How Bkash can change the personal finance domain in South Asia?

By Ehsanul Hoq

Einstein was known for his groundbreaking scientific theories. But did you know that he was also a good violinist? All the great things in the past came from some creative people who also loved creating art, music and literature. Even many of the modern change-makers like Bill Gates and Mark Zuckerberg are programmers and can write creative codes to serve humanity.

So are there any reformers in the Financial Sector who are artists by heart?

The evolution of digital currency is an important transformation that is happening right now in the financial domain. Reformers are trying hard and soul to create digital banking products that might improve our ways of living. Although governments never loved digital versions of their paper-backed currencies the change will happen sooner or later. The rise of bitcoin as an electronic currency has already created much anticipation in our minds.

However, these changes have been recognized in developed countries in the past. Already the citizens of the United States, Canada, Australia and Japan are becoming used to mobile currency and credit cards instead of paper currencies. The use of digital currency has been promoted as a controlling tool for our finances by many companies.

So the question we are asking today- is it possible to change the lives of billions living in the South Asian region by introducing digital financial technologies?

“After completing MBA, I started thinking what I really want to do in life. It was then clear to me that I belong to Bangladesh and I need to go back,”
Kamal Quadir- CEO of Bkash

It is possible and someone is doing it already

The most influential persons in finance are not the ones you see every day on your favorite television channel. They are silent change-makers without making daily media appearances. Bankers, hedge fund managers, asset managers and regulators are constantly improving the markets and guiding us to improve our financial status. But in the past, when digital financing was becoming a part of human civilization, we had very few South Asian reformers trying to do something on this matter.

The good news is that the overpopulated South Asian countries like Bangladesh, India and Pakistan are becoming more aware of the digital financing technologies since the last few decades. Some visionaries have already started the drive towards financial inclusion using modern technologies.

Can an artist be a visionary

There is a saying that artists can’t be a businessman. But studies suggest that an artist and an entrepreneur have something in common. They have a hunger to create something new. They think about the quality of the product which will be delivered to the end-users. They do research, survey and find creative solutions for the market.

“I thought it will offer me a good chance to know Bangladesh and how it works and joined Occidental. I worked there for three years. I started seeing the connection between gas burning from gas fields to rice being produced. In between fertilizer is produced”
Kamal Quadir- CEO of Bkash

Story of Bkash: From Art to Finance

Walking down the alley — Source: Unsplash

Bkash started its journey when Kamal Quadir, an artist decided to exploit the mobile financial services in Bangladesh. Bangladesh is a small country in the South Asian region with a population of 164.7 million. The country is considered one of the emerging economies in the world since it has a bigger workforce ready to be deployed at a cheaper rate.

Now, why an aspiring artist thought of making a new financing service instead of creating arts for the fans? The answer is personal growth. According to worldminded, “Personal growth is the ongoing process of understanding and developing oneself in order to achieve one’s fullest potential. “

Artists are individuals who never get satisfied and try to improve their art form throughout their lifetime. For instance, Leonardo da Vinci is one of the best artists in the known world and captured many aspects of human lives through his artworks but it was also seen that his artworks reshaped in time when he was mastering different art techniques. Fortunately, such dedication helped Leonardo to design scientific images later which were studied by the young researchers for the development of human civilization.

So we can’t deny that an artist changing the financial world is possible. The market becomes a canvas for the artist and the paintbrush is his business tool.

South Asia is a region where one-fourth of the entire world’s population lives in. So this market can be a large canvas for the entrepreneurs where they can create any business artwork. Since the digital currency is the future for the millions in the region, Mr. Quadir put aside his original paintbrush and went outside the country to understand how digital finance works.

Why mobile financing?

“So I thought of a system that would protect the client’s interest by remaining fully regulated by the Central Bank and at the same time, reduce the cost of transaction”
Kamal Quadir- CEO of Bkash

Mobile financing is not a new term in the world of technology. Mobile phones have been used to do banking transactions through SMS back in 1999. With the rise of Smartphones, many developed nations introduced mobile banking services through Apps and web apps.

When the entrepreneurs found an opportunity using mobile as a financing service tool they introduced another term called Fintech. With the help of Fintech, we get automated financial services using technologies like mobile apps, bitcoin and websites which are cheaper than existing banking services.

However, at the early innovation stage mobile financing was not available in many South Asian countries. Now as the technologies are getting updated each day, mobile financing is becoming a reality for the people of this region.

Investors are already considering South Asia as a big fish in the mobile financial services market. The total population of South Asia is 1.891 billion out of which a large number don’t have any bank account. So using the previous global success stories, South Asia is currently becoming the new hub for mobile financial services.

In Paper, Mr. Quadir is one of the leading entrepreneurs in South Asia with the vision of making an impact in the financial services. But we found something more than an entrepreneur in him. He was an artist with a paintbrush in hand to capture the financial struggles at the corners of Bangladeshi villages. He found a solution using his artistic mind to give the poor people an opportunity to transfer money just using mobile buttons to the loved ones in a cost-effective way.

When the goal is to reach the sky

Bkash is already leading the market in mobile financial services in Bangladesh. But Bangladesh has just a small portion of the overall population in the South Asian region.

To make sure that the model of Bkash sets an example in the market, Mr. Quadir is working relentlessly to adopt the best technologies available.

In South Asia, India is the largest user base of mobile financial services. According to the studies, around 697.8 million users will be using mobile payments by 2023. This number is bigger than the overall population of Bangladesh. So it is possible for Bkash to research and work on the large South Asian market behavior. The task might look impossible but if done can change the personal finance choices of South Asian nations forever.

This article was inspired by THE BUSINESS STANDARD

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Ehsanul Hoq

Ehsanul Hoq is an independent financial researcher and freelance content writer/Blogger

How Bkash can change the personal finance domain in South Asia?