Financial Inclusion and Digitization
The Impact of Accelerating the Digital Transformation of Banks & Global Service Providers
Financial inclusion will play an important role in ending extreme poverty. The availability of financial services to the unbanked directly leads to increased economic activity throughout a region. A Boston Consulting Group (BCG) study examining the impact of mobile financial services across multiple countries found that mobile financial services alone has the power to increase gross domestic product (GDP) by up to 5% in the countries examined.1
In India, for example, the BCG study estimates that India’s GDP could rise 5% by 2020 through the addition of mobile financial services in society.1 Increased access to credit, greater investment opportunities, and the creation of new businesses could result in an additional four million jobs for India’s workforce.
However, more needs to be done to reach the unbanked throughout the world. Of the 2.5 billion unbanked, one billion currently have access to a mobile device. This means that mobile financial services hold great potential for reaching the unbanked. And as mobile device usage continues to proliferate around the world, it offers an effective, scalable, and economical way to deliver financial services.
“The availability of financial services to the unbanked directly leads to increased economic activity throughout a region.”
CDA investments are helping banks and GSPs accelerate their digital transformation journeys
Although most organizations view digital business transformation as a top priority, according to Gartner, "only 14% of responding organizations have moved a digital business initiative to scale. Fewer still, only 3% reported that their digital business efforts were generating real results."2
Cisco Digital Experience Center
CDA has set up a Digital Experience Center for BFSI at Cisco office in Mumbai with the purpose of creating an immersive experience for banking leaders. At the center, they will get to experience an end-to-end depiction of solutions in action- from understanding what specifically can be done when the network slows down or is under cyberattack to what can be done to unleash the collaborative power of the organization.
This lab was inaugurated on June 9th, 2017 in the presence of leaders from HDFC Bank, ICICI Bank, NSE, KPMG, Deloitte and Dimension Data.
"A true digital bank is a bank that improves the customer experience, creates powerful new streams of revenue and value, delivers against aggressive cost-income ratios, and can support multiple nontraditional business models. Ultimately it needs to be agile enough from a technological, structural and cultural point of view to enable it to constantly adapt to rapidly changing business and technology environments"3
Retail & Manufacturing
The Digital Experience Center will be equipped to showcase use cases in the manufacturing and retail industries as well. The demonstrations include: Connected Machines, Connected Fleet/Transport, Real Time Location Sensing, and Field Area Network for AMI.
Cisco Investments in Global Service Providers
Airtel NSO, Gurugram
Cisco has provided technology stack to Airtel by funding the end-to-end field trial of the NSO solution to deliver high-quality services faster and more easily to Airtel’s customers through network automation.
Cisco’s investment at Airtel NSO will help in Airtel’s digital transformation, to enable agility and improve its responsiveness in the competitive telecom industry.
Impact areas include- enhanced agility, increased transparency, easy orchestration and reduced cost per bit.
- Digitizing Financial Inclusion (Cisco)
- Gartner: Driving Digital Business Transformation for Industry Leadership: An Executive Perspective
- Delivering the Digital Banking Experience Primer for 2018