ProgressSoft provides PS-mpClear to enable the Central Bank to more efficiently maintain its vital role as controller of the mobile payment cycle.
PS-mpClear is a real-time payment switch responsible for processing interbank and inter-processor mobile payment transactions. It supports processing and switching mobile financial and non-financial transactions in STP basis and routing messages between multiple mobile payment service providers. It utilizes industry standard protocols, such as ISO 20022 for message exchange, along with other proprietary message formats.
PS-mpClear operates on a 24x7x365 basis and supports defining the business day schedule of operations, including cut-off times and settlement integration schedules.
PS-mpClear incorporates a billing subsystem that can be utilized to collect fees and charges from participating mobile payment processors on a transaction-by-transaction basis or periodic service subscription basis. The solution also offers a wide set of reports and monitors to aid the Administrator at the Central Bank to monitor the day-to-day operations of the payment switch.
- Switching of inter-bank and inter-processor payment transactions.
- Processing financial and non-financial transactions on an STP basis.
- Supporting ISO 20022 standard for message exchange.
- Offering a billing subsystem and a wide variety of reports and monitors.
PS-mpClear predominantly enables the Central Bank to assure monetary soundness; overseeing Mobile Payments’ key participants. While banks are already monitored by the Central Bank, the solution presents the latter with the means to oversee and control the financial stability of the mobile payment service provider(s) and assure their compliance with the Central Bank's regulations. Compliance assurances include deploying ‘Know Your Customer’ (KYC), blacklisting of users, in addition to suspending service providers who violate any of the Central Bank's regulations and guaranteeing the protection of mobile payment consumers.
PS-mpClear facilitates the registration of the mobile payment service provider(s) with the Central Bank. This grants an open system for multiple service providers and allows for interoperability among all of them.
As banks provide virtual settlement accounts for the use of service providers on behalf of their clients, PS-mpClear allows the Central Bank to manage those accounts and set up appropriate limitations on mobile payment transactions. PS-mpClear performs the settlement of payments between participant banks by integrating with the Central Bank's settlement system.
By assuming its key role as the payment switch for all mobile money transfers and payment transactions, the Central Bank stands to benefit from mobile payments institutionally and economically.
PS-mpClear allows the Central Bank to control the financial stability and compliance of mobile payment participants, including the mobile payment service providers, and prevent any monopolies amongst them. In this way, Mobile Payments are formalized as a money service business that is regulated under the Central Bank's authority.
Monitoring over micropayments can take place through PS-mpClear, allowing for the collection of statistical MIS data for microfinance. By offering mobile payment options to unbanked users, microfinancing can extend to that substantial segment. Financial inclusion of low-income groups is attained. This ultimately creates a positive impact on the economy and the GDP.
Adoption of Mobile Payments by the Central Bank paves the way for a cashless environment in which the printing, handling and destruction of physical money can be eliminated, or at least reduced. Benefits of having a cashless environment roll out to the entire economy are many, including a reduction in cash management costs in addition to decreasing and stabilizing inflation rates.