Ensuring the Legitimateness of Digital Signatures for Finance in Mexico

How to eSign a document: digital signature legitimateness for Finance in Mexico

[Music] [Music] [Music] [Music] [Music] [Music] good morning everybody welcome to today's session um from the fiji seminar it is entitled digital financial inclusion in mexico experiences and key learnings the financial inclusion global initiative fee is a partnership between the world bank group the committee on payments and market on market infrastructure of the bank for international settlements apologies and international telecommunication union itu this is funded by the bill and melinda gates foundation to support and accelerate implementation of country-led reform actions to meet national financial inclusion targets and ultimately the global universal financial access goal fiji funds national implementations in three countries china egypt and mexico it supports working groups to tackle three sets of outstanding challenges for reaching universal financial access electronic payment payment acceptance digital id for financial services and security infrastructure and trust and it also hosts the symposium this is the third and final edition of the fiji symposium the fiji symposium provides a form for dialogue amongst telecom and financial sector authorities financial service providers digital financial services providers i'm sorry digital financial services dfs and related stakeholders to share experiences and perspective on scaling of dfs this session aims to explore policy approaches employed in mexico to enhance digital financial inclusion also results and lessons learned the session is broken into two parts first together with the cnbb of mexico we will explore digital financial inclusion from the perspective of the financial sector including a presentation by its president and a session on q a afterwards there will be a second 30 minute session which will be held by our itu colleagues to explore financial inclusion perspectives of ift access to finance is really the first step to economic mobility it allows people to send and receive payments it opens the door to other financial services such as savings credit and insurance yet as many of you connected today know in 2017 1.7 billion adults worldwide roughly one out of three did not have access to finance even though two-thirds own their own mobile phones harnessing innovation really can help over the past few years we have witnesses with witness mexico establish a unique fintech law and issue related secondary regulations to responsible enable innovation investments in their new mobile placement payment system platform kodi has also facilitated individuals businesses and governments to conduct instantaneous and low or zero cost digital payments new regulations on digital id has helped to quickly include more vulnerable mexican consumers in the formal financial sector during the covet pandemic much of these efforts have culminated in mexico's new financial inclusion policy pnif issued in march 2020 which works to advance cross-cutting financial inclusion issues around the country today it is our pleasure to have with us president juan pablo graf of the community of national bankera de vanus of mexico to discuss digital financial inclusion in mexico and explore their core successes challenges and lessons learned from the perspective of the financial sector we're very lucky to have president juan pablo graf uh he has worked not only at the cnb as currently the case but also at the banco de mexico at the secretariat the treasury and therefore can bring a holistic perspective executing shared agendas across multiple institutions across the financial system and in order to achieve a broader financial inclusion goals with this i would like to give the floor to president graf please thank you very much jira good morning everyone here uh good afternoon good evening or wherever you are it is it is my pleasure in the name of of the banking commission in mexico uh to to to be here uh with you today thank thanks very much to to to fiji for for the invitation to participate in this this symposium and as as jira has said uh it's uh my intention to walk you through uh some some of the poli main policy measures that been taken in mexico in the last few years and and more recently in the last few months regarding uh fina digital financial inclusion in mexico um so i i'll share some slides with you the this this slides have been shared with the with with the organizers and and can be distributed because they some of them will have uh uh more detail that i i can i can present here so jira if you can confirm whether you can see the presentation now yeah you may want to put in presentation mode thank you is that it great so uh i would i would like to to talk uh today about some some of the main measures that are are are going going uh on in mexico uh regarding digital financial inclusion so so the presentation will be divided in the the topics that you see in this first slide it's uh uh we'll be talking about uh what had already has already mentioned about the our fintech law on housing evolving the the fintech industry in mexico uh after after the enacting the fintech law three years ago now then we'll we'll be talk we'll be talking about digital onboarding and measures taking especially for for the banking and other non-bank financial intermediaries different to the fintech uh firms that will be will be dealt with in the first part and then we'll move to our regime on on open finance and the steps that uh have been taken and the steps that are are coming in the in the rest of this year you know uh we'll we'll we'll see how this uh digital uh uh initiatives have been shaped or will be shaped by by what what has happened during the in the last 15 months of of kobe and i'll close close up uh the presentation talking about some some of the risks that that uh we have been uh identifying and i think it's it's not only the case of of mexico but it's it's also the case of many countries digitalization has been a campaign accompanied with some some prominent risks that should be uh mentioned should be dealt with so starting with that