PayNearby, India’s leading branchless banking and digital payments network today announced that it has recorded Gross Transaction Value (GTV) worth Rs. 54,000 Crores in FY 20-21, with an exit month GTV 32% higher than the average monthly GTV booked in FY 19-20. The company generated ~Rs. 290 Crores of revenue for its retail partners and about ~Rs. 40 Crores of fee for its banking partners in the same financial year. Amidst the pandemic, the generation of stable income opportunities for its partnering retail community ensured steady livelihood across lakhs of household across the country.

FY 20-21 saw irreparable loss both in lives and livelihoods among many, and agent banking network played a crucial role in ensuring relief disbursements reach the hands of the intended. Aadhaar ATM, which is the backbone for disbursing DBT to citizens, saw a huge surge across PayNearby retail stores, primarily led by increased adoption in rural, semi urban and tier 2 towns. The company reported AePS withdrawals worth Rs. 10,000 Crores in Q4 FY 2021 as against Rs. 7,650 Crores for the same quarter last year.

The overall value of AePS transactions in FY20-21 stood at approximately Rs. 40,000 Crore as against Rs. 31,500 Crore in FY19-20, thereby registering a Y-o-Y growth of 27%. In terms of volume, the company registered 18 crore (180 million) transactions in FY20-21 as against 12.5 crore (125 million) in FY19-20, registering a Y-o-Y growth of 46%. The growth all through FY20-21 included various relief funds disbursed by the Government to support citizens during the pandemic in addition to the normal ATM withdrawals that were assisted by the Agent network.

When the economic crisis intensified during the lockdown phase, the country witnessed a mass movement of the migrant community from metros to their respective hometowns. During this period, Domestic Money Transfer (DMT), or the amount of money sent home by migrant workers, saw a sharp decline of more than 85% in the first two months, and started picking up again by late July. With the advent of the unlock phase, remittance business saw a V shaped recovery and registered a growth of 106% and 100% in value and volume respectively vis-à-vis lockdown. The company reported a Gross Transactional Value of Rs. 12,000 Crores in its money remittance business for FY 20-21 with a gross monthly average of Rs. 1,300+ Crores in the last 6 months, similar to its run rate in the second half of FY 19-20

Overall value of assisted digital transactions at PayNearby retail stores for Q4 FY2021 stood at Rs. 15,200 Crores as against Rs. 11,700 Crores for the same quarter last year, representing a growth of close to 30%. In addition to growth in AePS transactions, newer product categories like flexi savings instrument (Bachat Khata), COVID insurance, increase in digital payments offtake including mPOS, UPI QR, AadharPay and Payment Gateway services led to the growth. The company’s efforts to democratize digital services and make ecommerce, online education and online video streaming available to every citizen in the country also saw good acceptance among its retail partners and is one of the rising categories in its portfolio. EMI collection service for 33 leading FIs, NBFCs and Micro Finance companies came as a savior to many of these partners, whose customers wanted to pay EMIs but the collection teams couldn’t reach them during this pandemic. Cash collection for online delivery partners and EMI collection services witnessed 2x growth in FY 2021

The total numbers of transactions stood at 7+ crore in Q4 FY2021 vis-à-vis 5 crore for the same period last year, thus registering a growth of over 45%. The company further stated that it served financial transactions worth Rs. 280 Crore ($40 million) on multiple days in FY 21, with an average of Rs. 150 Crore on a daily basis.

Speaking on the progress, Anand Kumar Bajaj, Founder, MD & CEO said, “Our assisted digital distribution services ensures low cost delivery of accessible banking services to every section of the society without discrimination. Tech savvy and oblivious segments both access our Agents for ATM withdrawals, digital payments, bike insurance, small value savings and booking travel tickets. The steep rise in volume and values across our platforms are a testimony to a burgeoning revolution within the digital banking ecosystem. The numbers are a clear reflection that real Bharat in tier-II cities and beyond are adopting digital services through their trusted local stores nearby. We need to port this local trust and layer it with the right tools, training and technology to universalize digital payments and digital banking in India."

At 50 Lakh app downloads and an annual transaction processing of ~Rs.54,000 Crores of digital financial services, we are still at the tip of the iceberg. There is a large unexplored, underserviced market which needs to be brought up the curve by simplifying high end technology for the bottom of the pyramid. We will continue to innovate every single day to ensure form factor agnostic digital payments and digital banking services reach the masses. As we yet again enter the second wave of the pandemic, it is critical to cement financial architecture to ensure seamless access to financial services in the hinterlands of the country.”

