1. PROMOTING MOBILE BANKING AND MOBILE MONEY DEVELOPMENT IN UEMOA REGION
By :
Mr. Boukary ZONGO
Director Of Opération and Electronic Banking Standards
GIM-UEMOA

2. SHORT PROFIL Mr. Boukary ZONGO
GIM-UEMOA
20/04/2017
SHORT PROFIL
Mr. Boukary ZONGO : or : ou
Mr. Boukary ZONGO is currently the Director Of Operations and Electronic Banking Standards of GIM-UEMOA, the regional regulator body and guardianship of electronic banking for West Africa Economic and Monetary Union federating 8 countries, 104 banks and Central Bank. Previously, he has worked a long term as an electronic bank expert in private banks and with Central Bank to define regional rules and standards before the creation of GIM-UEMOA in He has also worked before in a biggest Research Center and Private society in Luxembourg, Europe.
ZONGO trains students in master 1 and master 2 electronic banking. He animate many West Africa regional seminars federating 50 to 300 people coming from different countries.
ZONGO has degrees from Ouagadougou University Burkina Faso, Henri Poincaré University, Nancy 2 University FRANCE.

3. CONTENTS UEMOA IN BRIEF GIM-UEMOA IN BRIEF BACKGROUND AND OBJECTIVES
GIM-MOBILE CHARACTERISTICS
DEPLOYMENT AND PROMOTION
CONCLUSION

4. UEMOA EN BRIEF

5. GIM-UEMOA
20/04/2017
UEMOA IN BRIEF
UEMOA, THE WEST AFRICAN ECONOMIC AND MONETARY UNION IS AN EXPERIENCE WHICH BASIC FEATURES ARE :
the pooling of the foreign exchange reserves of the member countries
the adoption by the 8 countries of a CFA franc, a common currency issued by a single central bank
the application of a uniform banking and financial legislation throughout the Union.

6. NUMBER OF INSTITUTIONS FINANCIAL INSTITUTIONS
UEMOA IN BRIEF
BANKS AND FINANCIAL INTITUTIONS
ORDER
NUMBER OF INHABITANTS
NUMBER OF INSTITUTIONS
NOMBER OF AGENCIES
NUMBER OF ACCOUNTS
BANKS
FINANCIAL INSTITUTIONS
TOTAL 1
BENIN 13
158 2
BURKINA FASO 12 5 17
188 3
COTE D'IVOIRE 21 22
499 4
GUINEE BISSAU
41 583
MALI 16
291 6
NIGER 10 11 78 7
SENEGAL 19
305 8
TOGO 14
157
104
118
1 693
Source : « Banking Committee Report 2010 »

7. GIM-UEMOA IN BRIEF

8. UEMOA PAYMENT SYSTEMS REFORM
GIM-UEMOA
20/04/2017
UEMOA PAYMENT SYSTEMS REFORM
UEMOA HAVE THREE MAJOR SYSTEMS REFORMS AT THE REGIONAL LEVEL :
A real time gross settlement system (RTGS) for large value payments called STAR-UEMOA.
An interbank electronic clearing system called SICA-UEMOA
An interbank card/ mobile-based payment system managed by GIM- UEMOA
The real time gross settlement system (STAR-UEMOA) and the interbank electronic clearing system (SICA-UEMOA) are directly managed by the Central Bank BCEAO.
GIM-UEMOA is in charge of the interbank card/ mobile-based payment system.

9. INTERBANK SERVICES
GIM ACQUIRER
GIM ISSUER
ATM
POS
CARDHOLDER

10. GIM IN BRIEF 82 3 000 2 millions 104 GIM-UEMOA cards
20/04/2017
GIM IN BRIEF
GIM-UEMOA 82
Institutions interconnected
2 millions
cards
3 000
Services points (2 000 ATM and POS)
104
Institutions members of GIM

11. TRANSACTIONS FROM 2007 TO 2011

12. SECURE ENVIRONMENT GIM-UEMOA : EMV and MAGSTRIPE
VISA : EMV and MAGSTRIPE
EMV
PCI-DSS L2
MASTERCARD : EMV and MAGSTRIPE
PCI-DSS Level 1 certification will be completed in 2012.

