Presentation during the SELSE 2011 - Silicon Errors in Logic - System Effects Conference

1. Harsh Computing Environments in
Financial Services Markets
Dan Armstrong
Takashi Mobile and Financial Services
takashimobile.com
http://www.slideshare.net/danarmstrong

2. Rabo Development
 Rabobank Development is a division of Rabobank
International, one of the world’s largest food/agri-
banks
 Wholesale banking in 47 countries, 65.000 employees
 AAA status as a retail bank, but focused on rural/retail and agri-
banking
 Rabo Development partners/takes minority equity in
banks in developing countries that match this historical
profile and our skillsets (see following slide).
 In addition to support in food/agri- and basic banking
services, Rabo Development also supports partners
with brick-and-mortar branch network strategies,
channels/automation projects (mobile, ATM, internet),
banking products, fraud and in-country personnel.

3. Rabobank & Rabo Development World-Wide
RIAS & Rabo
Development
Rabo International (logos indicate Rural/Retail banks)
Rabobank Foundation
Advisory Projects / Partners

4. Banking in Harsh Environments
 Bringing compute resources and solutions to banks in
remote locations with limited infrastructure is a major
challenge:
 Fixed line internet connectivity (fibre, WiMax) and, if available, huge cost
 Mobile internet connectivity (GSM/HSDPA, GPRS/EDGE, WCDMA, etc.)
 Power (lack of power at all, or lack of stable power and/or UPS)
 Weather conditions (humidity, flooding, sun exposure, lack of closed buildings
and server environments)
 Environmental conditions (dust, exponentially higher maintenance cycles)
 Security of computing platforms (theft, transport, as well as e.g. stolen cooper
phone wire for other purposes like jewelry)
 IT skills (system set-up, monitoring, maintenance, usage of computers)
 Literacy

5. We’re talking about the dark areas

6. Case Study: BPR Rwanda
 BPR (Banque Populaire du Rwanda) is by far the largest bank
in Rwanda, “bank of the people” with roots in cooperative
and food/agri-banking (>85% of Rwandans are farmers)
 Currently 47/191 BPR branch banks are automated/
connected
 Around 150 locations use paper-and-pencil ledgers
 Staff may have no previous experience with computers
 Fraud and information integrity are problems. Customers can only bank at one
bank location.

7. Case Study: Banque Populaire du Rwanda
 BPR Mobile Banking
 Launched in Q3 2010, 10k new
customers per week
 Check balances, make
transfers, pay bills, buy prepaid
airtime
 BPR Debit Cards
 Enables “automated” account,
lower fees, 24/7 service
 BPR Quickcash ATMs
 100+ ATMs nation-wide
 Connectivity
 New solar/electric and GPRS
modem programme launched
in 2011 will automate BPR in
18 months

8. Case Study: NMB Tanzania
 NMB: National Microfinance Bank Ltd.
 Also by-far the largest bank in Tanzania
 1.9 mln customers: regular Tanzanians, all teachers, army, etc.
 ATMs in place (300+), most customers have ATM cards
 150 connected branches (100%)
 However, major queue problems
 In branches and at ATMs

9. Case Study: NMB Tanzania
 NMB mobile launched in
August 2009
 400.000+ active customers to-date
 Highly profitable for NMB
 Prepaid airtime, bill payment,
prepaid electricity
 Vodacom, Zain, Tigo, Zantel (99%
mobile penetration)
 SMS Alerts to 220.000 customers
monthly
 Moving into merchant
payments, business services
NMB mobile
1. Balance Enquiry
2. Mini-Statement
3. Money Transfer
4. Prepaid Services
5. Other Services
6. Help

10. Challenges in Rwanda, Tanzania and Elsewhere
 Utilities: high-quality power, paved roads,
 Environmental conditions: heat, humidity, dirt
 Knowledge: trained technicians, maintenance and
support personnel
 Equipment: spare parts, local hardware/software
licenses
 Costs: generator electricity only option in some
remote locations (costly), high-quality solar still
expensive … but GPRS is being widely available and
can be a cheap and effective solution!