Anand further added, “We also feel extremely fortunate to be able to provide stable income opportunities for our Digital Pradhans. It has ensured families across the country had the means to sustain this economic turmoil. Our focus on our Digital Pradhan’s growth and sustainable livelihood will always remain a priority objective at PayNearby.”

The company represents the country’s largest retail merchant network today with more than 2 Crore customers serviced monthly.

PayNearby has played a significant role in driving digital financial services within the interiors of the country across 17,500+ PIN codes. It has bolstered easy, low-ticket transactions and created an all-inclusive acceptance framework for a less-cash India.

The company recently celebrated a new milestone with more than 5 million PayNearby app downloads by retailers. Besides enabling financial access and payment digitization at the last mile, the company has been empowering small merchants, SMEs and local businesses to adopt contactless payments and digitize themselves. The company also launched PayNearby app in 10 local languages for seamless communication across semi-urban and rural markets.

Tonik, the first neobank in the Philippines, announced today that it raised US$17M in Pre-Series B funding.  The round comes on the heels of Tonik’s highly successful public launch in March 2021, which saw it secure over 1 billion pesos (US$20M) in retail deposits in under 1 month - a historical record for any new bank launching in the Philippines.
Led by Singapore’s iGlobe Partners, the round featured participation from existing shareholders Sequoia India, Altara Ventures, and Insignia Venture Partners as well as bringing in new investors Citius, Baring Vostok Capital Partners, and multiple Philippine family offices.  The new funding solidifies Tonik’s position as one of the best funded fintechs in the Philippines, with US$44M raised to-date.
“The customer response to our launch last month was overwhelmingly positive.  We are delighted that so many Filipinos are taking advantage of our unique service and attractive deposit rates, to enable them to dream big and save bigger,” shares Greg Krasnov, Tonik CEO and Founder. “The new funding will help us accelerate our growth, as well as invest aggressively in product development.  In the course of the next 12 months, we plan to significantly broaden our stack of first-in-the-market digital financial products for our clients, especially strengthening our offer on payments and rolling out consumer loans.”
Soo Boon Koh, the Founder and Managing Partner at iGlobe Partners, said: " We are delighted to support Tonik’s veteran management team in their vision of bringing world-class digital financial services to the consumers in the Philippines. We were impressed with Tonik's launch results and ready adoption by consumers. Clearly their proposition resonates well with the needs of this huge and underserved market.  We look forward to working with the Tonik team to help them build the first licensed neobank in the Philippines.”
Tonik is on a mission to revolutionize the way money works with a new all-digital way of banking operating on a highly secure digital banking platform. The neobank offers accessible, flexible, and inclusive financial services, including industry-leading deposit interest rates of up to 6% per annum, and unique saving features such as its Solo Stash and Group Stash products, as well as Term Deposits.   
Tonik is supervised by the Bangko Sentral ng Pilipinas (BSP) and deposits are insured by the Philippine Deposit Insurance Corporation (PDIC).  Its unique cloud-based solution is powered by global financial technology leaders such as Mastercard, Amazon Web Services, and Finastra.
Learn more about this story and other updates from Tonik via http://tonikbank.com.   

Economists at Commerzbank have raised their 2021 growth forecast for Germany from 3.5% to 4.0%. They expect a strong economic recovery more than ever. “The peak of the pandemic seems to be behind us. More and more counties are loosening restrictions. The rapid pace of vaccinations indicates this as well”, said Chief Economist Dr Jörg Krämer. That means public life in Germany will gradually return to normal. “I expect a post-pandemic boom,” Krämer said, supported in part by a catch-up in spending by private households to make up for some of the consumption they had to forego during the pandemic. “Even if people spend only a portion of their coronavirus-related savings, this will give consumption a decent extra boost.” Industry, which has recently been held back by a lack of materials, should soon contribute to the strong recovery too. Despite this positive outlook, Commerzbank economists see a significant increase in corporate insolvencies. “We anticipate the long lockdown will cause a wave of bankruptcies, but not a bankruptcy tsunami similar to what we saw a good 20 years ago when the equity bubble burst,” Krämer said. The wave of bankruptcies is of course a burden, but it will not stop the economic recovery.

