Speaking at the IAMAI symposium on financial inclusion through mobile phones, R.chandrashekhar, Secretary, Department of Information Technology, said that radical changes are required for financial inclusion through mobile phones.
Some of the changes he pointed out were:
- Removal of link with the need for a formal bank account, he pointed out that without this , the quantum jump in the financial inclusion is very difficult if not impossible.
- Below certain threshold of the transaction amount,Govt should not try to track the transactions over mobile and that this will remove the KYC norms required for a user to perform a transaction over mobile phone.
- Mobile penetration need to be increased to proliferate the financial inclusion of the rural India.
He pointed out that banks still cannot handle large amounts of low ticket transactions, he said that 25 million no-frills bank accounts that were opened, only 2.7 million were active, he said that it is the same with post offices but mobile operators can handle all the low-ticket transactions becuase they are already doing so with the 10′s of millions of prepaid cards
There was a question from audience if we can use Mobile phone per se, as an identification, Chandrashekhar responded that a thought is put in regarding validation of identity using a mobile phone but said mobile phone as an identity is a different question and said cannot be done, while validation through mobile phone can be implemented, if there is an authority which can perform the function.
As part of financial inclusion initiative, Eko (eko.co.in) is trying to provide a mobile bank account in association with SBI. It’s a very interesting initiative and I am sure they’ll succeed.
This is best news for who want to use this financial inclusion facility on their mobile phone I am waiting for this facility Thank you for this post it has very useful information..please keep posting like this with this useful information