VIEW FROM THE TOP
FURTHERING FINANCIAL INCLUSION AND CREDIT EXPANSION ERNESTO TORRES CEO of Citibanamex
Q: What is Citibanamex’s proposal for the Mexican banking
of the necessary infrastructure in shops and businesses that
system?
allows them to receive payments, not only with cards, but
A: The main challenges for the Mexican financial system
from mobile devices, and to promote a wider use of online
are financial inclusion and credit expansion. The objective
and mobile banking. All these actions must be complemented
should be to consolidate a system that amplifies and
with different programs to foster financial education.
facilitates access to financial services and provides more loans under better conditions. To increase access, we must
Q: What opportunities does Citibanamex see for the finance
move forward simultaneously in different directions: using
sector as a result of the NAFTA renegotiations?
the most advanced technology and new digital channels and
A: Citibanamex is the best example within the financial sector
taking advantage of social media and Big Data; expanding
of the mutual benefits that can be obtained through the
and modernizing our infrastructure; establishing a network
cooperation between Mexico and the US. The finance industry
of correspondents to reach more clients; providing products
plays an important role in achieving the economic integration
and services that best fit the needs of each client; offering
of the three countries and driving the competitiveness of the
new channels, especially through the use of technology and
region. The high degree of economic integration between
digital devices; and promoting the use of electronic and
Mexico and the US has increased the already big number
digital payments. To increase credit, we must maintain the
of clients that interact, trade and execute cross-border
country’s macroeconomic stability, provide customers with
operations. Enhanced integration of the finance sector will
products that meet the needs of each segment, disseminate
allow us to better serve millions of clients in the NAFTA
existing options and advantages of credit and create a closer
countries bringing benefits to communities across the region.
relationship with the public. Q: Beyond NAFTA, what is Mexico’s value proposition to the Q: How will the digital transformation of the traditional
world?
banking system impact financial inclusion?
A: NAFTA is an important factor in the country’s evolution
A: The transition to a digital banking system has pushed
but it is not the only one. There are many other elements
forward financial inclusion in Mexico but there is still a lot of
that make of Mexico one the countries with the best growth
untapped potential. The best example is mobile banking. Five
perspectives among emerging markets; for example, a large
years ago, we launched Transfer in alliance with América Móvil
and dynamic internal market. According to the WB the
and Inbursa, the first payment platform for cellphone services.
average income of Mexico’s population is medium high, which
In 2013, Transfer had 1 million active clients and by the end of
creates great opportunities. The economy is also becoming
2017 we expect to have 6 million. It has been growing at an
more productive and competitive thanks to the approval and
annual rate of 57 percent. The number of transactions made
implementation of structural reforms in key sectors such as
in Transfer in 2013 was 9 million and this year we expect to
education, telecommunications and energy. In addition, Mexico
reach 310 million.
has an outstanding export platform and different commercial agreements across the world. Finally, the country maintains
Q: What strategies should be put in place to encourage the
great macroeconomic stability, responsible management of
use of digital payment methods and reduce the use of cash?
public finances and a solid and growing financial sector.
A: The strategy to promote payments through electronic platforms includes different actions. First, supporting the inclusion of millions of workers in the formal economy; second,
Citibanamex is a multibanking institution and a member of
continuing to facilitate access to banking services, especially
Grupo Financiero Banamex, a subsidiary of Citigroup Inc.,
through new channels; and third, to facilitate internet access. In
an American multinational investment banking and financial
addition, it is necessary to facilitate and expand the installation
services corporation
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