13. PROSPECTS MULTI INSTITUTIONS COUNTRY CHANNEL MEDIA LINGUAL CURRENCY
Banks, Financial Institutions,
Postal Facility, Microfinance  Institution, Ectronic Money Institution , etc..
UEMOA countries and others countries
CFA and
foreign currency
ATM
POS
Internet
Mobile
French, English, Portuguese and Local Langages
Cards (debit, prepaid, credit/ GIM, VISA, MCI)
Mobiles (bank accounts, prepaid)
Fingerprints (bank accounts, prepaid)

14. BACKGROUND AND OBJECTIVES

15. BACKGROUND Observation:
About 90 million people
Banking rate < 10% of the workforce
GIM-UEMOA members : 104 institutions
Institution interconnected : 82
Electronic banking Park: 2,000,000 cards, 2,000 ATMs and a 1,000 POS.
Detention card rate < 3%.
The cost of cards, ATM / ATM and POS as well as the quality of telecom infrastructure in parts of the Union cause the GIM and its members to seek additional means of payment.

16. BACKGROUND Mobile telephony:
Penetration rate : 60%
Sustained growth over several years.
The mobile phone therefore becomes an indispensable complement to the development of electronic banking channel (cards, ATM, POS, Internet, etc..)
This is the purpose of GIM-MOBILE, a project initiated in January The official launch was made on December 8, 2011.

17. OBJECTIVES
Expanding the network GIM-UEMOA to rural areas as well as town in UEMOA Region.
Offer available products and services for a larger number of people, including those with low income and unbanked.
Significantly increase the rate of electronic payment means in UEMOA region.
Contribute actively to the increase of banking.
Significantly expand the share of electronic transactions in financial flows.

18. GIM-MOBILE CHARACTERISTICS

19. REGULATORY FRAMEWORK
Two documents define the conditions for issuing electronic money by UEMOA institutions :
REGULATION No. 15/2002/CM/UEMOA ON PAYMENT SYSTEMS IN THE MEMBER STATES OF UEMOA REGION.
01/2006/SP OF EDUCATION July 31, 2006 REGARDING THE ISSUANCE OF ELECTRONIC MONEY AND ELECTRONIC MONEY INSTITUTIONS.

20. REGULATORY FRAMEWORK In UEMOA region, can issue electronic money :
Banks
The electronic money institutions (EME): any financial institution, postal facility, service provider company approved as EME by the Central Bank BCEAO.
A telecom operator as any institution can issue electronic money in coordination with a bank or EME. In this case, the bank or EME shall guarantee all transactions made by the telecom operator and the project must be validated.
We note as well the development of mobile payment solutions in the UEMOA.

21. MOBILE SOLUTION SAMPLES
Find below mobile banking/ payment solutions deploy in UEMOA Region :
BENIN : MTN MONEY, LA POSTE, MOOV.
BURKINA : INOVA PAY, MONEY ZAP, FERLO
COTE D’IVOIRE : ORANGE MONEY, CELPAID, eTRANZACT, SCASH, PME CASH
GUINEE BISSAU : ORANGE MONEY
MALI : ORANGE MONEY, FERLO
NIGER : AIRTEL MONEY, ORANGE MONEY
SENEGAL : ORANGE MONEY, YOBANTEL, FERLO
TOGO : TOGOCEL, MOOV.
A dozen of local developed mobile solutions are being implemented.

22. REGULATORY FRAMEWORK
We note an important number of mobile solutions in UEMOA region. In addition, key market players (banks, mobile network operators, providers of payment services, etc.) are unable to agree on a viable business model for interoperable payment solutions, "hence a risk of fragmentation by the adoption of proprietary solutions.
The stated objective by the GIM-UEMOA is to increase transparency and security of payments, to stimulate competition and innovation within the single market: the eight UEMOA countries. An update of the regulatory framework will be done this years.

23. GIM-MOBILE IN BRIEF
This new regulatory framework will be accompanied by a technical foundation for accelerating a rapid and coherent development of mobile banking in the UEMOA. Capitalization will be performed on the world of banking cards with:
A interbank component to interconnect the various mobile banking solutions in the region according to predefined rules and standards. Which allows customers and merchants to perform operations in an "open loop".
Delegated component to pool and make mobile solutions accessible to all institution regardless of its size and financial capacity.

