What is Financial Inclusion?
Financial inclusion means that individuals and businesses have access to useful and affordable financial products and services that meet their needs – transactions, payments, savings, credit and insurance – delivered in a responsible and sustainable way. Financial inclusion strengthens the availability of economic resources and builds the concept of savings among the poor. It is a major step towards inclusive growth, which helps in the overall economic development of the underprivileged population.
How Video Banking Provides Financial Inclusion
The benefits of video conferencing have been well documented, whether creating a more collaborative environment in the workplace or connecting a dispersed work force, an additional key benefit to high-quality, face-to-face communication is the access it provides to services, like healthcare and banking, to those in rural communities.
Video banking is certainly seeing an uptick, as financial institutions continue to transform their digital integrity and consider the best ways to serve their communities, all of which promote financial inclusion. As a result, video banking is growing on a global scale, not only providing a more effortless way to bank, but also creating wider access to banking services to those who otherwise may not have them.
According to the World Bank, two billion adults worldwide do not have access to formal financial services. This is why the work that China’s Fujian Rural Credit Cooperative & Rural Commercial Bank is doing to provide Vidyo-powered Virtual Teller Machines (VTMs) to serve over 20 million rural customers is of key importance.
Fujian Rural Credit Cooperative & Rural Commercial Bank is the largest financial services provider in China’s Fujian region, and in conjunction with eSOON and Vidyo, are deploying VTMs that provide secure, convenient and instant video banking services to its customers. These services, many of which would have otherwise been required to be done in person at a bank branch, include: bank card applications, account activation, fund transfers and bill payments. At its heart, our video conferencing platform for financial services is designed to provide financial inclusion.
The World Bank’s Global Findex Database, goes on to say that leveraging digital technology, is helping to transform the business model for providing financial services to small enterprises and those who otherwise wouldn’t have access, therefore providing financial inclusion opportunities which can help reduce poverty for millions.
Currently, Fujian Rural Credit Cooperative & Rural Commercial Bank has deployed VTM services using the VidyoWorksTM platform to deliver high-touch, embedded video communications in nine regions across Fujian province.