Bank Bridge

Despite global advancement in financial services, a significant portion of the world’s population remains excluded from accessing basic financial tools and services. This lack of financial inclusion disproportionately affects marginalized communities, including low-income individuals, women, rural populations, and those living in underserved regions.

Some of the key challenges faced in Uganda include;

1.  Limited access to banking services: Many individuals lack access to traditional banking services such as saving accounts, loans, insurance and so on.

2.  Digital Divide: The increasing reliance on digital financial services exacerbates the disparity between those with access to technology and internet and those without. This digital divide prevents many from benefiting from online banking, mobile banking and other fintech innovations.

3.  Financial Literacy and Education: A lack of understanding about financial products and services among underserved populations hinders their ability to make informed decisions, manage finances effectively and build wealth over time.

4.  Social and Cultural Barriers: Socio-cultural norms and prejudices discourage certain demographic groups, such as women or ethnic minorities from participating in formal financial system further perpetuating their financial exclusion

According to the Bill and Melinda Gates Foundation, about 1.4 billion people  are excluded from formal financial services such as savings, payments, insurance and credit.

According to the World Bank Findex database 2022, 1.7 billion people were unbanked, meaning they did not have bank accounts or mobile money provider.

Uganda is categorized into four administrative regions: Northern, Eastern, Central, and Western regions. According to Wikipedia, these regions are subdivided into a total of 136 districts, with an approximate population of 46.43 million people as reported by data report.

Despite the growing availability of Mobile Money services in Uganda, approximately 20 million people, representing 44% of the country's 45 million population, remain underserved by the current financial infrastructure, as revealed by the 2018 FinScope survey.

According to a Geopoll survey conducted in March 2021, mobile money account ownership had risen to 66%. However, this figure may overstate financial inclusion levels due to the possibility of individuals holding multiple mobile money accounts.

A recent article in the Daily Monitor newspaper reported that within a 90-day period, 11.3 million mobile money accounts were inactive, as defined by the National Payments Act. This suggests that financial services penetration may be even lower than previously estimated.

Data from a survey by Datareportal indicates that Uganda's population stood at 46.43 million in January 2021, with 25.2% residing in urban areas and 74.8% in rural areas. This highlights the significant portion of the population, approximately 34.7 million individuals, who may face challenges accessing financial services based on their geographic location.

Given the increasing adoption of mobile phones and internet connectivity, as noted in a Datareportal report, there is an opportunity to develop innovative mobile-based financial solutions tailored to the needs of underserved communities. These solutions aim to provide them with accessible, affordable, and high-quality financial services across the country.

We are developing a mobile banking platform with a mission to enhance financial access for underserved communities, prioritizing empowerment for women and youth. With a keen focus on addressing unbanked populations and disparities between rural and urban areas, our platform integrates various features tailored to promote inclusivity and bridge the financial gap.

Our platform offers enhanced mobile banking and wallet functionalities, streamlining account opening processes and providing low-cost banking options. Through our user-friendly mobile app, individuals can conveniently manage their finances, including saving, checking balances, transferring funds, and paying bills securely from anywhere, at any time.

Acknowledging the effectiveness of collective savings, our platform provides group savings features allowing communities to unite and combine resources for shared financial objectives. Whether earmarked for education, healthcare, or emergencies, these group savings options foster solidarity and enhance financial resilience within communities.

Recognizing the significance of convenient and secure payment methods in the modern digital landscape, we are introducing mobile payment solutions. These solutions empower users to swiftly and effortlessly make transactions for goods and services via their smartphones. Whether it's online purchases or in-store transactions, our mobile payment solutions offer a reliable and efficient way to conduct business, fostering financial inclusion and stimulating economic growth by facilitating trade between individuals and businesses.

Understanding the gender disparity in financial inclusion and in line with our commitment to financial literacy, we are dedicated to launching specific initiatives aimed at empowering women economically. These efforts involve providing gender-inclusive financial services, conducting educational programs, and executing outreach campaigns to improve access to banking services and enhance financial literacy among women, underserved communities, and youth across Uganda.

To ensure equitable access, we leverage mobile banking solutions and agent banking networks to extend affordable financial services to rural communities. Additionally, our mobile payment solutions facilitate seamless and secure transactions, catering to the evolving needs of users in today's digital economy.

We plan to utilize AI and ML to broaden access to credit for individuals and businesses lacking credit history, leveraging alternative data sources like mobile phone usage and utility bill payments to assess creditworthiness accurately. 

Additionally, AI-powered recommender systems will analyze customer data to offer personalized financial products and services. 

By employing AI and ML algorithms, we aim to detect and prevent financial fraud in real-time, addressing the disproportionate impact of fraud on vulnerable populations and fostering trust in financial institutions.