24. GIM-MOBILE … GIM CLEARING CENTRAL BANK SETTLEMENT BANKs
BANK ACCOUNT
PREPAID MOBILE
DEBIT/CREDIT CARD
PREPAID CARD
SWITCH
CENTRAL BANK SETTLEMENT
BANKs
TELECOM OPERATORS
MONEY TRANSFER COMPANY
ACCEPTEORS AND MERCHANTS
WESTERN UNION
BILLERS
ORANGE
MONEY EXPRESS
TAXES AND CUSTOMS
TIGO
WARI …
MOOV … …
RIA …
MTN
BANK1
BANKn
MONEY GRAM
ORGANIZATION

25. GIM-MOBILE IN BRIEF GIM-MOBILE integrates on a single platform:
Interbank Mobile
Mobile banking,
Mobile payment,
SMS Banking,
Branchless/ Rural banking.
It offer various banking products and services on the mobile phone. He brings a real answer to the problem of the proximity of banking products and services and increasing the banking rate.

26. GIM-MOBILE IN BRIEF
GIM-MOBILE is addressed both : banked and unbanked population. Customer can access to bank account, credit card, a virtual account pre-loaded or a combination thereof.
PREPAID ACCOUNT
BANK ACCOUNT
DEBIT / CREDIT CARD

27. GIM-CARD GIM-MOBILE … SMS, Base I, Base II MDS, CIS, IPM Legend :
BANK1
BANK2
BANKn
SMS, Base I, Base II
MDS, CIS, IPM
Legend :
Online
Offline
Card
holder
POS
Holder
ATM
Mobile
customer
Mobile merchant
Bills payment
Money Transfer
Taxes and customs
Etc.
Version : 1.2

28. GIM-MOBILE IN BRIEF
With the lack of quality of telecom infrastructure, GIM-MOBILE use differents types of connections:
GPRS,
WIFI,
Encrypted SMS,
Clear SMS
USSD
INSTITUTION
TELECOM OPERATOR
GIM-MOBILE

29. DEPLOYMENT AND PROMOTION

30. DEPLOYMENT PLAN 2011: Project initiation and Official Launch
2012: Pilot with different types of actors (banks, telecom operators, acceptors, money transfer company, etc.)
: Developing the network of service points:
Using the network of banks, financials institutions, postal facility branches in UEMA Region
Using the network of ATMs / ATM and POS WAEMU
Recruitment of mobile and business correspondent (job creation)

31. NETWORK DEVELOPMENT strategy: Service points at hand:
Promoting services that interest people
Proceed a mesh of UEMOA 8 countries through:
With the approval of mobile agents;
Recruitment of small traders trained to promote the service
The use of the network GIM-UEMOA (104 members including 13 banks in Mali and their business customers);
The use of automatic teller machines (ATM) operating 24h/24 and 7/7.
Promote the network
Branding & Merchandising service points
Securing the Network
Service points at hand:
Geo-location of residential areas, attendance billers subscribers, etc.

32. PROMOTIING OF CROSS BORDER TRANSACTIONS
REGIONAL: CENTRAL BANK BCEAO AND GIM-UEMOA
Creating a dedicated structure: ok with the GIM-UEMOA
Defining an electronic payment rules: ok.
Reform of systems and methods of payment: technologies and innovations are changing very quickly. Need to adjust regulations on a regular basis.
Establishment of a technical platform: ok with the GIM-UEMOA
A framework for consultation and decision: OK with the regional conferences and national electronic banking committees.

33. PROMOTING CROSS BORDER TRANSACTIONS
REGIONAL: CENTRAL BANK BCEAO AND GIM-UEMOA
Improvements:
greater involvement of states and telecoms operators.
Transactions limits control define for reducing systemic risk but sometimes value inappropriate to the needs of the population.
Promotion initiated but insufficient
Statutory instruments little known even lawyers.