with the fintech law uh in mexico uh there was there was a as in many other countries a lot of activities related to the use of new technologies in in the financial system no uh and uh uh there was there was a lot of expansion of services many firms appearing and starting doing uh different different activities so mexico decided to to regulate the the the those companies that were appearing in the in the in the technology in the financial industry using new technologies no so in 2018 fintech law was was enacted in mexico uh and built on on six main principles of of uh uh inclusion protection and and protection of of data and and so on but the the main the main uh issue the the main themes that are are regulated in this law are the specific uh some specific legal figures and some specific uh uh say uh processes that will be uh uh developed in the coming years to to complete our fintech uh environment no so if we start with the the creation of of two new financial institutions in mexico those are the crowdfunding institutions and the electronic payment funds institutions the so-called the the wall wallet services no so the the crowdfunding institutions uh uh uh as known all over the world to connect supply and demand for credit for for financing for for equity financing so this is the first type of of fintech institutions created in the law the second is the electronic payment funds institutions for the insurance administration transmission and redemption of electronic payment funds uh with the main uses in e-commerce fund transfers p2p payments and payment of services no but it was identified that there was there was a too much uh demand for these services so those were the two uh financial institutions that this law uh governs that this law regulates together with secondary regulation but the law doesn't stop uh on telling that uh how how those institutions can be created regulated and supervised but it also goes goes on to to create to open up uh the banking the banking services the banking data from financial data but by customers to to be sure with others so that the best uh fine financial decisions financial access to financial financial services are best best uh supplied by by financial entities so we are creating this this regime of open banking open finance in in in the financial system you know and we will be dealing with those with this uh in more detail shortly of course and as in many other countries because we didn't know exactly how the system was going to evolve we set up also a regulatory sandbox to to to watch and and to invite other other uh participants to try in within a a regulated a a lightly regulated but uh um well well uh uh design framework to test innovative models that are uh outside the the institutions that i have already referred to and our fintech law also dealt with the the virtual asset operations and i i'll i'll come back to this uh shortly but basically it says that uh uh fintech uh institutions and other financial institutions such as banks or broker dealers can can can they will be able to operate with virtual assets that are authorized by the central bank so far none of these uh virtual assets uh uh or or coins have been approved by the central bank so um the the financial institutions and the fintech institutions cannot operate with virtual assets uh up up to now so if we move now uh so this is this is the framework that we have for the fintech that is a topic in our law and uh here here we mentioned some of the expected benefits of that we we are aiming at with with this all these activities no we aim to lower financial cost and provide better investment returns compared to traditional savings and investment options available in the market no we we aim also to have options for small and medium-sized enterprises and the entrepreneurs that are looking for funding resources to start their businesses and expand their current ones you know the we are also expecting that fintech addresses people's need to receive uh for for payment transactions to receive and transfer money as well to pay services and buy groceries especially on the on bank on under server people with this with these initiatives no and uh last but not least this this electronic platform for payments also can make it possible for uh alternative means for the to for transfer of remittances in easier and faster well ways to helping uh people's to lower people's costs moving and traveling in those distances to receive their their remittances no so these are the the expected benefits so we're working starting uh already by the end of uh 2019 in the process of licensing uh this this type of of uh firms so as you can see up to now but this is uh moving quite fast we have we we have been uh we're dealing with 1994 licenses uh that are being uh analyzed 43 of them uh are are are undergoing process and others have been resolved either positively or negatively in in that in in this in this process no out of the 1994 uh licenses 60 of them are for e-money the the electronic payments plata firms and 34 of them are for crowdfunding and as i tell you this is a a fast-moving uh agenda not only in terms of of how we are we are in in mexico undergoing the authorization process but also because as we move some other um licenses are are coming uh uh so some new applications are coming so if i was going to tell you this number 94 would be something around 1990 in in in in just two months ago so so this uh we are not only dealing with with uh all those firms that were before the enactment of the law and continued opera operating uh during these years and now are formally uh uh authorized are in the process of authorization formally but also new entrants are are are putting their their licensing uh uh on in front of us this process is is is is dealt with together with the ministry of finance and the central bank is this this license this is is a a an activity that is being processed by by the three authorities with within a special committee that takes these decisions no but uh as you can see this this is this is uh very important and uh it's been a a a big challenge in mexico because we we want to be sure that uh all the all the entities