* Statscorp LLC 2006 group survey of cross-section of Nigerians in New York
Traditional MTO transfers, as seen above, is mainly cash to cash and therefore do not help to retain the funds in the formal sector. Technological Innovation, on the other hand, has widened the horizon for remittances and has provided the capability:
Remittances could easily become the killer application in Mobile money services
Trend: use of mobile phones in Nigeria Unfortunately, Use of Mobile phones to access financial services is still a largely untapped service in Nigeria * Efina report: Access to Financial Services, Key Findings of EfInA’s 2008 National Survey
MFI/Post offices do not have the infrastructure / funds to deploy the needed infrastructure
eTranzact plays a role here to provide such an infrastructure
eTranzact eRemit Platform
About eTranzact eTranzact is an award winning, innovative and cutting edge technology payment platform. It is a fully Integrated Multi-Channel Switching Platform, Payment ProcessorandMobile Banking / Payment solution. eTranzact is currently deployed in five African countries (Ghana, Ivory Coast, Nigeria, Zimbabwe and South Africa (WIP)) and aggressive plan is in place to deploy the platform across the various African countries at the shortest time possible. There are currently over 35 banks and 15 MFI’s connected to the platform. Also, there are over 60 MTO’s on the network at the moment.
eTranzact-eRemit Architecture Pre-paid Card Mobile phone Bank account and Cash Outlet eTranzact-eRemit platform Remittance Organization Recipient Sender
Boosting remittance levels is made easier using the eTranzact-eRemit platform A STRONG SWITCHING PLATFORM AN ESTABLISHED NETWORK OF BANKS EASY FOR AN MTO TO ‘PLUG IN & PLAY ‘ CONVENIENCE FOR SENDER & RECEIVER Multiple collection points to drive usage. Remit to Bank Account Remit to Card Remit to Phone Remit to Cash Outlet
Using an every day tool for your everyday transactions
“Remittances provide a lifeline to many poor countries. Although they remain resilient, even a small decline of 7 or 10 percent can pose significant hardships to the people and to governments, especially those facing external financing gaps. Reducing remittance fees and developing innovative tools to leverage remittances for financial inclusion and capital market access should be a part of our response to the financial crisis.” - DilipRatha, Lead Economist in the Development Prospects Group of the World Bank, on the impact of the financial crisis on remittance levels.