In the eurozone, too, Commerzbank economists believe the progress of the vaccination programmes and rising temperatures will cause incidence levels to fall for the foreseeable future and allow noticeable easing starting from the end of May. “The better-than-expected start to the year indicates the eurozone economy is set to grow by 4.5% in 2021,” Krämer said. Despite this strong economic recovery, Commerzbank economists do not yet expect a genuine inflation problem this year or next. Although producer prices are now rising significantly, they anticipate this increase will have little impact on the consumer price index. “Inflation is no longer dominated by goods, rather by services,” Krämer said. These are linked to labour costs, which, however, have risen only moderately due to the problems on the labour markets. Commerzbank economists therefore expect

a core inflation rate of only 1.1% for this year in the eurozone. In the long run, though, they see considerable inflation risks. “Countries’ hunger for credit remains just as high as the ECB’s willingness to satisfy it through bond purchases,” Krämer explained. As a result, too much money continues to circulate, which will be reflected in higher inflation when the labour markets tighten again in a few years’ time.

The ECB is increasingly coming under the influence of the highly indebted countries, according to Krämer. In his view, the bank has been pursuing a policy of implicit yield curve management, which is not a problem as long as inflation remains low. “But if inflation rises, then yield curve management forces a central bank to put out fires with gasoline,” says Krämer. Commerzbank economists continue to anticipate that the ECB in the autumn will reaffirm its expectation that the bond purchases under the PEPP programme will be phased out by the spring. “The ECB, however, has come to love the PEPP bond-buying programme, so the doves on the ECB Governing Council won’t end it next spring without a safety net. I expect the PEPP volume will be increased by a further €250 billion,” says Krämer.

“We have been concerned for some time about some of the consequences of loose monetary policy, namely the overvaluation of many assets. The excess money will continue to inflate asset prices until consumer price inflation picks up in a few years,” Krämer explains. The best example is real estate prices. Real estate is highly valued, although the peak has probably not yet been reached. “The risk is real that we will have a real estate bubble in a few years,” Krämer explains. According to Commerzbank economists, equities are affected by this liquidity effect too. But unlike real estate, whose prices currently know only one direction, equities also react to real economic and other circumstances. In addition, equities can be traded more quickly than real estate. The risk of setbacks on the stock markets will increase in the second half of the year, according to Commerzbank economists.

In the USA, the economic outlook has continued to brighten thanks to the advanced vaccination process and the trillions of US dollars being spent on the economic stimulus programme of the new US President Joe Biden. As a result, Commerzbank economists have raised their growth forecast for the US economy in 2021 even further, from 6.5% to 6.8%. The Fed is likely to begin tapering its bond purchases in the first quarter of 2022 – one quarter earlier than previously assumed. Commerzbank economists anticipate this move later than most economists. “The idea behind this expectation is that the Fed is under greater political pressure than it used to be,” Krämer explains. An increase in the Fed’s key lending rate is not forecast until 2024 at the earliest.

Commerzbank Research growth forecasts

Leading mortgage technology provider Twenty7Tec today announces that it has completed an APPLY integration with Accord, enabling users of CloudTwenty7 to seamlessly submit applications to Accord without the need for re-keying.

For this integration, Twenty7Tec have integrated with IRESS Lender Connect software, which Accord are using to support transfer of data into their intermediary portal. Users of CloudTwenty7 will be able to complete an Accord Decision in Principle application in the CloudTwenty7 platform, re-using customer data already captured, before passing the data to the Accord portal and submitting to the lender.

The integration with Accord is now in pilot with Mortgage Advice Bureau and Connells Group, with a wider roll out planned to all CloudTwenty7 users in the second quarter of 2021.

James Tucker, CEO of Twenty7Tec commented "We have been working with Jeremy and the team at Accord for some time now, jointly developing solutions for making the process of applying for a mortgage decision simpler, faster and more efficient. With this integration, we have achieved just that, and we look forward to rolling this out to all users of CloudTwenty7 shortly”.

Jeremy Duncombe, managing director of Accord Mortgages, said: “We’re really pleased to be integrating this technology with Twenty7Tec as we continue our digital journey to make it easier for brokers to do business with us.

“This solution, together with our MSO platform, will make a noticeable difference to the amount of time it takes brokers to place cases with us, freeing them up to spend more time with their clients.” 

About Twenty7Tec:

Twenty7Tec’s CloudTwenty7 platform is designed to make the process of searching, applying for and obtaining a mortgage simpler, faster and more efficient. The platform is used by all participants in the mortgage market, from lenders to mortgage advisers, to comparison sites and even end customers.

IDnow, the Munich-based ID verification platform, will provide Greentube-owned StarGames.de with customer identification and verification solutions for the brand’s entry into the German market. The integration also ensures Stargames.de is compliant with the Interstate Treaty on Gambling 2021 and Anti-Money Laundering laws and regulations. 