that we approved have uh uh strong uh systems to manage the the information they're gonna receive they have very very safe systems that cannot be uh attacked by by cyber attacks and and they have uh all that all the information that they're gonna receive from their customers well managed and well-kept no uh i should say also that in this in it this is this has been very important because uh the as any any other as in many other parts of the world there's there's been this fever to use new technologies in the financial system so some other companies have appeared uh announcing themselves as authentic uh providers or or so-called new banks challenger banks and all these things but uh it is important to to be very clear that there has to be a legal framework under which this can operate and we have had to to to in our process of supervision and and reviewing the the the progress and how firms actually enter the market that he they they have to be under some some of them that that apply to do these activities that are reserved financial activities in mexico so they have to apply for a license no so other other other firms that are i would say under this fever to to use the new technology have opened up uh financial uh so-called financial firms to attract uh people uh uh to invest in in these platforms or start using these platforms outside the the regulatory perimeter that we have set up with the law so other activity that is not shown in this graph is is the way that we have to go and check that everyone is under under the following the our rules so the there's been also the closure of of some other companies or just a few that have been active outside the regulatory perimeter uh together with the with the with the sanctions that have to be imposed on this no so this has been very very demanding for for the banking and securities commission here in mexico since we have to be dealing with those that are operating under the regulatory framework but also in some other other films that were operating outside and attracting people's money for investment in in in equities or or or or some some kind of loans so we have been very clear that this this is not possible in mexico uh there's been uh a very important reaction by by the those banks established in mexico for many years uh i remind people there are 51 banks licensed in mexico operating and they they are also using new technologies and starting to to invest heavily in in technology to to also be in in in this new era of of financial digital inclusion no so we have seen some of the major banks uh in mexico uh making investment making alliances with with uh some fintech firms and looking also for new platforms to provide their services and using their the especially in the area of payments they are making uh substantial investments on new uh innovative financial services especially in the area of payment so this been uh it's also that the banks are also demanding that uh our regime our regulatory regime is is sufficiently flexible enough for them also to adopt technologies and use new technologies to conduct this er financial inclusion uh digital financial inclusion so this has also been uh a challenge in mexico to to for our regulatory framework for the for those uh well-established financial intermediaries especially banks non-bank uh deposit taking institutions brokerage firms that one also to to evolve and have a more digital relationship with their customers so just to give you an example on on terms of digital onboarding also for for checking accounts for deposit accounts or for loans our regime has been evolving in the in the very recent period uh i gave just some few examples here in the last four years on how how the this has been changing on digital onboarding so yeah we started with that with our regime uh of uh that banks could open their uh digital accounts i i repeat uh either for for deposit or for loans with some some restrictions like a real-time video recording uh was mandatory to validate clients data previously filled out in a form and uh there were some some some recessions that have uh been uh evolving recently with with uh uh changes in in in our regulation so this is to give the the incumbents the main the main financial intermediaries in mexico also the opportunity to uh the opportunity to to increase digitalization in financial services so this is just to give you an example of this also they they just for for for the entering of of cash into into the banks they have also reached uh uh an increase aggressively the number of banking agents in the country so today more than 70 percent of the municipalities in mexico have at least one banking agent these are important because these are the points of entry uh uh that that replace traditional branches for for for caching cash out and and also for the for other kind of services so as you can see in this in this graph this has been a very very important increase no uh on on these financial agents and some of these are in the in the in the area uh uh of retail retail retailers in in mexico for those that that know uh a bit of of mexico and other countries those those are kind of retailers that are often in in in major cities and they they sell groceries and all things but they they tend to manage cash so they are a point of entry of of some services basic services like deposit or withdrawals of cash but also for paying services of of of people for pain electricity water supply all those bills can be paid in this in this beginning bank banking agents so this is a a very important development also uh also for to to make this all this possible our regulation our framework for the digital identification it has been evolving with clear uh milestones on the uh specific plans uh that are included in in in our national policy of financial inclusion and announcing in march last year just before the we launched this policy just before the pandemic so this is uh we have uh uh strong objectives and and and measures that we we want to adopt for financial uh digital id can can become a reality you know and together with this we we continue to to uh accept in across the financial system uh uh so some identity uh