CBSI Governor Commends SINPF Board To Adopt Digital Channels
Governor of Central Bank Dr Luke Forau has applaud the Solomon Islands National Provident Fund to adopt digital channels that bridge youSave members in wherever they are directly with SINPF to do savings anytime anywhere.
Dr Forau made the statement at the launching of the youSave Lo Mobile in Honiara. He said ‘youSave LoMobile’ is a unique savings for the informal sector, especially for the SINPF youSave members. YouSave LoMobile is a unique innovation, and it is first of its kind in the world where Mobile top- ups (Airtime Credit) will be used for (digital) savings.
This literally means that instead of using your phone top up credit for calling or texting your relatives and/friends, you can actually use that credit as savings by depositing or transferrin g it to your SINPF youSave account. This service will address the geographical challenges facing our people in the rural and remote areas in the provinces. Not only that, but this should also encourage them to save more.
Speaking at the launching, the development of such initiative is consistent with the objective of promoting and enhancing digital channels for easy and wider access of the greater population to finance under the Second National financial Inclusion Strategy, which is coordinated by the Central Bank of Solomon Islands (CBSI).
CBSI believes that the youSave Lo Mobile service will enhance regular and high volume of savings. This in turn, will have economic downstream impact on the lives of Solomon Islanders who are self- employed in the informal sector.
Subsequently, we are also looking forward for substantial data on savings done through this channel which would provide us with compelling evidence that would be convincing to the Government through the Economics Reform Unit and Inland Revenue Division for the proposed tax waiver on Airtime Credit used especially for this savings channel.
Dr. Forau said the success of this service will lay rails for future implementation of digital initiatives to enhance access to finance as well as enhancing the transition of our people, especially those in the formal sector, into digital economies.
“My most profound gratitude is extended to the continuous technical support provided by UNCDF through PFIP, and funding partners, the governments of Australia and New Zealand, and European Union, all of which necessitated this innovative channel’, Dr Forau said.
He further adds, to commend the key stakeholders, in particular, the two major network operators ( Our Telekom and Bmobile) for the unique partnership and support which progressed this initiative, also not forgetting the Telecommunication Commission of Solomon Islands (TCSI) for being receptive, the private sector for being instrumental in taking this initiative forward since inception, and of course the Solomon Islands Government for the policy direction.