Money
Women agents spread branchless banking
Chhimek Laghubitta Bikas Bank, in association with Sakshyam, an access to finance initiative of UK Aid, is expanding the outreach of its products and services in rural outposts in western Nepal through women banking agents.Chhimek Laghubitta Bikas Bank, in association with Sakshyam, an access to finance initiative of UK Aid, is expanding the outreach of its products and services in rural outposts in western Nepal through women banking agents.
The partnership project named Digital Mahila: Digital Women Channel Partners for Gender Inclusive Micro Finance Services Project was launched amid a ceremony in Kathmandu on Wednesday.
The two organisations said the project would empower able local women as branchless banking agents to work around topographical challenges in Banke, Dadeldhura, Dang, Kailali and Rukum.
The proposed project will have two distinct features. First, Digital Mahila agents will be trained and supported with necessary equipment and internet connectivity to function independently in areas unserved by Chhimek’s physical branches.
Second, these agents’ transactions will be linked to the bank’s management information system (MIS) through digital devices to ensure online, real-time transactions.
This feature is expected to do away with the requirement to travel to physical branches to record transaction data. However, the branch will support its agents by monitoring real time transactions.
Speaking at the event, Sakshyam team leader Baljit Vohra said his organisation had strived to push the barriers of innovation to improve financial access for Nepal’s rural poor through partnerships with the industry’s leading institutions.
“Chhimek is recognized in the microfinance industry as a strong institution maintaining excellent portfolio quality because of its strong monitoring of branch office work and dedicated staff,” said Vohra.
“With this project, Chhimek is taking on the challenge of going beyond its comfort zone and using its female clients as agents and extending its programme in areas that are not covered by branch offices. We are confident that Chhimek’s Digital Mahila will empower local communities and improve their access to timely and crucial financial services.”
Chhimek CEO Ramchandra Joshee said the bank would ensure that their agents provide the same quality of service in the aforementioned areas as the institution has been providing elsewhere to strengthen the local economy and communities.
Nepal Rastra Bank Director Raman Nepal said the partnership would encourage women banking agents in taking the lead to improve financial access in their communities.