cards that our uh the main identity card in mexico at the moment that is used for identification is is our electoral card uh that uh is this is uh issued for for millions of mexicans but just above 18 years old so this is this is changing and banks are are accumulating more and more the the on their customers uh but biometrics the the biometric informations to to to construct and and to have all the banking customers uh well identified uh uh but digitally you know so this this is something that is evolving quite quickly in mexico with technology as well you know so let me move to the other part of our our fintech law objective is to have a this regime of of open finance and allow uh the the the financial data of customers to be to be shared with the with the prior prior consent of customers to to have this data uh share with uh by financial institutions with others or those or others developing uh this this application uh programming interfaces the app is so that this data can be shared you know we are we are talking here about that uh banks and other financial interims are are obliged to to share an analysis again with with the concept of customers the data that they have this could be uh open data uh uh or aggregated data like the location of branches uh or location of other financial services but then uh and this this is is is has been the what we we have done in the last in the last few months but in the the coming months we are moving to to to enact our regulation for the sharing of transaction transactional data starting first with with deposit data with with checking accounts saving accounts and then moving to credit credit accounts of customers and this is going to be a big challenge in mexico in at least in into in two respects the technological challenge and how this data can be uh efficiently uh shared by by institutions uh with with the best technology available so we have to set up a technology uh uh or a framework a regulation that is is neutral and the technology that will be used but also setting some specific layouts on how data has has to be shared with others no uh there will be data providers the the main financial institutions in mexico uh but that data requesters in addition to all these institutions they can also be third parties specialized in id uh systems that can can handle these these services no uh importantly uh there's a discussion on our law uh makes it possible uh and uh to to make for for financial intermediaries that will will have will share the data of of of customers uh to make it to make uh a charge for this and uh this this is gonna be an important part of of our discussion but uh so what what is the benefits that we we expect of this open finance that consumers can discriminate and choose more easily between services uh as much as small service businesses could have better conditions to access loans with greater ease and lower cost [Music] people that could currently do not have access to financial systems can have them and fintech and other companies can be be more competitive and reach new markets no so more people can be included financially in in mexico no but we see as i said uh some risks here and the security of transactional data may be at risk if information leaks occur i may affect both the entity and sure that shares the data and the entity that that uses this data no uh we we are looking carefully uh at the use uh at the methods that are not considered safe to consult information uh so some methods have been advanced such as screen screen scrapping and this has to this this this kind of metals innovative methods have to be evaluated um constantly and in in detail no and it's it's a a challenge for for us since at the beginning we we lacked uh technical and supervisory skills to keep up his standards but uh working working with industry and working with other authorities we are we're coming up to to the job to to to understand the dynamics of of the markets here and on the business the business case that uh so some some of these data providers using uh technology are are trying to to to to put in in place in mexico no so in terms of how how is this gonna evolve there are basically four faces that i will be following here and i already talked about it open data uh such as uh uh uh atms and branches it was was our first step this this those those having these services have to give the the data in in in the open space and this regulation came into force very very recently no a second phase as i said is the standardization of transactional data on banking deposits through the apis uh the regulation will establish the guidelines and on security and architecture for the exchange of data third phase will be uh transactional information uh on especially for credit accounts and and for for bro broker dealer accounts of customers uh and and the fourth phase would would be to issue regulation for other types of data tentatively aggregated data as defined in the in the fintech law so these are uh are that the faces that will be following in in open and open findings no so with that in mind uh this these are the mains the main steps that that we are taking in in the last uh few years uh just before the the pandemic came the the cove in 19 uh and so so this has changed a lot the way things are evolving in mexico uh and as in many other countries first thing everything was accelerated because of people people having to stay at home and and working at home and transaction making transactions at home so all all the digit digitalization came came into four came into into place much much fi faster no uh people and small and medium size are searching for alternative channels uh to perform financial transactions uh and fintechs we see that they could play a very important role in mexico economic recovery through the innovative and disruptive the financial products that they are supplying you know the this this fintechs must take advantage of these new financial contexts and benefits come up with with some services that they have just starting to plan before the pandemic and all those plans have to have to be accelerated so the use of of electronic means of payments have increased