34. PROMOTING CROSS BORDER TRANSACTIONS
NATIONAL:
STATES: PROMOTION POLICY OF ELECTRONIC PAYMENT MEANS. EACH STATE CAN :
mandate domiciliation of salary in an account (banking, prepaid, etc.).
mandate the payment by electronic payment means of any amount above a threshold .
sensitize and educate the public.
All these provisions must be accompanied by an information policy, education and awareness.

35. PROMOTING CROSS BORDER TRANSACTIONS
NATIONAL :
PUBLIC AND PRIVATE COMPANIES
Public organization: customs, taxes, ministries, etc..
Private organization : water, electricity, phone companies, others private structures
Regional and international organization : thus, for example ASECNA through a collaboration with the GIM-UEMOA has made ​​it mandatory from 30 november 2011, payments by electronic means rights and airport taxes.

36. HOW TO BOOST MOBILE BANKING IN UEMOA
BOOSTING MOBILE BANKING IN UEMOA REGION CAN BE DONE :
THE DEPLOYMENT OF INTERBANK AND OUTSOURCING MOBILE BANKING PLATEFORM,
THE DEVELOPMENT OF MOBILE BANK POINTS OF SERVICE ACCESSIBILITY,
PROMOTION OF MOBILE BANKING PRODUCTS AND SERVICES.

37. HOW TO BOOST MOBILE BANKING IN UEMOA
DEPLOYMENT OF INTERBANK AND OUTSOURCING PLATEFORM
Interbank will allow interoperability between different mobile solutions.
Outsourcing is dedicated for institution with low income but a potential development .
Define rules, quality charter mandatory for the different mobile banking solution in UEMOA Region.
Customize the solution taking care of what people really need.

38. HOW TO BOOST MOBILE BANKING IN UEMOA
POINT OF SERVICE ACCESSIBILITY
Mesh network from banks, financial institutions and postal, telecom operators,
Recruitment of master partners, wholesalers, retailers.
Adequacy of service quality, cost of service for low-income population.
Usability of the product by customers, whatever their level of education
The customer service (availability of an access point and support 24/24, 7/7)

39. HOW TO BOOST MOBILE BANKING IN UEMOA
PROMOTION AND AWARENESS
Educational: use relay (schools, universities, etc.). In association with different regional schools ,integrate training modules on mobile banking (marketing, legal, computer, electronic banking, financial, etc.).
Informational: organizing meetings, forum, seminars, etc. Participate in strategic meetings  in the region.
Advertising: advertising media and non media (television, radio, newspapers, posters, etc.)

40. CONTRIBUTION OF DEVELOPMENT PARTNERS
PROGRAM FUNDING
EDUCATION PROGRAMS. This is introduced  mobile banking(IT,marketing,legal,accounting,etc.) in the educational system of schools and universities training modules
TRAINING PROGRAM. This is to train actors in the chain of mobile banking transactions (technicians,  distributors, coordinators, etc.).
CAMPAIGNS AND PROMOTION. The use of fiat money is rooted in the habits of the population. Changing habits and reverse can be done through campaigns.

41. CONTRIBUTION OF DEVELOPMENT PARTNERS
ACCOMPANYING MODERNIZATION PROGRAM
Support acceptors wishing to modernize their chain of acceptance of payment by electronic means of payment above the informal sector.
Support the development of technical infrastructure (electricity, phone, telecoms, etc.), especially in rural areas.

42. RISK CONTROL The risk control is a very important issue.
Control measures against money laundering and terrorist financing will be systematically integrated into the framework of this project.
Thus, regional cooperation with structures specialized in the fight against money laundering and terrorist financing is necessary. The GIM-UEMOA working within this framework with GIABA, Intergovernmental Action Group against Money Silver.

43. CONCLUSION

44. GIM-UEMOA promote Mobile Banking and Mobile Money for banked and unbanked people in UEMOA Region.
We include in our strategy people with low income and rural areas taking care about the cost and identifing all services that real interest these people.
UEMOA Region, with the high population numbers, lack of access to financial institutions and significant mobile penetration rates, is an ideal region for mobile banking and payments deployment. Providing an interoperable solution to the unbanked population will help the region continue to grow and evolve both economically and socially.

45. *** END***