Please describe the goal of your initiative; outline what you are trying to achieve
WIZZIT’s business is the result of seven years of endeavour which includes three years’ research into the mass retail banking market around the world, with a focus on opening a bank account and finding a secure and efficient payment mechanism for the unbanked people of the World. WIZZIT has and will continue to provide social upliftment by empowering poorer people to interact financially through making financial services widely accessible and having proven its model in South Africa will actively expand globally. WIZZIT set up its own mobile development company, WIZZIT International, with a clear mandate to find a banking solution that would work on any cell phone and all SIM cards and was network agnostic. After intensive research, testing and analysis, WIZZIT was ready to launch in late
Which barrier(s) to financial inclusion does your solution seek to address? (select all applicable)
Physical and other accessibility obstacles that prevent communities from reaching financial services, The lack of affordable financial products tailored to the needs of underserved and excluded communities,, Powerful incentives for financial service providers to move up-market.
If you selected 'other' above, please specify which other barriers to financial inclusion you solution seeks to address:
For which underserved or excluded communities will your solution create access to valuable, affordable, secure and comprehensive financial services?
The un and underbanked. Typically the more rurally based. The reasons for the high number of unbanked in the world are best summarised through what I have termed the 3 ‘A’s” – affordability, accessibility and availability. All of these have been addressed in this note. In a low margin business that is very price sensitive, one needs transactional volumes. To get to this requires significant time and costs in building trust and credibility. It also requires a need understanding of the needs of the market and traditional bank products that work for the affluent market may not have the same demand in the unbanked market.
Could your solution work in other geographies or regions? If so, where?
Our focus is on emerging markets and we currently have live deployments in South Africa, Tanzania, Zambia, Rwanda, Botswana, Namibia, Romania with contracts in varying stages of finalisation in Latin and Central America and Africa. We have to date used South Africa as a test market for various concepts and products before taking them to our other partner banks.
If your solution is dramatically successful, how will things be different in 10 years?
There will b a dramatic decrease in the worlds unbanked. We will have made strides towards a cashless society.
What will have had to have changed to make this happen?
We require a collaborative effort between Banks, MNOs; Central Banks, Card Associations and Money Transfer organisations. We need a no frills universal/global bank account available to all.
What has been the impact of your solution to date?
To date, we through our partner banks have open accounts for close to 5 million people; processed 100 million transactions to the value of $20 billion. We have created employment opportunities for close to 10 000 previously unemployed people and in South Africa provided close to 5 000 Micro loans -both personal and micro and small business and pioneered disbursements and collections through mobile phones.
What is your projected impact over the next five years?
To have launched in a further 10 countries; to have opened a further 5 million accounts; To provide viable small, medium and micro enterprises with comprehensive financing & business support services in the most profitable, quickest, creative and efficient way possible, using state of the art technology; To establish a profitable SMME Training Institute / Academy that will provide a variety of suitable, practical training courses, after-care services and mentorship interventions for entrepreneurs.
What barriers might hinder the success of your project? How do you plan to overcome them?
The barriers include regulatory issues, competition, financial literacy, access to funding for the loan book. We continually work hard to build relationships with the Regulators and give freely of our time to participate in global forums and working groups such as FATF. I speak at global conferences (at no charge) promoting financial inclusion and increasingly gaining support for a universal/global no frills bank account; I network vigorously and build relationships with other thought and opinion leaders in the industry and continually try and get donor support for our financial literacy and Entrepreneurial training programmes.
Winning entries present a strong plan for how they will achieve and track growth. Identify your six-month milestone for growing your impact
To have launched in at least 1 new country; to have secured a line of wholesale funding for the Micro loan business
Now think bigger! Identify your 12-month impact milestone
To launch 3 more banks; progress on Universal bank account concept; ID and decide public listing or global partner