Min. Singh emphasises need for improved banking accessibility, inclusion

Senior Minister in the Office of the President with Responsibility for Finance and the Public Service, Dr Ashni Singh has underlined the need for more citizens to be able to access the formal banking system, especially in relatively unbanked areas.

He was at the time speaking at the World Trade Centre Georgetown’s Banking Conference at the Pegasus Corporate Suites, Georgetown on Tuesday.

The conference is sponsored by Demerara Bank Limited (DBL), and brings together industry leaders for discussions on critical topics shaping Guyana’s banking sector.

The minister recognised the challenges many persons face in accessing some banking systems, particularly with regards to opening a bank account.

“I hear people say, for example, that it’s more difficult to open an account in Guyana than it is in the United States of America. And that should not be the case. We all subscribe to the same global anti-money laundering standards, the same global standards,” the minister pointed out.

He underscored that because of this, there should be no reason why any citizen should encounter difficulties opening a bank account. He said it is the private sector and the government’s duty to make it easier for persons to be brought into the banking system.

“We should not be erecting hurdles to access or barriers to access to the banking system. Quite the opposite. We should be removing those barriers and making it easier,” he said.

Dr Singh pointed to the recent simplified guidelines issued by the Central Bank to streamline this process for low-risk customers. These include reduced identification requirements and a simplified documentation process.

According to the senior minister, banks must work aggressively to further streamline these procedures, particularly through the deployment of digital solutions.

He encouraged partnerships with the government to bring these digital banking services to communities that currently lack physical bank branches, through potential outreach programs.

He commended Demerara Bank for its efforts to improve the accessibility of banking services in communities through these methods.

DBL has become the first bank in Guyana to incorporate AI technology into its processes.

For instance, the average time taken across the banking system to process retail loans such as car and mortgages, including decision and documentation, is around two weeks. However, by leveraging technology, DBL is now able to process this transaction within 20 minutes.

Dr Singh applauded this move, noting that it opens avenues for further discussion on how this system can be implemented across the board.

“I believe the time is almost upon us when you will not even need to go into a bank to open your bank account, when you will not even need to go into the bank to apply for a loan. We want to make sure that every single person in Guyana has opportunity to access this,” he said.

Meanwhile, the Chief Executive Officer (CEO) of Demerara Bank Dowlat Parbhu explained that this system enables the bank to better manage and maintain customer relations. He suggested that through further collaboration with the government, this system can be expanded and integrated further with the economy.

“Furthermore, DBL has the technology to further improve this process. If integrations are built, for example, with government, let’s say GRA or the insurances companies, to process within a few minutes, and take, for example, somebody applying for a cargo, they don’t need to come in the bank anymore. So, they apply, the bank gives an approval to the dealer’s portal, a registration is sent to GRA, a digital registration is created. Thereafter, options for digital insurance are created, and all of those are stored within our software,” he said.

Themed ‘Banking made easier’, the conference engaged attendees on issues such as access to financing, banking regulations, developments in international payment systems and the anti-money laundering landscape in Guyana.

The World Trade Centre Georgetown is a recently established trade centre in Guyana, the first of its kind in the Caribbean Community (CARICOM). It was licensed to Demerara Distillers Limited (DDL) in 2022.  The centre aims to promote trade and investment, support small and medium-sized enterprises, attract foreign investment and enhance Guyana’s international profile.