now just to show you so some data on this uh for instance on car payments uh what you can see here is uh uh the the trends of number of transactions to the left an amount of transactions with with cards bi that credit cards or debit cards uh in in in in two forms those that are called here in this this are present and non-present this means that how uh how transactions number of transactions and volume and value of transactions evolved in since the beginning of the of the pandemic and as you can see for instance to the left and the red in the red line the number of transactions with debit and credit cards with the customer uh being present in front of of the commerce decline very importantly up to 50 by by march last year a very very uh important uh contraction that recovered gradually and just very recently we are coming up to the the number of transactions of of of present uh in contrast that those transactions that uh with people being non non-present have it started increasing immediately with the pandemic is the if you see the graph by may 20 we had already like 30 percent increase in in in fro from the from the data on december 19 of of of transactions and that that continued increasing and has stabilized more recently uh as the the the as the social distancing has has eased on and and the pandemic has has started to to have uh lesser effects so people can start moving again and you can can see that the the the the the line in on the top has has flattened a bit no so this this is what is happening uh uh with with the electronic payments so let me let me close close by with the last last uh slide before going to the conclusions very important of course uh with digitalization has come uh two major risks one already referred to that is the appearances of of so-called uh fintech companies that are not under the law or or activities uh that yeah so some some people that wanted to promote their their fintech activities outside their regulatory perimeter and that that was a very important risk that and we we've been on top of it identifying platforms that are outside our regulatory perimeter and and sanctioning them now and the other one is is the the the increase the the important increase of of fraud in in in transactions with identity theft and and all the other types of of frauds uh especially uh cybernetic we call that uh uh that uh cyber cyber criminals have have learned how to how to steal uh uh so some uh um especially the the the information that customers use to to access their accounts with with some some special and well well-established social uh um social engineering that we call that is very special for these people to to to get on on customers data you know and customer access to to their accounts so this has been a very very uh important development in mexico as in many parts of the world and we are dealing with this uh in especially our our uh uh authority for financial protection uh conducer has has been making uh very very strong campaigns for people to protect their their their their key their keys to access their accounts uh through the internet through the mobile phone and banks also making a big effort here no but uh this is this is also some uh work in progress that uh and and we are also uh re reviewing our regulation here so as to make uh the access the the digital access to accounts safer for for for customers in mexico so let me conclude by uh stating the main messages i i wanted to give here uh so we have adopt a series of policies to increase financial inclusion uh inclu through digital means in mexico and and kobit has accelerated the pace of a dutch adoption of financial services uh our policy launched last year uh is is very relevant to to give uh a framework for us for to conduct our policies together with the with the minister of finance the the other other financial regulatory commissions in in in in uh retirement accounts saving accounts insurance not together with all of them several strategies are currently developed to to continue our our policy of financial inclusion now and i have said uh this this that digitalization has come up with with some risks that uh access and an issues of financial products and services face this risk and we have to be very aware that this is these are are also growing and we have to take the the measures to to mitigate such risks so with that yeah jira i stopped here and happy to take some questions thank you very much thanks hello juan pablo this is a fascinating presentation and also impressive agenda that mexico has uh has launched in the last several several years and uh i'm really glad to see some of the results that are already materializing it's uh you know it's very encouraging um i you know i i thank you again for joining us on this but we have the luxury of uh 15 minutes of uh discussion i want to encourage the the audience to send questions if you have uh through the q a function which is on the toolbox uh below and we will get to those as we have time but also we can you know follow up later on if needed um i would like to start with a few questions of our own um just to give you a sense of uh of you know what we're thinking when we hear you um i realize that you have a very comprehensive package for reforms in this agenda but i wonder what would be the fintech innovations that you think will be the most effective or have been more effective to enable more vulnerable people to access formal financial services in mexico over to you thank you i i guess it's it's a a combination of factors as as i already said uh this uh fintech payment platforms that are being set up and authorized by us in the commission have been a big mover here and there are many initiatives here by by some uh big uh and and medium-sized national international players here that are in the in the in the space of of retailers and other others other services that gap constant people constant contact with people with customers on a daily basis that uh that they sell products uh either either on groceries or online uh and some other financial services now that we are now uh very much used to and those have contact especially with with the low law with with the that part