Press



500.000th registration in the UMVA Platform in Burundi

Today, AUXFIN announced that it made the 500.000th registration in Burundi last week. This work is related to the larger Fertilizer project in Burundi of PAN- PNSEB supported by IFDC, the total project aims to connect 1.2 million (members) families. The registration is on-going and today 45% of the families (population) in Burundi have been reached.

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NIOKOBOK enhances its accessibility with UMVA

Today NIOKOBOK and AUXFIN agreed to join forces and introduce UMVA as a method of payment for purchases on NIOKOBOK.COM. This allows UMVA members to pay for any purchases made on NIOKOBOK.COM without any additional cost and without the need to have a bank account or credit card.

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AUXFIN to deliver insurances with Partnership of ASKIA

Today ASKIA ASSURANCES and AUXFIN launch an innovative solution to provide easy online access to insurance. The solution as well as the insurance offer is tailor-made for Senegalese abroad and their family members in Senegal and will be made available through AUXFIN’s UMVA platform.

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Download PDFCommunique de presse Askia AUXFIN

Download PDFPress Release Askia AUXFIN

 

 

Remittances market in the Netherlands, a report of the Ministry of Foreign Affairs.

Download the full report :

Amsterdam, January 2014

by:
Daniëllea de Winter (DBM research)
Laudra Archangel (LAC!Support)
Gerd Junne (The Network University)
Jane Martie Chatlein (former Director of IntEnt)

Members of the steering committee were Lidy Navis, Jaap Smit, and
Richard Dons from the Ministry of Foreign Affairs, Meike Kramer from the Dutch Ministry of
Finance, Ayse Zoodsma (DNB), Marc van der Maarel  (NVB), and Vyash Misier from the Dutch Association of Money Transfer Institutions (NVGTI) In addition, Nanette Farwerck (INTL Global
Currencies Ltd)

On page 73 and 74 UMVA is mentioned as an innovative product:

However, another innovative online scheme that allows remittances at almost no cost between senders and receivers connected to the system would be AUXFIN, which also contributes to positive development by creating incentives for community mobilization and allowing to trace not only monetary payments, but also the flows of commodities

Auxfin’s UMVA value registration system

A recent creation is Auxfin, a highly innovative formula for “banking the unbanked”. It allows the transfer of remittances at almost no cost via the UMVA online value registration and management system. At the same time, it contributes to 

- financial inclusion of migrants on the one side and of remittances recipients on the other,

- increased cooperation and social cohesion within migrant organizations as well as local institutions,

- spreading ICT and financial literacy,

- assuring a high level of information on senders and recipients,

- allowing better insight into the use of remittances,

- fighting corruption at the sending and the receiving end,

- and increasing transparency of all transactions and thus the trust among the different actors involved.

The system has been tested with remittances from Senegalese migrants in Spain to their home country, and large scale applications are presently on their way in Burundi and in the DRC Congo. In Burundi, about 1.2 million farmers will be connected to the system, which is also used to administrate the distribution of fertilizer to the farmers.

At the core of the system is the UMVA platform, which allows private persons and organizations to open an account In any kind of organization that works at the rural level. The account can be used to send money to all other account holders within the system. The account holder thus obtains ownership rights to part of a corresponding account in a commercial bank, which is owned either by an association or foundation in the sending or the receiving country.

Money is sent within the system by transferring amounts from one UMVA account (e.g. in the sending country) to another UMVA account (e.g. in the receiving country). The system accumulates these transactions and translates them into bulk bank transfers from its bank account in the sending country to the bank account of the organization that uses UMVA in the country of destination. While the real transfer may take some time, the money can almost instantly be available at the receiving end, because the receiver is notified that money has been sent to his/her UMVA account, and it can either be withdrawn (e.g. at post offices or cooperating microfinance organizations) or used to make payments to other UMVA account holders. UMVA accounts can not only be created for money, they can also be created for commodities (sacks of cement, fertilizer, coffee, school fees, etc.) allowing to trace the use of money for important categories of expenditures.