Our scalable platform, driven by technology and data analytics, allows us to expand our reach beyond Uganda and replicate our model in similar developing countries. We also provide business tools and group savings features to support entrepreneurship and enhance financial resilience within communities.

The solution operates as follows: Users download the app from the play store and initiate by creating accounts on the platform, submitting their KYC information for verification. Upon successful verification, users gain access to a variety of financial tools integrated within the app to facilitate their day-to-day financial activities. These tools include saving functionalities, money transfers, online transactions, peer-to-peer payments, loan services etc.

Our solution caters to a diverse clientele, including individuals from various demographic backgrounds such as the unbanked and underbanked, who encounter challenges accessing traditional banking services or managing their finances effectively. 

It addresses the needs of both rural and urban residents, ensuring financial services are available irrespective of geographical location. 

Our solution also meets the requirements of individuals seeking innovative saving options and the ability to make payments for goods and services.

We provide essential financial tools tailored for entrepreneurs and business owners seeking to process payments from their customers whether through in-store purchases or online transitions.

We prioritize the inclusion of women, acknowledging the additional obstacles they face in accessing financial services and recognizing the substantial impact financial empowerment can have on their lives, families, and communities. 

Our solution targets individuals looking to establish a credit history, facilitating their access to loans and other financial services. 

Lastly, we extend support to the diaspora community, enabling efficient remittance of funds for various expenses.

1. Poverty Alleviation: By equipping underserved communities with savings wallets, our solution offers a vital reliable tool for accumulating funds, thereby contributing to poverty reduction efforts.

2. Women's Empowerment: Through the provision of financial services tailored to women, including savings wallet accounts, our solution empowers women to autonomously manage their finances, fostering independence and economic empowerment.

3. Enhanced Resilience to Shocks: By facilitating access to financial tools such as savings and credit, our solution strengthens communities' ability to withstand and recover from unforeseen economic challenges and shocks.

4. Job Creation: The implementation of our solution stimulates economic activity and entrepreneurship, leading to the creation of employment opportunities within the community.

5. Crisis Mitigation: Our solution serves as a critical resource for mitigating crises by providing access to financial services that enable individuals and businesses to navigate and recover from emergencies effectively.

My team and I have extensive experience collaborating closely with communities facing limited access to financial services. 

Our work has been particularly focused on rural areas, where we have interacted with farmers and their families, witnessing firsthand the challenges arising from the absence of banking facilities. 

Residents often lack convenient access to bank branches, making it difficult to  access basic financial services, receive crucial funds from relatives or settle utility bills due to the closure of physical branches by utility companies. 

Additionally, we have worked with individuals in refugee camps, recognizing the detrimental impact of financial exclusion on their lives. In these settings, refugees resort to cash transactions, informal money transfers, or unsafe storage methods, exposing themselves to various risks such as theft and exploitation. 

The inability of underserved communities to plan for the future or pursue educational and livelihood opportunities impedes their journey towards self-reliance. 

Beyond our technical proficiency, our team is uniquely qualified to develop a solution due to our extensive experience living and working among underserved populations. From observing farmer groups saving money in wooden boxes to witnessing cooperatives managing substantial cash amounts to buy coffee from farmers, we understand the urgent need for safer and more inclusive financial solutions.

Our customer-facing and agent mobile application is currently in the prototype testing phase. With more than 20 users actively participating in the testing process, we are diligently addressing and resolving any issues encountered. Additionally, we have developed back-office applications to streamline the registration of merchants and agents, as well as to assist them in efficiently managing their accounts.

We are excited about the potential of collaborating with Solve to address the challenges hindering the progress of our solution. 

From financial constraints to technical hurdles, we see Solve as a valuable resource in navigating these obstacles. 

By leveraging Solve's expertise and network, we aim to connect with partners who can offer technical, monetary, and non-monetary assistance. This support will not only help us overcome immediate needs but also ensure long-term sustainability and impact. 

We recognize Solve's commitment to fostering meaningful collaborations that extend beyond fundraising, aligning perfectly with our vision of driving positive change in our community. We eagerly anticipate the opportunity to work together towards our shared goal of creating enduring solutions to global challenges.

Some of the barriers we encounter include:

Financial Constraints:
We encounter substantial financial barriers in launching our solutions, which include covering regulatory fees and managing operational costs. These constraints limit our capacity to form partnerships with key service providers such as financial institutions. We believe that securing essential financing will enable us to establish a robust public infrastructure vital for the success of our solution.

Market Expansion:
We seek Solve's expertise in scaling our solution beyond our home market in Uganda to address similar financial exclusion challenges in other countries, such as Tanzania, Rwanda, Sudan, DRC, and more.

Technical Infrastructure:
We are also focused on strengthening our technical infrastructure to ensure that our solution is robust and scalable. We recognize the importance of building a technology platform that can effectively accommodate growth and expansion while maintaining high performance and reliability. Therefore, we are seeking guidance and expertise to design and develop a solution that is not only technically sound but also capable of adapting to evolving needs and challenges.