of the population that do not have uh access to the financial system no so those services are are providing a new opportunity for for this financial inclusion no but as i said uh banks are are also using technologies no and investing uh importantly in new technologies and making alliances with with other companies that have more presence in in retail markets and i'm sure that uh this combination of development of a financial technology industry that came with with with the possibility of new technologies that in mexico has been regulated as already explained together with our our traditional uh financial services providers is giving us good opportunities specific data and how is this changing we don't have because uh this this will be taking part but one of an important part of our policies to measure all these things no so we have our uh national survey in financial inclusion that is is conducted uh every three years so this year we'll we'll be conducting our fourth uh ser survey and this is important because it allows us to move how things are changing you know so we'll we'll be having this this this survey this year and i guess by early next year we will have more precise data on how how these things are changing in mexico no yeah no we look forward to that data um definitely and uh you know at least we'll give a little bit of time since the the you know the pandemia and the passing of the laws and so on uh to get some early results we did see some of the nice results in your graphs uh you know about the usage that was quite impressive um in terms of uh the the response from the fintech market clearly there was a lot of interest uh based at least on the on the licensing requests and so on but what has been the the response to the to the actual law and regulations was there a need to uh do some corrections what's your kind of like your advice for other countries that may be uh thinking about this approach um uh that you can share from your mexican experience so again again the law became enacted in in 2008 in march 2018 and it gave very very short uh uh uh time for two things to happen immediately after that was the first one to was to issue secondary regulation on many services and on security of of of systems and and data this has had to be done in a short period of time about some of the regulations came out already six months after after march by september uh 2018 and then others were given more more space no one one particular regulation that we dealt with uh and i think it will continually be moving because services here are are changing is how how the systems and the mainframes of these services will be provided and here we are talking about cloud computing and and all these services of data data storage we we that was the last well not not all of our regulations has been enacted but uh this was particularly important so as to be sure that uh they are completely new uh companies that had the opportunity to to to to to look for services uh provided or provided by others especially the the best example i can give here is that the cloud cloud services know that those those uh uh banks already established in mexico are also exploring this these issues but since they were already here before many of these things uh have had had it started changing they have their their own their own premises the the this or they provide their services and in in their own premises no so that that that is very important part that is it's completely it is evolving quite rapidly you know uh and as i told you that the other was uh very important not a a correction in the course but uh we didn't expect so much uh demand uh uh probably what there was already many firms uh ing to some measures that they they call it themselves fintech uh firms but uh uh we had to be very very clear on this that uh not not anyone in in mexico can can take money from from from customers in the in this in the in terms of deposits or or investment in securities or these kind of things so one correction here was to to set up very clearly what is fintech and what is not fintech in mexico so everyone can came very clear on what can be done and what cannot be done yeah no very useful and indeed it was a pretty intense uh demand and uh in the middle of uh covet so um i mean you had a barely a year after after that to to do with it so i know it's been it's been a challenge um in terms of the of the regulator of the cnb uh it's very clear that the prioritization of the financial inclusion was very you know very targeted and um you know well thought through i'm wondering whether it changed the structure and function of the cnb as a regulator even if if not beyond the formal i mean what has changed how has the cnb adapted to this new world um some a few units units were created especially to to handle some specific that we have a a unit a specific unit for supervision of those fintech firms that use i was talking to in the in the in the presentation so this is of course a specific area for for supervision of this and uh also in the in the frame of technology we had also specialized teams that were uh were there already dealing with banks but they they got more responsibilities and and the the staff there uh they have been doing a a an excellent job of updating themselves on understanding the new technologies and how these firms have to operate and how are they protecting themselves against uh cyber attacks and all these things so i would say it is it was especially in the area of of our our normal um supervisory activities that uh some some few units we were created with within the cmbb already after that the law came came into force and the technology and of course our area of of of a a very strong area of our lawyers that conduct and coordinate all our work on issuing our regulation and on coordinating the work of issuing uh authorities reviewing the licensing processes and authorization for such a big number of firms no and i repeat this has been done in mexico together with the central bank uh and the minister of finance and in the central bank especially in the area of payments and also on crowdfunding that have devoted also a lot of resources together with