Greentube-owned StarGames.de is the first from the group to use both the IDnow VideoIdent and the NFC-based eID solutions in order to provide users a freedom of choice when it comes to identity verification. VideoIdent and eID offer state-of-the-art know your customer (KYC) verification services to provide a seamless registration experience for its players, either via an app or web application.

IDnow will enable Greentube (a part of the NOVOMATIC group - a leading provider of premium interactive gaming entertainment) to carry out semi-automated KYC checks on its customers to ensure the integrity of the brand StarGames.de. This places the safety of the players and compliance to laws at the forefront of its operations.

Laszlo Pados, Brand Manager of StarGames.de said: “The German market launch is only a few months away and getting StarGames.de ready and equipped is on the top of our agenda. Implementing the required KYC and AML processes is the basis for safe and secure online gambling and the foundation to our successful German operations. 

“IDnow offers a smooth, customer-friendly solution that is fully compliant with German regulations, so it was an easy decision to make when choosing our partner for customer verification solutions.” 

Roger Tyrzyk, Director Global Gaming and Sales UK/I, at IDnow, added: “As experts in KYC and AML compliance in Germany, we are uniquely positioned to help launch StarGames.de to the German market. Whilst it is important for us to provide our clients with an outstanding user experience, this integration will ensure Greentube fulfils all the requirements ahead of new legislation in July for its nationwide licence application. Finding the right balance for operators is our sweet spot. We support Greentube to balance those requirements in an efficient and scalable way, while knowing the solutions implemented meet the highest standards in the industry.”

StarGames.de is owned by Greentube Malta, with vast experience operating in the German market through its licensed operations in the federal state of Schleswig-Holstein. The operator is now preparing to apply for a nationwide licence in the country as new legislation comes into effect in July 2021. StarGames.de is currently licensed in Schleswig-Holstein, as well as with the Malta Gaming Authority (MGA). 

IDnow is a leader in digital identity verification with artificial intelligence (AI) trained with millions of data points to securely verify potentially 7 billion customers from 193 different countries.

Scottish Equity Partners (SEP) has completed a significant growth equity investment in FundApps, one of the world's most successful Regulatory Technology (RegTech) companies.

As the first ever Compliance-as-a-Service (CaaS) business, FundApps has transformed the way investment managers deal with the regulatory burden by combining cloud technology, regulatory expertise, market data and the unique FundApps Community. Previously, compliance managers were overwhelmed by ever-increasing complexity, but services covering Shareholding Disclosure, Sensitive Industries and Position Limits have truly made compliance simple.

Today, London-headquartered FundApps has over 100 clients, ranging from hedge funds, asset managers and sell-sides, to the world’s largest sovereign wealth funds. Collectively, FundApps’ services monitor over 10% of global assets under management. Investment from SEP will drive continued product innovation and support further expansion of the international client base.

“We are delighted to have technology specialist SEP on board.” Said Andrew Patrick White, founder and CEO of FundApps. “Having bootstrapped our way since 2010, FundApps has experienced exceptional growth in recent years, but we have only just scratched the surface of the regulatory challenge. It is clear that in SEP, we have found a long-term partner who not only understands the scale of the problem faced by the global investment industry, but one who is excited to work with us to introduce transformative services to an industry crying out for further innovation”.

Angus Conroy, Director at SEP, added: “FundApps offers an outstanding software solution to asset managers and banks, enabling automation of increasingly complex regulatory reporting requirements. The business has an excellent reputation amongst its clients for product innovation, proactive support, and cutting-edge underlying technology. New clients joining the platform benefit from access to a growing community of compliance professionals using the service. We see substantial growth potential and are delighted to be partnering with the FundApps team at this exciting time in the company’s development.”

Alternative Investment Exchange (AIX), the platform making it easy to buy, own, and sell alternative investments, announced that Inland Real Estate Investment Corporation (“Inland Investments”) has selected the AIX platform as one of its electronic platform providers to onboard new funds and streamline its alternative investment processes. Powered by the AIX platform, Inland Investments’ new investing portal offers a more seamless experience to its independent broker-dealer and advisor partners.

As a sponsor of alternative public and private real estate securities, Inland Investments provides opportunities for individuals to invest in a variety of real estate investment solutions. Inland Investments and its affiliates are involved in almost every aspect of commercial real estate and have been proponents of innovation in the alternatives industry. Since inception, it has sponsored 784 real estate investment programs serving more than 490,000 investors across all major commercial real estate sectors.

“Inland Investments remains committed to advancing the client experience for our diverse product offerings. The industry is improving investment processing efficiencies and minimizing tedious paperwork, high NIGO rates, and compliance delays,” explained Phil Graham, EVP Strategic Relations at Inland Securities Corporation, dealer manager for Inland Investments. “We believe AIX and Inland Investments share the same objective – to provide an exceptional end-to-end digital investment experience.”

