The Opportunity
BankTotal is creating a vehicle to expand greatly the penetration of Shariah-compliant financial products (principally related to savings and loans) into expanding Muslim markets in Asia and Africa. Initially, we are building a prototype model in Indonesia, leveraging out contacts there. Over time, we will develop a technology solution to enable the process to be operated within an on-line environment.
The model
The BankTotal business model is built to facilitate expansion of Shariah financial services thereby making a major contribution to the World Bank UFA programme, and brings together three sets of actors:
Providers of Shariah-compliant financial products. Principally based in the GCC region, these institutions have a portfolio of services with have been attested by the relevant religious authorities to be Shariah-complaint.
Correspondent banks in our countries of operation. Banking regulations in all jurisdictions require financial products to be sold only through institutions with the banking licences relevant for that country.
Distribution channels. BankTotal is a B2B operation, but it relies its relationships with a network of consumer-facing companies who wish to add financial services to the suite of goods and services which they can offer their customers.
This structure means that BankTotal is a platform bringing together these parties. As a result, BankTotal does not have itself have to design and certify financial products with the Shariah institutions. Nor does it have to go through the process of seeking banking licences within different jurisdictions where it operates, with all the capital adequacy and other requirements this would entail. Nor, finally, does it need to develop a new customer base for each new territory.
What the Banktotal business model provides for its stakeholders
GCC BASED ISLAMIC BANKS
A FinTech based ,rapid route to establish significant market share in new territories outside the Gulf (20 million in Indonesia).
A cost-effective model which requires no investment in physical infrastructure and small investment in personnel.
A tech platform that allows consumers without any formal identification to have an opportunity to create bio-identification straight from their smartphones.
A compliance system that enable Client’s lifestyle management. Utilising this system, compliance and onboarding are 70% faster, providing a global customer experience and faster time to revenue.
Omnichannel Capabilities that enable Onboarding at point of contact, whether customers prefer a mobile app, live chat, web self- service, co-browsing, a phone call or a face to face visit.
A leading unified rules process, and case management capabilities that ensure end- to- end orchestrating front to back office.
Rules driven processes that drive KYC, AML compliance and due diligence by country, booking entity and product.
CORRESPONDENT BANKS
Drive significant fees due to the volume of transactions
Cross- sell to the new customer base.
Build a new customer base for their existing business
A tech platform that allows consumers without any formal identification to have an opportunity to create bio-identification straight from their smartphones.
A compliance system that enable Client’s lifestyle management. Utilising this system, compliance and onboarding are 70% faster, providing a global customer experience and faster time to revenue.
Omnichannel Capabilities that enable Onboarding at point of contact, whether customers prefer a mobile app, live chat, web self- service, co-browsing, a phone call or a face to face visit.
A leading unified rules process, and case management capabilities that ensure end- to- end orchestrating front to back office.
Rules driven processes that drive KYC, AML compliance and due diligence by country, booking entity and product.
CONSUMER FACING BRANDS
Leverage their customer relationships to market new product and build ROI
Contribute to the economic development of the territories they operate in
Make available saving and loan products to both the previously unbanked and underbanked utilising technology.
A major contribution to the World Bank UFA programme
Leverage relationships within government ministries by doing this
CUSTOMERS
Access to properly screened shariah compliant savings and loans products previously unavailable.
Enable control over their financial lives.
Access to financial products through creating digital bio identification straight from their smartphone or traditional onboarding channels.
A FinTech person-to-person (P2P) wallet, which perform direct account-to-account transfers.
An important initiative to help the World Banks UFA Programme.