with the ministry of finance since the law came into effect so so we three authorities and i'm talking here for this fintech activities that i talked about but there is also developments going on especially in insurance and the the the national commission for insurance is also taking steps in this direction thanks um speaking of regulation we got a question from the floor when do you envision the next phase of open banking regulation to be issued that is transaction deposit account and what are the main motivations to move the sharing of aggregated data initially included under phase two to phase four well yeah the the next phase as i gave in the slide i don't know if there was a the specific uh date let me just check here transaction data has to be uh on the on the deposit it is it is to be issued this year no we and and then by by the beginning of of next year will be the third fight the the third phase on on credit data as as as the as the participant correctly as that we we moved to the fourth phase the aggregate data because we saw we saw more benefits and more potential benefits on the on the transactional data and more challenges to uh on this area that had to be dealt with uh uh more more importantly at the moment aggregate data is also important for for analysis for research and all these things but this open finance issue it is mainly about transactional data where this data can be uh uh shared for for the benefit of of of of customers no so we have banks already uh banks and other non-bank financial taking institutions and development banks in mexico asking us that they want to to have more information from small and medium-sized enterprises so they are uh all the time asking us when are we setting up or releasing these regulations so that they can be taken because more information that small and medium-sized enterprises can share uh with others they can get better services no in credit and cash management and all these things no so i think that that sets priority better to have more emphasis on transactional data and and again for the end of this you know for the last say between the third and the beginning of the four quarters this year deposit data and then by the early next year credit data okay okay now thanks for that i noticed in your presentation of on the cyber security issues uh it was quite interesting for me to see that the risks in your graph um were mostly i think 93 or something on e-commerce um which is you know it's very interesting in itself um more than mobile accounts mobile you know it's kind of like um interesting to see where the where the the criminals if you will are focusing do you have any comments on that any any issues that you have seen that uh could illuminate at that area well as i said and as i showed the graphs uh the the e-commerce uh in terms of numbers of transactions and value of transactions increased very rapidly with with the with the copy and uh probably uh this has taken by surprise uh uh firms and authorities all over the world know and uh well this this started happening and then if you you you uh or the banks making a very very strong communication uh initiatives and campaigns to tell customers how how things happen and how whether never to share their their their data no that that was very important i guess uh it was the the main responsibility and firms especially banks reacted swiftly and very rapidly also prompted by by our our consumer protection uh uh authority conducer that was also very very strong on this uh on on on making campaigns and communication on this no and and so and we're looking at it and we already issued some some changes in the regulations to to to make this for banks to have safer safer processes and safer systems yeah no it's it's very tricky business um we're coming to to the end of the session but uh for me it's a luxury to have you uh not only in your current capacity but because you have been at the bank of mexico at the central bank you have been at the minister ministry of finance um you know and now at the cnb what have these experiences taught you about effective coordination approaches across financial sector authorities and others like the ict regulator or the you know consumer protection agency how does that help achieve shared policy objectives like financial inclusion and what are the challenges well uh we had already established some some forms of of coordination and communication between authorities especially i i would say uh that there's some special committees that that we work together and we set uh evolving evolving uh we review our policies and uh how our policies are being applied and and analyzing the results of this in this area our main our main forum for coordination is is the the national concept for financial inclusion that takes takes uh form with the chair by the by the minister of finance uh with the participation of the central bank and and the the the the prudential regulators the the conducive the consumer protection agency and other authorities uh and with a strong contact with the with the private sector so that's that that is the formal way of coordinating that we have a of course for the exchange of information we have memorandums of understanding between the the uh many of us uh but i i would say that uh it relies also on in in perth in in interpersonal relationship in strong strong uh communication among among officers in different parts no and uh we for for many years as i guess as in many other countries uh in mexico uh that there's been always very strong contact with uh between the minister finance central bank and the prudential regulators no uh and that was tested with with a with a pandemic itself because those meetings that used to take place face to face we went went uh to the flat this these platforms and i think we we we managed to to do it uh nicely no uh uh on on on working on on this respect no but i think uh the the the the the history of of strong relationship between the the commission's uh has worked out has served us very well to to do with this no yeah no it certainly helps you know the the the other part as well as well so um with that i would like to thank you for this