SBP launches Asaan Mobile Account

KARACHI: The State Bank of Pakistan (SBP) on Monday launched Asaan Mobile Account (AMA) in a bid to enhance digital access and use of formal financial services in the country, a statement said.

Now the account holder can deposit money in his or her account at any branchless banking agent and use the same for transactions through mobile phone. AMA allows opening of a branchless banking account by dialling a simple code *2262# on a mobile phone.

Customers will have the choice to choose from any of the 13 branchless banking service providers that are currently offering AMA.

“AMA is expected to bring a significant increase in bank account opening and the lack of internet access or proximity to branchless banking outlets, bank branches would no longer be barriers for Pakistanis to access financial services,” the SBP’s governor Dr Reza Baqir told the audience at the launch of the AMA initiative.

The purpose of AMA is to achieve the National Financial Inclusion Strategy target of promoting digital financial inclusion in the country. He added that Pakistan has over 187 million biometrically verified mobile subscribers with tele-density of around 85 percent; however, there are only 106 million 3G/4G subscribers with mobile internet penetration standing at 48 percent.

“This gives us the potential market of around 81 million mobile subscribers which don’t have access to the internet and could become users of AMA if provided with the right value proposition,” the governor said.

AMA will particularly help low income segments with non-digital phones and no access to internet to enjoy banking as it offers a simpler process, such as dialling a code, to avail financial services. Moreover, AMA will be a highly suitable platform to onboard Pakistani women customer segments as well since they face greater obstacles in accessing formal financial services due to mobility, cultural and documentation issues. AMA with its ease of use will be instrumental in bringing the next 50 million Pakistanis under the banking ambit.

AMA has been launched with the key support of various stakeholders, including Pakistan Telecommunication Authority, National Database and Registration Authority, branchless banking providers, cellular mobile operators (CMOs) and virtual remittance gateway (VRG).

VRG has been licensed jointly by SBP and PTA under the regulations for mobile banking interoperability.

This initiative is also in line with the government’s holistic approach of “Digital Pakistan” initiative to enhance access and connectivity, digital infrastructure, and innovation. “Now, the government will also have the option to use this channel for disbursing money under the flagship poverty alleviation Ehsaas Program to reach 15 million beneficiaries,” said the statement.