CLOSING THE LAST MILE THROUGH IT. THE CELLULANT EXPERIENCE. Casablanca, November 5, 2005

Transcription

1 CLOSING THE LAST MILE THROUGH IT. THE CELLULANT EXPERIENCE Casablanca, November 5, 2005

2 Cellulant Nig Ltd is a mobile commerce company that provides digital financial services and payment solutions. We launched services in 2002, and have dominant market positions in Kenya and Nigeria. We currently have offices in Tanzania, Ghana, South Africa, Zimbabwe, Mozambique, Uganda, Zambia and Malawi. We expect to be in countries in Africa by the end In 2012 we obtained a License to operate a mobile payments and services scheme. The services are running under the Cellulant Wallet brand in key sectors of the Nigerian economy. Our e-wallet is also an electronic device that allows an individual to make electronic financial transactions. These can include but not limited to receiving money, purchasing items, buying airtime, paying bills, sending money and also transfer to commercial banks using a mobile phone.

3 The wallet allows anyone to receive and send money to anyone with a valid cell-phone number. The money is transferred instantly and can be withdrawn as cash from ATMs or used for other services. It comes with so much convenience for the users as they are provided the option to choose from different access channels like Web, USSD, SMS and a Mobile Application. Since 2012, the e-wallet technology has delivered services to about 12 million farmers under the Agriculture transformation Agency known as the Growth Enhancement Support (GES) Program. The GES program, an initiative led by Federal Ministry of Agriculture and Rural Development (FMARD)

4 The Growth Enhancement Support Program is the agriculture sector component of the transformation agenda of the federal Government of Nigeria. It seeks to lift 20 Million poor farmers out of subsistence into self sufficiency from the 6 geopolitical zones. The GES program puts the resource constrained farmer at the centre of the agriculture value chain and creates a series of incentives to encourage the critical actors in the fertilizer value chain to work together to improve the productivity, food and income security of the Nigerian farmer.

5 The GES program gets government out of the procurement and distribution of fertilizer and gets private sector actors such as banks, producers, distributors, agro-dealers to own the value chain for fertilizer The GES program stimulates demand for fertilizer by putting a cash component of the product value directly into the hands of the farmers via mobile wallets.

6 Under GES scheme, a farmer is expected: To receive fertilizer (NPK & UREA) and seeds at an affordable price; To receive pesticides, fungicides, insecticides; Access to various information to improve agricultural production; Increase its yields; Access to credit facilities

7 Participant Role The Farmer To register for the scheme and use fertilizer. FMARD & States To operate and fund GES program and coordinate the identification of beneficiaries. Federal Ministry of Finance To provide FGN guarantee for the program. Suppliers of Fertilizer Make inventory available and build their distribution channel across the Country. Banks Make financing available to approved suppliers. Cellulant To design, develop and operate the GES wallet. Supply Chain Managers To coordinate the activities of the entire supply chain including operations of redemption centers. Other FGN Agencies Mobile networks To provide access to the relevant databases for KYC purposes. To provide access channels for farmers.

8 Wrong phone number for the registered farmer No phone number for the registered farmers who has a phone Registered phone number for a person who is not a farmer Incomplete phone number for the registered farmer Duplicate phone number The farmer was not registered The agro-dealer was not registered/activated Helpline staff phone number is not registered/activated Wrong phone number was used to redeem by farmer or helpline staff The helpline staff dialed the wrong farmer ID Farmer has exceeded the amount of inputs to be received Agro-dealer does not have enough inputs Huge variance between system report and field report Huge variance between supply report and system report

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10 FARMERS ON E WALLET FAREMERS ROLLED OUT FARMERS REDEEMED NO OF REDEMPTION CENTERS ,600,000 8,610,519 12,600,000 1,700,000 6,653,681 9,600,000 1,200,000 3,800,000 7,000, ,372 1,709 ACTIVE RC 970 1,208 1,549 NON ACTIVE RC

11 Public Enquiries & Complaints Handling Process for the GES Four Levels are used for handling complaints under the GES GES Public Enquiries & Complaints Handling Handling During the GES Period 1 ST LEVEL 2 nd LEVEL 3 rd LEVEL 4 th LEVEL Frontline (GES Registration/ Redemption Centre) Complaints Desk Officer FMARD State Directors Office Complaints Desk Officer Directors Office Federal Fertilizer Dept Cellulant Three Levels are used for handling complaints in the non-ges period GES Public Enquiries & Complaints Handling During the Non-GES Period 1 ST LEVEL Complaints Desk Officer FMARD State Directors Office 2 ND LEVEL Complaints Desk Officer Directors Office Federal Fertilizer Dept 3 rd LEVEL Cellulant 11