great session it's been very very interesting and and useful to learn more details about the mexican case we'll all be watching for sure because uh this is uh just the beginning in a way and i'm gonna give you an opportunity for closing closing words and then before i close the session please go ahead thanks a lot now yeah i think i thank you and uh and fiji for this opportunity for us to to to share the the important work that is being done in mexico in the area of financial inclusion and and and also with with the experience of of of the uh our our our institution that has been doing this uh very very challenging uh uh work in in challenging times no and and and i think as uh uh uh our colleagues here have done a magnificent work together with others in in keeping up with these efforts in in this area no but thank you thank you thank you very much for letting us share in these experiences and look forward for for learning from from others and discussing in your firm all these important issues thank you very much thanks a lot um best wishes i know this is not an easy task um with that we'll close the session but before that just be sure to tune in tomorrow uh tuesday june 15th for our fiji session of this of this round uh the role of central banks in enhancing cyber resilience in the financial sector which is very topical from the presentation we just heard with that i want to thank each and every one of you again and i wish you good morning good afternoon good evening and i would hand it over to my colleagues from the international telecommunications union itu to further explore insights from the perspective of mexico now from the ict sector sophie the floor is yours thanks a lot thank you very much and indeed i'm happy to start off the second part of the session so i would encourage people to stay in the session so this really looks at how to leverage icts for digital financial inclusion we all know that in a fast-changing digital world ict regulators need to keep abreast of new approaches new tools speed up and streamline regulatory processes and enhance collaboration we heard about collaboration from the previous speakers while the regulatory basics still apply and core regulatory mandates still need to be thoughtfully used the job of the ict regulator requires new skills and new thinking to create an enabling environment attractive investment and ensure access for all in a safe secure and informed manner and that is relevant too for digital financial inclusion so the pace of transformation demands a new regulatory strategy that includes all stakeholders of all sizes and backgrounds and industries digital finance and digital financial services are revealing complex relationships between telecom ict and financial market regulators and hence questions about the relationships between regulations of these markets if we look at ict demand and supply stimulation it requires a multifaceted approach including strategies to create an awareness of icts across the sectors and towards end users so as to help leverage ict to progress towards achieving amongst others digital financial inclusion and digital finance fund functions best within a specific technical and policy environment where one takes into consideration the needs across the sectors and develops and promotes the necessary support systems and appropriate policies to allow for sustainable investment if we look at dfs and dfi it requires data confidentiality reliable means to verify people's identities but also network availability and security including in remote areas and solutions to make electronic payments attractive to all people so understanding these interrelationships is vital yet telecom financial and competition regulators consumer protection agency they bring different objectives knowledge knowledge legacy prejudices and overlapping powers to the job through fiji national implementation in mexico we've had the unique opportunity to join forces across the sectors and create that enabling environment that include that that supports an inclusive ecosystem for dfi the dialogue we together with eft have fostered over these last four years has provided the basis by which we can achieve and improve affordable financial services including in unserved and underserved areas so to turn to our distinguished speaker commissioner sostenes diaz gonzalez eft have really encouraged and brought together stakeholders to collaborate with each other i remember being in mexico just before the pandemic hit where we had a fabulous round table so that we could collaborate engage and communicate with the private sector and digital platform providers so that together we can leverage icts for digital financial inclusion commissioner can you give us some more background on the different initiatives that eft has promoted on progress towards such collaboration commissioner the floor is yours excuse me i have to interrupt you i don't have english interpretation let me check please again yeah now i can hear but i haven't heard before thank you excuse me can you start again from the very beginning [Music] initiative is [Music] [Music] [Music] [Music] [Music] [Music] [Music] thank you very much for indeed very very useful initiatives but it's not just about collaboration it's also about connectivity can you give us some details on last mile connectivity efforts and how you see this contributing to digital financial inclusion commissioner the floor is yours [Music] is [Music] is a [Music] um [Music] [Music] in [Music] [Music] [Music] [Music] [Music] [Music] thank you very much may i now hand over to the next moderator my colleague rodrigo robles who's based in our office in brasilia rodrigo over to you know [Music] in mexico a um [Music] [Music] [Music] is [Music] gracias [Music] [Applause] [Music] [Applause] [Music] [Applause] [Music] [Applause] [Music] [Applause] [Music] [Applause] [Music] [Applause] [Music] [Applause] [Music] [Applause] [Music] [Applause] [Music] [Applause] [Music] [Applause] [Music] [Applause] [Music] [Applause] [Music] [Applause] [Music] so [Music] [Applause] [Music] [Applause] [Music] [Applause] [Music] [Applause] [Music] [Applause] [Music] [Applause] [Music] you