Technology and banking are now inextricably linked. Over the last decade, the two have combined to form a new and ever evolving way of doing business in the finance industry, whether personal, business, investing or any kind of fund management.
The term FinTech (financial technology) has emerged as an umbrella word for all sorts of technological advances in banking. It can refer to smartphone Apps that give instant access to bank accounts to websites offering financial advice without high costs or long waits.
FinTech transforming banking
FinTech is a natural evolution alongside our increased use of smartphones, tablets, computers and the ubiquitous presence of the Internet. When shopping, dating, gaming and pretty much everything else takes place online, then it’s natural that the financial industry would follow suit.
Banking systems around the world are responding to the new demand for speed, efficiency and autonomy over financial details. Consumers, customers, investors and industry professionals are getting used to the new world of advice being available from bots, easy access to accounts and much more.
Across the world, FinTech is revolutionising the way we all do banking, and Myanmar is firmly on board. One of the most popular new channels for access to financial services is, of course, the mobile phone.
Mobile banking important
Research shows that Myanmar is now the third fastest increasing mobile phone market in the world, coming in just behind China and India. There is already an 80 per cent usage rate for smartphones across Myanmar, meaning that millions have access to financial services on the go.
The advantages of mobile phone banking for businesses in Myanmar are many and varied. Around 90 per cent of Myanmar’s population are without access to financial services in any formal capacity. Therefore, the opportunity to use mobile phone banking to plug this gap is priceless. Financial inclusion can absolutely be achieved via smartphones and technology, in a much more cost effective and practical way than through brick and mortar banks.
In today’s world, information is king and access to it is vital. All businesses, whether large and multinational or small and local are looking for ways to increase efficiency and profit. To have access to real and immediate financial services via smartphones outside of official business hours is invaluable to grow and improve businesses.
Speeding up processes
Paperwork and red tape is reduced for both the financial institutions and for the customer, making it faster, slicker and more likely that people get the information they need when they want it.
Having the ability to check bank balances, transfer funds, make investments and research new products without having to queue up in a bank is vital. The convenience of mobile banking makes it a no brainer for businesses looking to get ahead.
For consumers, having access to an increasing number of financial products easily accessible in their own time is also invaluable. It opens up a new world of options to everyone, whether they’re looking to start their own business or just want to improve personal finances. It’s like having a bank manager always with you!
This win/win symbiosis between customer and financial institution shows clearly the advantages of FinTech and the increasing number of platforms available online. Banks and financial institutions are able to interact with customers in real time. This will help them recommend and sell the right products to the right people.