The AIX platform is an easy-to-use alternative investments system that enables an entirely digital investing experience. By removing the tediousness tied to stacks of paperwork, manual data entry, and reconciliation (and hours wasted on re-keying data), the historical objections across the alternative investing ecosystem have been solved. In addition to addressing inefficiency, AIX helps to de-risk the alternative investing process by incorporating real-time validation of requirements such as AI Insight training status, concentration limits, and state suitability.

“Inland Investments’ deep expertise in alternative investment operations and the flexibility of AIX’s technology platform make it possible to elevate the wealth manager’s investing experience to new levels,” said Brad West, COO of AIX. “We are excited to partner with Inland Investments to offer intuitive, streamlined subscription solutions for its diverse product offerings, which include real estate investment trusts, 1031 exchanges, opportunity zones, and private placements.”

Jenson Funding Partners are delighted to advise they have completed an investment in Axioma Europe Ltd who provide a marketplace for mobile vehicle repairs.

Axioma assists car owners with expert image analysis of the repair scope and leverages hundreds of independent technicians on their marketplace to carry out the repair work at home and at a pre-set price. Axioma aims to disrupt the £150bn global repair market – by providing mobile repairs at affordable rates through a seamless user experience and is set to become the go-to platform for on-demand, mobile vehicle servicing for the fleet, insurance, and retail markets.

Stefano Sironi, CEO of Axioma has a background in insurance telematics and investment banking, having previously worked at Octo Telematics and Bank of America.

Stefano commented: “The mobility industry is changing, we are extremely excited to have acquired the resources to be at the forefront of this change.”

Jeffrey Faustin, CIO of Jenson Funding Partners said: “I would like to welcome Stefano and his team to the Jenson family. Really looking forward to working with them and helping the business grow”.

Forensic Risk Alliance (FRA), a forensic accounting and data governance consultancy specialising in international and complex investigations, compliance and disputes, is pleased to announce that Stuart Ells has been appointed as the firm’s first ever Chief Executive Officer.

Stuart’s appointment will support the sustainable growth of FRA, now in its 21^st year, to build a scalable and effective operational infrastructure while broadening its client-based capabilities. In his role, he will ensure that FRA is best-positioned to successfully capitalise on the innumerable opportunities that are expected to arise out of the global pandemic and economic downturn.

Formerly a Managing Director and Chief Administrative Officer for Alvarez & Marsal Europe and Middle East, Stuart will be responsible for all of FRA’s day-to-day global operations, with the aim of driving effectiveness and efficiency and establishing a strong scalable structure for future growth. He will be based in the London office, although will spend significant time across all of FRA’s global offices. With his appointment, FRA Founding Partners, Toby Duthie, Frances McLeod, and Greg Mason, will continue to be leading voices in the market as they focus on delivering value for key clients, pursuing complex multinational opportunities, and reinforcing and growing the firm’s core strategic offerings.

Stuart, a UK Chartered Accountant, started his career with Ernst & Young. He has more than 30 years of corporate experience, having served as CFO, COO and CEO in a range of companies across the media and entertainment sector. Most recently, Stuart served as Interim COO of the Global English division of Pearson Plc while working as a client-facing partner at Alvarez & Marsal, in which he assisted Pearson Plc in the formation of a new management organisation, generating growth and the transition to digital products and platforms.

Stuart is also an experienced mergers and acquisitions advisor and has been involved in the acquisition or sale of companies such as Motown Records, TVT Records, the Epic film library, ITC Entertainment, the Sundance Channel and the Stoll Moss Theatres Group.

Frances McLeod, co-founding Partner, said: “We are delighted to welcome Stuart to FRA. He brings a wealth of exceptional leadership experience that will complement our collaborative one-firm culture. Stuart’s appointment will help us to provide a best-in class working environment to attract and retain top talent, expand our core service offerings, and develop new opportunities in areas such as ESG, to ensure our capabilities and operations are nimble and able to better serve client needs across all our global markets.”

Stuart Ells, CEO of FRA, added: “I am very excited to be leading FRA through the next stage of its growth and evolution, particularly given its outstanding reputation for delivering world-class services across a broad portfolio of international investigatory work. I am particularly looking forward to working with FRA’s extraordinary pool of talent to optimise the firm’s operations and build upon its culture of collaboration and innovative thinking. With an abundance of opportunities expected in white-collar investigations and FRA’s already stellar reputation in the field, it is a great time to join the firm.”