Rural, branchless banking has increasingly become the solution for rural areas in the developing world. The service is typically based on a business correspondent model, in which a person (or “agent”) who works for a microfinance institution (“MFI”) serves specific villages, which he visits on a frequent basis. The agent will act as an enabler of financial transactions by actively recording and honoring the transactions themselves. A range of services are provided, such as cash deposits, loans provision, loan repayment etc.
While these services have been available for a few years in countries such as India, Bangladesh and Kenya, the market is now trying to scale in order to maximize the opportunity, enable more people to benefit from the financial services and thereby improve their economic situation. The main obstacle to progress is the lack of scalable identity solutions that can allow various services to be provided securely. Providing adequate solutions for these challenges will eventually open huge markets for new and sophisticated services that are perfectly suited to extensive rural conditions.
ClassifEye provides just such a solution to this problem: Our solutions are purely software based, run on mass produced handsets provided by leading handset providers (such as Nokia) and have the capability of creating and verifying identity at a very low cost per user. ClassifEye’s core technology is based on fingerprint recognition using the digital camera already embedded in most cell-phones. The package, which is an integral part of a software package that is downloaded over the air, holds a suite of solutions for rural finance, such as Business Correspondent services, mobile banking, Micro Finance services, mobile payments, etc. Moreover, in order to ensure that people can be served even when data connectivity is weak or absent, ClassifEye has developed off-line transaction capabilities, so that services can be provided even in the remotest of locations.