Users of UMVA accounts receive a basic computer training to handle their account – and to use the internet for access to all kind of relevant information as well as for communication with family members abroad. The better the communication and the links maintained, the larger probably the flow of remittances will be.

Since large groups of recipients and local organizations get connected to the system and open an UMVA account, the system can also be used to make local payments, - reducing the risky use of cash, facilitating the administration of the institutions involved, increasing transparency and cutting down opportunities for corruption. A central role is played by schools, where every student can hold an UMVA account, where financial literacy can be taught, and which also reach out to the parents to involve them in the system.

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MECSEF COOPERATIVE a New International Bank for Senegalese migrants,

MECSEF (Mutuelle d'Épargne et de Crédit des Sénégalais en France) and AUXFIN today signed a contract to install the UMVA and AUX-EL platform. Members of MECSEF in France can use UMVA Client system for remittances at low cost, while continuing to benefit from savings products MECSEF. The goal is to connect France members with those of Senegal via internet, which will reduce the cost of remittances and increase value to members and promoting MECSEF members in their goal of bring economic wealth in Senegal.

The UMVA system is specially designed for small banks and has provided functions for migrants. 

 For detail information Download pdf: UKDownload pdf  FRDownload pdf

  

INAFI International Implements a User-Owned, Low Cost Remittance Service

International Network of Alternative Financial Institutions (INAFI International) is delighted to announce that it secured funding from the International Fund for Agricultural Development (IFAD) under its Financing Facility for Remittances to start with the implementation of a User-Owned, Low Cost Remittance Service. This service will

  • 1. Provide an alternative to the current cash-to-cash dominated remittance services;
  • 2. Increase financial literacy among remittance senders and recipients; and
  • 3. Link remittances to microfinance services allowing access to bank accounts, savings, credit services and innovative remittance-based products and services.Initially, under the scope of the grant agreement signed between INAFI and IFAD, the service will target the important Spain-Senegal corridor and it will therefore be implemented at two INAFI member Micro Finance Institutions in Senegal (FDEA and U-IMCEC).Once the expected results are achieved, the service could easily be rolled out to other countries.

INAFI believes that low-cost transfer of remittances is a necessary tool to bring financial services closer to poor people and expects that this innovative new service will serve as a platform to promote local, social and economic development.

To implement the User-Owned, Low Cost Remittance Service, INAFI signed a partnership agreement with the Barcelona-based Federation of Associations of Senegalese Migrants (CASC) and AUXFIN.CASC is an organization established to promote cooperation and interrelation between the Senegalese community and the Spanish and Senegalese public administrations. AUXFIN will provide the UMVA system, a platform and software developed for small banks, with special functions for migrants and their needs for remittances services. Mr. Marco van Andel, an expert in micro-finance, remittances and financial development was recruited as the project manager of this project. He will be a key collaborator between the three partners and will manage the project on behalf of INAFI.

Soukeyna Ndiaye Ba (Executive Director of INAFI): “INAFI is convinced that remittances sent by migrants have a great development potential and therefore remittances is a key theme in our strategic development plan. New initiatives to leverage remittances for development by linking microfinance and remittances are now being initiated by our network in several countries around the world. We are delighted by the support of IFAD to this specific initiative for which our expectations are very high.“

Amadou Bocar Sam (President of CASC): “The idea of a user-owned, low-cost remittance service has been on top of our agenda for several years and after so much hard work the moment has now come to start implementing the idea. We are convinced that we have the right partners to turn this idea into an innovative reality.”

Cornelis Heesbeen (CEO of AUXFIN):“We are excited to provide our tested UMVA tools and expertise to this ground-breaking initiative. It is a great opportunity for us to start working with INAFI and 2 of its member MFI’s, thus expanding further the scope of our growing activities. New in this project is the Migrant Development Fund; the results of this project will have a large impact for migrants over the world.”