Growth & Jobs | Data, tech experts tout smart tech to strengthen financial inclusion

DATA SCIENTIST Gillian Jackson sees the employment of smart technology as critical to advancing financial inclusion, particularly in the Caribbean, where micro and small businesses continue to lag in their adaptation of digital technology and the population still has a high percentage of adults without bank accounts.

Jackson, who leads data analytics at the JN Group and is a well-known financial blogger, underscored that financial institutions that are not using smart tech may find themselves at a severe disadvantage in the near future.

“Your processes will be slower. Your customers will be less satisfied, and you will generally not have the benefits that banks using smart tech have and are seeking to improve on,” warned Jackson.

Against that background, Jackson, who is the smart data and analytics stream lead of a project to simplify JN’s credit processes, pointed to the JN Group’s recently introduced ONE JN Passport, which uses smart technology as an important move on the part of the financial organisation. The app uses smart technology strategically to significantly quicken the credit decisions, improve convenience and customer experience, while strengthening risk management.

The ONE JN Passport currently facilitates digital onboarding and opening regular bank accounts in local currency or any of the three major foreign currencies (US, Canadian, British pound sterling). Persons can also apply for unsecured loans completely using the app, which means the entire process is digital and does not require visiting a branch. And the entire process can be completed in minutes.

Importantly, onboarding through the app eliminates the need to provide basic identity information when doing business with a new company in the JN Financial Group. That makes product acquisition fast and easier.

“The app has financial inclusion at the heart of its engineering,” she said, pointing out that with the app, it means that persons without a relationship or limited access to financial services can, as long as they have a smart device and access data services, easily access financial products and do so at their own convenience, and quickly.

STRATEGIC IMPROVEMENT

Jackson stressed that as financial operations become more complex due to greater regulatory requirements, it has become important to automate various tasks so that institutions can serve quickly and use their workforce in more strategic ways.

Beyond the process improvements, however, fintech expert Kathry-Ann Chin See, whose company, MC Systems, was integral to the development of the ONE JN Passport app, said that by leveraging smart technology, institutions can maintain a high level of engagement with customers, especially those considered underbanked. She noted that the technology allows institutions to garner much better insight into who their customers are.

“Let’s think about Granville, a taximan. He has a 30-year-old [Toyota] Corolla. He has, maybe, $100,000 in the bank. He saved it for emergencies. But suppose we engaged him? Suppose we targeted him and offered him a credit card to pay for his fuel every day and service parts, and offered him a motor loan to get a new car that’s efficient? Suppose we offered him a mortgage?” the MC Systems product manager mused. “That $100,000 client is now transformed into a $30-million client.”

She emphasised that digital adaptation is not about profit generation, but rather, about expanding inclusion to harness the potential of people. “We have the power to unlock their potential to build stronger communities and economies, but it starts with rethinking our own [financial] institutions,” she underscored.