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13 Registration of farmers; Determination of input providers, redemption quantities and pricing structures Establishment of Redemption centers or service delivery points ; Placement of Help-line Staff or support persons ; Lending program for Agro-dealers ; Reconciliation & payment ; Reporting - Redemptions Farmers Redemptions by inventory Turnout of farmers Transaction reporting to CBN Lending Reporting to NIRSAL Third Party Audit reporting to various FGN & Development Partners Monitoring agents

14 GES Technology Architecture: Flow of Data, Inputs and money

15 Status of the GES Technology Platform The GES e-wallet platform is the largest mobile account platform in Africa, with over 14 million M-accounts (Mobile-Accounts). it is a high-tech, state of the art cloud solution built with the world leading advanced database and cloud technology known as Oracle 12C Database cloud. As at 2014, the GES technology platform handles an average of 450 thousand transaction requests per day, the platform brings the power of Oracle 12c database s 1,000,000 transaction processing capacity per minute. The platform is engineered for both online and offline transaction processing. It utilises advanced data mining, ware-housing processing, verification and authentication capabilities. The platform provides important data to participating banks in GES for a transparent lending processes. It is support the cash-less and financial inclusion of the unbanked to policy of the Government of Nigeria.

16 Innovating for the future of GES through NAPI Establishing a Unique Identity for every farmer & Connecting them to financial Services 1. NAPI (Nigeria Agriculture Payment Initiative ) An end-end Payment System for Agriculture Every farmer with chip based National ID card Stand Alone Wallet linked to Mobile phone Linked Wallet attached to a Basic transaction savings account Partner Wallet linked to pooled services such as Cooperative Savings /lending/membership Schemes Providing Access to Bill payment, Mobile banking & mobile Money Services Improving GES Redemption Centre & Reconciliation. 2. Every Agro-dealer with a POS that works in Off-line and on-line modes so that we can get merchant side data on to the GES Platform

17 The NAPI Program Nigerian Agricultural Payments Initiative (NAPI) project was designed to ensure that a critical component of the Nigerian economy, Farmers etc, have access to financial services (payment, credit, etc ) through the proper identification & clustering of such individuals. The Project was developed to provide the following benefits: 1 Seamless experience of Farmers at the Redemption centers and reduction of fraud in the distribution of financial incentives 2 Reliable authentication of farmers identities which eradicates double identity cases. 3 Provides a biometric database of Nigerian farmers 4 Financial inclusion of Nigeria farmers, through a card strategy, provision of e- wallet services and no-frills accounts for the Farmers 5 Nationwide opportunities for Agriculture Credit & Savings opportunity from rural areas if farmers are properly organized

18 Context of NAPI is GES evidence based findings 01 Pre-enrollments: Million farmers are in the National Farmer database; only 1million farmers have their farmer cluster information in place 02 Identity: Only 2.9Million have a government issued identity document; 03 Financial services: Only 2.1 million have access to financial services 04 Redemptions via phones: Of the 7million farmers who came to a redemption centre in 2012/2013, an average 3million (53M transactions) used their phones to redeem & 1 million were redeemed through a third party; and 05 Network coverage: 180 (10%) redemption centers out of the cumulative 1800 redemption centers have no network. What Needs to be done? Move all farmers, to a full enrollment status & ensure that every farmer has the chip-based national ID so that farmers are the first group of Nigerians to benefit from Mr. President s Directive that every Nigerian should be enrolled Leverage the card capabilities for payments & service delivery to ensure that farmers can get access to finance & be able to do redemptions when there is no network. This adds a chip card & POS device as additional redemption options for GES.

19 The farmer is the intersection point between inputs, commodity and financial markets. NAPI is the link between these variables Agro-dealers will become an agent for Input and Commodities (e-wrs/exchange) Input Market Commodity Market Insurance e-wrs Sales Income Subsidy Voucher Farmer Input - GES Commodity Trade e-wrs SWAP Agric. Inputs for Commodity SWAP Contract 19

20 The National e-id Card Information ICAO features (photo, birth date, issue date) Standard e-id Details Unique EMV PAN Number Unique Document Number ICAO MRZ lines The National e-id Card 20

21 The NAPI Program is based on three pillars IDENTITY PAYMENT CLUSTERING Nigerian Agricultural Payments Initiative NAPI 21

22 Farmers Enrolment Process Identification & Clustering of Farmers Pre-enrolment for demographic data capture Biometric Data Capture by Enrolment Officer Deduplication and storage in NIMC Database Storage of Demographic Data in Farmers Database Issuance of NIN Farmers are provided confirmation slip by Cluster Agents Pre-enrolment Officer captures demographic data of Farmers and Issues a 2D bar code Enrolment officer calls up demographic data using the 2D bar code and captures biometric data Farmer s biometrics is de-duplicated at the NIMC Back end to ascertain unique identity Demographic data subset is stored in Farmers database via the staging server hosted by NIMC Enrolment officer issues the Famer a NIN Slip 22

23 Olugbenga Owolabi Chief Service Delivery Officer Cellulant Nigeria Limited ,