Moving towards digitalisation: SBP unveils Asaan Mobile Account for branchless banking

• AMA allows customers to open a branchless banking account by dialling a simple code *2262# on a mobile phone.
• Reza Baqir highlights AMA will play an important role in enhancing digital access and use of formal financial services in the country.
• SBP says AMA with its ease of use will be instrumental in bringing the next 50m Pakistanis under the banking ambit.

KARACHI: The State Bank of Pakistan (SBP) on Monday unveiled the Asaan Mobile Account (AMA) to enable the opening of branchless banking accounts.

According to a statement issued by the central bank, AMA allows the opening of a branchless banking account by dialling a simple code *2262# on their mobile phones.

The account holder can then deposit money in his or her account at any branchless banking agent and use the same for transactions through mobile phone.

The central bank aims to achieve the National Financial Inclusion Strategy (NFIS) target of promoting digital financial inclusion in the country. through AMA.

"AMA has been launched with the key support of various stakeholders including Pakistan Telecommunication Authority (PTA), National Database and Registration Authority (NADRA), Branchless Banking (BB) Providers, Cellular Mobile Operators (CMOs) and Virtual Remittance Gateway (VRG)," the statement read.

During the ceremony, a Memorandum of Understanding (MoU) was signed among 13 branchless banking service providers to affirm their commitment to facilitating customers through the continued collaboration for more innovations in line with the NFIS vision.

Speaking on the occasion, SBP Governor Dr Reza Baqir thanked the stakeholders for their contributions that culminated in the successful launch of the AMA initiative. 

"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," he said, adding that accounts can now be opened simply by dialling a USSD code *2262# from any mobile phone (smart or simple feature phone) through any mobile network, without requiring internet connectivity.

It is pertinent to mention here that the customers will have the choice to choose from any of the 13 branchless banking service providers that are currently offering AMA.

Baqir highlighted that the AMA would play an important role in enhancing digital access and the use of formal financial services in the country.

He added that Pakistan has over 187 million biometrically verified mobile subscribers with a tele-density of around 85%, however; there are only 106 million 3G/4G subscribers with mobile internet penetration standing at 48%.

"This gives us the potential market of around 81 million mobile subscribers who don’t have internet access and could become users of AMA if provided with the right value proposition," he maintained.

The central bank said that AMA will particularly help low-income segments with non-digital phones and no access to the internet to enjoy banking as it offers a simpler process, such as dialling a code, to avail financial services.

Moreover, the newly-launched initiative 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.

This initiative is also in line with the government's holistic approach to the “Digital Pakistan” initiative to enhance access and connectivity, digital infrastructure, and innovation.