GSMA – 2013 Research Briefing Introduction

1. GSMA – 2013 Research Briefing Introduction

2. MWC13 Highlights • 72,000 visitors to the event, including over 3,400 International press & media representatives • 50% of attendees held C-Level positions, including more than 4300 CEOs • The majority of sessions were capacity filled • Four-day conference programme included more than 41 separate sessions and 230 speakers • Sessions covered key industry topics such as mobile marketing, cloud computing, NFC, enterprise and key industry verticals including health, automotive and a new conference stream “The future of..” looking at the latest developments in M2M and the connected life.

3. Mobile World Congress 2014 – Key Dates Submit your speaking proposal at: http://www.mobileworldcongress.com/call-for-papers-overview/

4. Mobile World Congress 2014 – Strawman Agenda

5. Mobile World Congress 2014 – Strawman Agenda

6. Submissions • Two examples of good submissions are included in this pack Five Top Tips for a great submission: • Use Fact not Theory • Thought Leadership not a Sales Pitch • Include Relevant Research • Projections are Good, Actual Data is Better • Keep it Short and To the Point

7. GSMA 2013 Research Briefing Introduction Supplementary Info.

8. Sample Submission 1 Submission Title: Banking the Entire Pyramid: Mobile Money in Iraq Abstract: Mobile Money is defining banking in Iraq and in return, Iraq could redefine mobile banking. We implemented a comprehensive and cost effective banking solution in a country with rudimentary financial infrastructure last year. This was done by following a one telco, multi-bank model. The convergence of unique environmental conditions in Iraq has created the potential for a revolution in the utilization of mobile financial services throughout the pyramid from the start – instead of just the bottom rung. Isolation: Iraq was isolated from advances in financial, IT and telecommunications technology for many years. Innovation now comes from a select number of private banks seeking cost-effective ways to provide retail banking services to the people of Iraq. Un-banked: Less than 10% of the Iraqi population use formal banks and 95% are un-banked or under banked. A general distrust and lack of understanding of banks and what banks “do” drive most Iraqis to store their wealth in cash, in their homes. Connected: A recent article in The Economist estimated that there are now 20 million mobile subscribers in Iraq out of an estimated population of 27 million. That means nearly 74% of Iraq’s population adopted mobile phone technology in the seven years since it has been available in Iraq – the fastest uptake proportionally of any country in the world. An ecosystem has been established where cards and mobile channels exist in harmony across all income levels in the population. Traditionally cards have been utilized by those with higher income levels and mobile banking by the “bottom of the pyramid” only. The objective is to achieve this at a rate approximating the rate and penetration of mobile telephony within the past three years. If it can therefore be shown that a cost effective solution can be introduced in a country that has been economically devastated, where there is continued political and ideological clashes, where there is a dire lack of technology, where the population is sceptical about formal financial services and where the traditional “bricks and mortar” approach for rolling out bank branches is prohibitively expensive; then there is a model that can be emulated anywhere in the developing world for financial inclusion.

9. Sample Submission 1 The speaker will discuss the strategy and critical success factors, along with key indicators measuring progress against the strategic deliverables (over time) and lessons learned applicable to future projects in order to show the audience how Iraq could be the market that redefines mobile financial services. He will highlight the process through the presentation of selected case studies and real life changing experiences of ordinary Iraqis to illustrate the impact that financial inclusion and the introduction of formal financial services has upon the social fabric of communities in Iraq. Track: Mobile Money for the Un-banked Presentation: • Choosing technology and business partners (Who? What? How?) • Broad strategy for implementation • Barriers and challenges and overcoming them • Critical Success Factors Identified by studying other (similar) projects • Roll-out strategies by market segment • Implementation • Key metrics (month by month) • Lessons learnt • Un-anticipated challenges and their resolution • Lessons learnt for future projects

10. Sample Submission 1 Key Takeaways: • What we wanted to achieve? • How we did it? • Why we did it? • Where we could have done better? • What we found to be the Critical Success Factors for this type of project. • What were unforeseen obstacles and how we resolved these – learnings that you should keep in mind when you implement projects with this scope and impact. http://www.economist.com/world/middleeast-africa/displaystory.cfm?story_id=14870118

11. Sample Submission 2 Submission Title: Institutional and regulatory framework for mobile financial services: What makes Latin America different from other regions? Abstract: There has been a lot of discussion on whether an enabling regulatory framework is needed in order to let mobile financial services for the unbanked population (MFS) flourish. The fact is that Latin America has seen only recently its first MFS emerge, at a time when several countries in the region are working on improving their environment.   Findings lead to a positive correlation between openness and certainty in civil code (as opposed to common law) countries, where no specific legislation usually implies fewer models allowed. Together with an institutional framework with separated banking and payments supervisors, this might explain, at least partly, why Latin American countries have lagged behind African and Asian pioneers in mobile money and m-banking initiatives. Presentation Summary: After working for several years on financial deepening and financial inclusion, when we first learned that mobile phones could be used to extend access to formal financial services among the unbanked population, Latin America looked like the perfect environment to introduce such a disruptive technology. Mobile penetration was growing steadily and fast, some of the largest MNOs were operating in the region, successive financial crises had undermined people’s confidence in the financial system, microfinance and banking agent schemes were developed and inequality was considerably high. However, it took years until any transformational services were launched in Latin America. Why did this happen? Blaming this lag solely on regulation would be over simplistic, but we are confident that an enabling regulatory and institutional environment is a precondition for mobile financial services aimed at the unbanked. This might be particularly true in countries where the legal system is based on a civil code (as opposed to common law), such as in Latin America. In these countries, most financial innovations need previous definition and authorization to be allowed. Our findings show a positive correlation between certainty and openness in branchless banking environments belonging to civil code countries, whereas common law countries tend to correlate negatively.

12. Sample Submission 2 Another point that might make Latin America different is its institutional framework, with banking and payments systems supervisors often integrated in different institutions (superintendencies and central banks); in some cases, consumer protection is also independent from these. This structure might result in institutional tensions, bottlenecks and grey areas when defining allowed models (bank-led vs. telco-led, bank accounts vs. e-money …) and their supervision. These issues are currently being addressed by some Latin American countries (Mexico, Peru…), which will be used as case studies. Finally, some other factors indirectly related to competition and regulation might contribute to explain the Latin American situation: remittance markets are considerably efficient and banks have a greater competitive edge than in other regions, hence compromising the business case for mobile money transfers. Key Session Takeaways: • Mobile financial services in Latin America have taken longer to take off than in other regions, partly because of a lack of adequate regulation. • Civil code countries tend to forbid schemes that have not been previously defined in regulation (ex-ante approach), whereas common law countries apply measures at a later stage (ex-post approach). • Coordination between banking (superintendencies) and payments supervisors (central banks) is critical, and can cause severe bottlenecks if neglected. • Competition in Latin American remittance markets is indirectly dependent on both local and foreign regulation, and it affects the business case for mobile money transfers.