Non-prescriptive frameworks
• Support innovation• Lower entry barriers
• Building sustainable models:• Allow service delivery for those who
can pay• Devolve deployment of government
grants – like the FIF, FITF• USO like funds to subsidize social
agenda
18May 3, 2023