Bank Asia, National Savings Bank become first members to adhere
>> International Day of Family Remittances: WSBI endorsement
>> Related news: WSBI Fair Value Remittance Framework launch
BRUSSELS, 1 August 2019 – WSBI announced today that Bank Asia Bangladesh and National Savings Bank (NSB) of Sri Lanka have become the first WSBI members to adhere to the WSBI Fair Value Remittance Framework.
The WSBI Fair Value Remittance Framework will facilitate a platform that will enable NSB to extend from traditional money transfer systems to an alternative scheme that provides fair pricing and increases the interconnectivity.
WSBI launched last October the 'Fair Value Remittances Framework' when UPT was selected as the first remittances processor. WSBI sees that participating banks would gain competitive advantage in remittances services by plugging into the extensive networks run by WSBI members and the more than 10,000 outlets that UPT has developed so far. The opportunity of distributing remittances in a digital way will also be addressed. This Remittances gateway also provides participating banks with the opportunity to gain control over the remittance products and pricing, to move from simple disbursement point to provider of financial services and to become part of the world-wide movement towards financial inclusion.
Financial institutions within the framework aim to raise overall market efficiency for remittances, notably through greater choice and service quality for customers. These banks also look to offer customers a more ethical value proposition while boosting overall economic impact. By doing this, they put in practice the World Bank/BIS General Principles for International Remittance Services and work towards reaching the relevant United Nations' Sustainable Development Goal number 10 that specifies that by 2030, the transaction costs of migrant remittances should be reduced to less than 3 per cent and remittance corridors with costs higher than 5 per cent should be eliminated.
The World Bank calculates that annual remittance flows to low- and middle-income countries – LMICs – in 2019 are likely to reach $550 billion. In 2018, remittance flows to LMICs reached $529 billion, an increase of 9.6 percent over 2017. Remittance flows grew in all six regions, particularly in South Asia (12.3 percent) and Europe and Central Asia (11.2 percent).
The National Savings Bank was established in 1972 through a Parliamentary Act that amalgamated four traditional savings organisations in the country into one establishment. At its inception, NSB inherited a savings legacy of over a century old from its predecessor the Ceylon Savings Bank (CSB) established in 1832. Equipped with long-term sustainable business strategies and possessing one of the most experienced corporate management teams in Sri Lanka, NSB is committed to promote financial inclusivity to empower the nation to achieve economic strength and financial stability.
About Bank Asia
Bank Asia has been launched by a group of successful entrepreneurs with recognized standing in the society and started its journey on November 27, 1999 with a view to providing the best quality technology driven services in banking sector. It set milestone by acquiring the business operations of the Bank of Nova Scotia and Muslim Commercial Bank Ltd. (MCB), first in the banking history of Bangladesh. Since inception, it has been able to cover major parts of the country by extending and expanding its network by opening of branches, agent banking outlets etc. The Bank started its Islamic banking operation in 2008. It established the 1st subsidiary company ‘Bank Asia Securities Limited’ on March 16, 2011, then ‘BA Exchange Company (UK) Limited’ in London, United Kingdom on May, 2011 and ‘BA Express USA Inc.’ in Jamaica, New York, USA on June 01, 2014. At present, Bank Asia has 127 Branches, 5 Islamic Banking Windows, 3000 Agent Banking outlets. In 2018, bank has received more than US$ 522 million wage remittances and handled above 1.2 million customers. An estimated 2.5 billion working-age adults globally have no access to formal financial services delivered by regulated financial institutions, among them 65% unbanked population belong to woman segment. Bank Asia mad a difference in this regard and has become a role model for financial inclusion in the banking industry of Bangladesh. The bank has already spread its footstep in 417 upazilas of 64 districts through agent banking channel and provide banking services to 1,092,829 geographically dispersed rural poor segment of the society as on July 2019.
WSBI represents the interests of 6,000 savings and retail banks around the world. WSBI focuses on international regulatory issues that affect the savings and retail banking industry. It supports the aims of the G20 in achieving sustainable, inclusive, and balanced growth, and job creation, whether in industrialised or less developed countries. Supporting a diversified range of financial services to meet customer need, WSBI favours an inclusive form of globalisation that is just and fair. It supports International efforts to advance financial access and financial usage for everyone. WSBI members have total assets of $15 trillion and serving some 1.5 billion customers in nearly 80 countries who seek retail banking services. WSBI members are committed to further unleash the promise of sustainable, responsible 21st century banking.