The State Bank of India has selected Mobile Financial Services solutions from Amdocs and Triotech in order to offer the services to India’s unbanked and under-banked population.
The financial services will be provided using the mobile network of Bharat Sanchar Nigam Limited’s (BSNL), and will be delivered under a five-year services contract.
SBI is the largest public sector bank in India, while BSNL is its largest public sector service provider. Both firms are aiding the Indian government’s goal of providing banking services to 75 million households, including millions of households in rural India.
The Amdocs Mobile Financial Services solution will enable SBI and BSNL to offer customers of any mobile operator in India the option of owning a mobile wallet account. As a result customers can take advantage of highly secure mobile banking services, such as money transfer and bill payment, as well as pay for airtime recharges.
Furthermore, the solution will allow SBI and BSNL to support an extended ecosystem of multiple merchants and business correspondents (credit card companies, utility providers, employers) on the mobile network, enabling easy payment and top-up transfers to third parties.
Amdocs’ Mobile Financial Services solution also includes a dedicated set of services, spanning consulting, implementation, systems integration, software and hardware operation, and maintenance. Triotech will own the overall project management, including developing the end customer and retail application and portal, retail channel management and Tier 1 and 2 services.
“Our partnership with SBI is an additional step in bridging the rural-urban digital divide, using BSNL’s ubiquitous mobile network and wide reach of agents,” said Anupam Shrivastava, director-CM at BSNL. “With a business model centring on branchless banking, we can ensure operational reliability and an efficient cost structure that will allow us to offer financial services, affordable for low-income households.”
Patrick McGrory, division president for Amdocs’ emerging offerings, added: “By coupling market-leading mobile financial services technology with a robust set of dedicated services, we enable service providers and banks to cost-effectively tap into previously unserved markets, with new revenue streams, while enjoying operational peace of mind.”
India’s Reserve Bank recently ruled out the possibility of integrating mobile payment services into established retail networks, in what could be a significant blow to the adoption of the technology.