Home Business Revolution in banking: NBP signs final agreement with Mobi Direct

Revolution in banking: NBP signs final agreement with Mobi Direct


News Desk |

The age of the computer has caused evolution in every sphere of human life. Even the mode of payment has not been spared change. Banking and the digital realm have combined to pave the way for a cashless society. However, Pakistan is among the very few countries that have one of the largest unbanked and underserved populations, despite a strong banking presence, a sizeable portion of economic activity remains outside banking and financial network, keeping the benefits out of reach of the common man. It was keeping this view that many steps were taken to jumpstart the digital revolution.

The National Bank of Pakistan (NBP), in continuation of the two MoU’s signed with Mobi Direct in August 2018 has now signed a final agreement enabling it to become a consortium member and settlement bank for Mobi Direct’s digital payment switch. As a consortium member National Bank of Pakistan will be able to use Mobi Direct payment processing and transactions switching infrastructure and shared agent network for promoting nationwide branchless banking services to provide real growth to an unbanked segment of the population.

Mobi Direct (Pvt.) Limited is a Special Purpose Vehicle formed with the help of a select group of professionals having expertise in diversified businesses, for the assistance and development of the financial network in the rural economy.

Under the signed agreement NBP will act as a “Settlement Bank” for Mobi Direct’s digital payment system and for its Member Institutions (consortium members) and other stakeholders like utility Cos, Public Institutions Telcos etc.

Mobi Direct (Pvt.) Limited is a Special Purpose Vehicle formed with the help of a select group of professionals having expertise in diversified businesses, for the assistance and development of the financial network in the rural economy. Mobi Direct (Pvt.) Limited is a State Bank of Pakistan licensed Payment Service Operator/Payment Service Provider (PSO/PSP) formed with the help of select group of professionals having expertise in diversified businesses, with the objective of assisting in developing an eco-system for digital payments and e-commerce which is not only enabling fulfillment of the digital banking needs of the banked populace but is also playing a significant role in the financial inclusion of the unbanked population especially in the rural economy.

Read more: NBP Escapes Banking Fraud – Other Banks Compromised

Mobi Direct aims to provide the users the convenience of payment at their fingertips, enabling financial institutions and consumers to enjoy online payment facilities leveraging existing technology and telecom infrastructure plus adding vital components of technology and distribution network to meet the goals of digitization of the players in the economy.
Mobi direct’ five distinct businesses are all associated with technology-based financial services: Payment Gateway Services (Internet E-commerce Services) & Shared POS Acquiring Infrastructure for Banks to use Mobi Direct Infrastructure as Member Banks for which Company has installed Payment Gateway and Hosting Infrastructure for the first time in Pakistan.

Prominent features of Mobi Direct are; Shared Agent Distribution Network for Banks already having Branchless Banking Licenses, Mobile Payment (Interoperable) SWITCH, allowing payment services for Mobile and Branchless Banking, Processing Facilities for Banking and Non-banking Institutions and Lite Retail infrastructure will further facilitate the capturing of Micro Payments using mobile penetration making payments truly digital.

Mobi Direct being the leading PSO/PSP, Mr. Ahsan also showed his firm commitment that Banking Industry will take Pakistan to a new digital era, by partnering with PSO/PSPs.

Mobi Direct a pioneering company in this field, is also fulfilling the gap of Third Party Service Provider (TPSP) envisaged under Branchless Banking Regulations, and have taken this initiative to bring together group of experts, professionals and practitioners , who have deep insight, of national economy, banking, payment systems and banking technologies, telecom engineering, rural and urban poor insight, finance and management and more than anything on ground experience and expertise of undertaking and executing projects of national and commercial importance.

Mr. Tariq Jamali, President NBP on the occasion said that NBP would become a leading player in Pakistan’s digital world. He believes that this initiative is in line with NBP’s ambition to enhance the financial penetration in the country and is in line with the vision of State Bank of Pakistan for highlighting digital payments environment in Pakistan. He emphasized on achieving complete E-governance through this partnership which is the key to success for all types of businesses.

Read more: NBP bags PM of Pakistan award at FPCCI award ceremony

The NBP is assisting all the provincial governments in digitalizing their various payments, fee, and taxes collection systems. He mentioned that the NBP has already inked MoUs and agreements with various provincial and federal departments for digitally collecting their fee and payments including Directorate General of Immigration & Passports, Bureau of Emigration and Overseas Employment, Public Service Commission KPK, Islamabad Traffic Police, Driving License Sindh and Dealer Vehicle Registration System (DVRS) and collection of e- Tax in Punjab.

Mr. Tariq Jamali further stated that after signing this agreement and other arrangements with Mobi Direct, NBP will be able to use the Mobi Direct payment processing and transactions switching infrastructure, online payment gateway and shared agent network for promoting nationwide branchless banking and digital payments services to provide real growth to an unbanked segment of the population.

The agreement was signed by Muhammad Farooq, EVP/Group Head, Payment Services & Digital Banking Group, NBP and Mr. S. M Arif Director/Chief Business Architect Mobi Direct in presence of dignitaries from both sides.

Speaking at the occasion, Mr. Nawid Ahsan, Chairman, Mobi Direct, expressed his gratitude to NBP’s team, which is taking a lead in becoming the settlement bank for Mobi-Direct payment processing & digital payment switch with a forward-looking approach in this collaboration.

Mobi Direct being the leading PSO/PSP, Mr. Ahsan also showed his firm commitment that Banking Industry will take Pakistan to a new digital era, by partnering with PSO/PSPs. He said that the focus should be to work on the improvement and enhancement of both the rural and urban economy of Pakistan with the help of technology and make banking services affordable while being accessible for every citizen of Pakistan.

Read more: NBP declares half-yearly profit as NBP Funds inaugurates new Islamic savings…

The agreement was signed by Muhammad Farooq, EVP/Group Head, Payment Services & Digital Banking Group, NBP and Mr. S. M Arif Director/Chief Business Architect Mobi Direct in presence of dignitaries from both sides.

Facebook Comments