Our team comprises five members dedicated to advancing the solution: four full-time staff and one part-time staff. Two team members are focused on developing the mobile application for both Android and iOS platforms, while an additional two are dedicated to enhancing the back-office portal. Additionally, we have one part-time specialist responsible for addressing matters related to money laundering and terrorist financing.

We have devoted one year to the development of the solution up to this point.

At our company, we are committed to building a diverse, equitable, and inclusive workplace at all levels, including our leadership team. Our leadership team is comprised of individuals from diverse backgrounds, experiences, and perspectives, reflecting the richness of the communities we serve. We believe that diversity in leadership brings valuable insights, fosters innovation, and drives better decision-making.

Our team aims to achieve diverse, equitable, and inclusive through a comprehensive approach. 

Firstly, we aim to further diversify our leadership team by actively seeking out and promoting talented individuals from underrepresented backgrounds. We recognize the importance of representation at the leadership level in setting the tone for our entire organization and inspiring future generations of leaders.

In addition to diversifying our leadership team, we are committed to fostering a culture of inclusion and belonging throughout our organization. Our goals include creating an environment where all team members feel valued, respected, and empowered to bring their authentic selves to work. We prioritize equity in opportunities for advancement, professional development, and recognition, ensuring that all team members have equal access to growth and success.

We believe that diversity is our strength, and we are committed to building a team that reflects the rich diversity of the communities we serve. We are actively working to increase representation of women at all levels of our organization, from entry-level positions to leadership roles. We strive to provide equal opportunities for career advancement, professional development, and leadership opportunities for women, ensuring that their voices are heard and their talents are recognized and valued.

To achieve these goals, we have taken several actions, including:

1. Implementing inclusive hiring practices that prioritize diversity and actively seek out candidates from underrepresented backgrounds.
2. Offering diversity and inclusion training for all team members, including leadership, to enhance awareness, foster understanding, and promote collaboration.
3. Establishing employee resource groups that provide support, networking opportunities, and advocacy for underrepresented employees.
4. Regularly reviewing our policies, practices, and benefits to identify and address any barriers to diversity, equity, and inclusion.
5. Engaging with external organizations, partners, and initiatives that promote diversity and inclusion in the workplace and the broader community.
6. We are committed to fostering an inclusive workplace culture where all women feel a sense of belonging and are able to bring their authentic selves to work.

As we continue on our journey to become a more diverse, equitable, and inclusive organization, we remain committed to listening, learning, and evolving. We recognize that this work is ongoing and requires dedication, intentionality, and collaboration from all members of our team. Together, we are building a workplace where everyone can thrive and contribute to our shared success.

Our Customer Segment

1. Underserved individuals with little or no access to traditional banking services

2. Low-income households seeking affordable financial solutions.

3. Small businesses and entrepreneurs lacking access to formal banking services.

4. Diaspora people looking to send money to their loved ones back home

Value proposition;

We provide a number of services to our customers including;

1. Wallet accounts providing secure storage and easy access to funds.

2. Convenient withdrawal and deposit options through a network of agents and partner locations

3. Fast and affordable money transfer services for domestic and international remittances.

4. Payment functionality for goods and services, enabling cashless transactions.

5. We will also provide micro loans to our users that have a good credit history with the company

Channels

We provide services  to our customers through a series channels;

1. A customer facing mobile application for account management, transactions and customer support.

2. Agent network for cash-in and cash-out services in local communities

3. Web based management portal for entrepreneurs and business owners for tracking their in-store and online payments

Our company is dedicated to developing innovative and cost-effective financial solutions tailored for the unbanked, underserved communities, and individuals with low incomes across Uganda, with potential expansion into other African nations.

To initiate our journey toward building a financially inclusive platform, we intend to bootstrap the venture using personal savings and grants. This initial funding will provide the necessary capital for pivotal aspects of our business, including technology development and maintenance, regulatory compliance and licensing expenses, marketing efforts, and staff salaries. 

We plan to introduce platform charges, including transaction fees generated from money transfers, bill payments, and other financial transactions, as well as interest income from lending activities and payment processing fees from merchants. 

Additionally, we aim to secure investment capital from investors to expedite the scaling of our business operations. We are confident in the viability of this approach.

Inspired by successful financial inclusion initiatives in countries such as China and India, where platforms like WeChat, AliPay, and Paytm have facilitated widespread adoption and enabled seamless trade across diverse demographics and geographic locations, we are motivated to emulate their achievements. 

Notably, both China and India have historically faced challenges with low banking services penetration, a situation that has transformed dramatically within a relatively short timeframe following the introduction of innovative solutions like WeChat, AliPay, and Paytm. 

Recognizing similar challenges in Uganda and other African countries, we are optimistic about replicating the success of these initiatives in our region.