Telecommunications – Bill Gates Funding TO AXIS Indonesia on Mobile Banking Program

Thanks To Bill Gates

The Bill & Melinda Gates Foundation, along with the GSM Association have announced a programme that will expand the availability of mobile banking services in the developing world. The Mobile Money for the Unbanked (MMU) programme, supported by a US$12.5 million grant from the foundation, will work with mobile operators, banks, microfinance institutions, government and development organizations to encourage the expansion of reliable, affordable mobile financial services to the unbanked.

Continuing the announcement on february 26, 2009, Bil Gates has announce the world wide company that grant on the programs.

The association, which has 800 mobile operator members, is giving its first grants to Axis in Indonesia, Oi in Brazil, Roshan in Afghanistan and Smart Communications in the Philippines, using funds from a $12.5 million grant from the Gates foundation. Gavin Krugel, a director at the GSMA, said: “The scope of these projects is hugely exciting as they will not only provide mobile money services to the unbanked, but will also have the ability to enhance the way whole communities live and carry out business by helping them achieve stability, economic growth and fostering entrepreneurial opportunities.”

The initial four programmes were chosen to be geographically diverse. “I am delighted to be working with these and other pioneering companies as we continue to strive to build financial security and an identity for the most disadvantaged in our society and work towards our goal of reaching 20 million unbanked people with mobile services by 2012,” said Krugel. The Axis mDuit project is due to launch in December 2009. The operator has a significant opportunity to bank the unbanked via mobile in Indonesia as only 40 million of the country’s total population have bank accounts, whereas 90 million have mobile phone subscriptions. Axis will offer a range of services to consumers via mobile, including payments, savings and credit.

Brazilian operator Oi intends to provide individuals living in low income and remote communities with access to basic banking services to encourage development. The proposed service will allow individuals to receive welfare funds, make domestic remittances and buy products at participating stores. A cash-out option is also being considered. Building a distribution network that has the ability to grow and manage customers in a country at war is the main focus of Afghanistan operator Roshan. Currently 97% of Afghans are unable to access traditional banking services as 76% of Afghans reside outside major urban centres. Its M-Paisa project will provide mobile money services to rural entrepreneurs, women, public and private institutions, and those in extreme poverty. Smart Communications will benefit those on remote islands or inland locations who are isolated, have no or limited access to financial services and limited electricity. Smart aims to build remote economies through reaching the underbanked and unbanked and so enabling customers to send and receive domestic remittances, reload e-wallets, pay bills or send money via the Smart Money Platform. The GSMA is still considering applications from other operators around the world.