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Half of world's population do not have a bank account

2.5 billion adults 'unbanked' and ready market for innovative payments solutions

Prepaid Summit: Middle East 2011

Conference, Expo and Networking Dinner, with pre-conference Workshop

March 22-23 2011

Westin Hotel, Dubai

www.vrl-financial-news.com

2.5 billion adults worldwide are 'unbanked'

Prepaid products provide excellent means of providing unbanked population with financial services

Huge untapped potential in GCC region, specially KSA and UAE

Middle East is hot spot for travel, youth, payroll, online and mobile prepaid products with more than 60 million internet users and over 80 million mobile phone users

Experience in Europe proves that early entrants are likely to claim lion's share of market

In Italy the Post Office-issued 6 million Postepay cards while banks slept - and lost on market share

Dubai 06 March 2011: Radical thinking by regional payment providers is essential if they are swiftly going to tap into the prepaid card segment, set to be the growth stream for retail bankers and related sectors.

"Banks must move now and create innovative if not radical card products. The opportunity is huge, especially as a product for those who do not have the easy ability to open a bank account," said Bernardo Nicoletti, a global expert in the prepaid segment.

Bank Audi SAL 's Randa Bdeir agrees. She said that regional growth of prepaid rides on bringing the traditionally unbanked segment into the mainstream.

"More that 2.5 billion adults, or just over half of the world's adult population, do not use banks or microfinance to channel, save or borrow money. They still trade in cash. There is a huge opportunity to move this segment into prepaid cards."

Bdeir said that prepaid card products are easily tailored: "New products must be created now. They must be tailored to offer this massive chunk of population better spending control, financial empowerment and also offer a safely net when transferring hard-earned money across borders," she noted.

Nicoletti and Bdeir are two speakers at the upcoming VRL Financial News' second Prepaid Summit Middle East, in Dubai (March 22-23).

Nicoletti cited Italy as a world blueprint in prepaid innovation: "A classical innovator in prepaid is the Postepay concept in Italy. In 2002, a new entrant to market - the Italian Post Office, launched a prepaid card. Postepay is an unprecedented success with six million of cards currently issued and multiple revenues streams available. In just ten years, it is miles ahead of the 'late bloomers'."

He stressed that the GCC, and Saudi Arabia in particular, has a huge opportunity to develop prepaid, for instance with the expatriate communities. In the UAE, expatriate workers comprise some 85 per cent of the labour force and 40 per cent in Saudi Arabia.

"A big chunk of the expatriate population is in the low income bracket, making them unsuitable for credit cards but right for prepaid cards. Prepaid cards are excellent for workers to use for transferring money home and protecting themselves from fraud and theft. They also serve as a protection against claims for employers," he concluded.

The second Prepaid Summit Middle East opens on March 22 in Dubai and focuses on the solutions and the providers who will bring path breaking products for consumers of the region.

The summit highlights will include exclusive research on the markets and the views of more than 35 speakers. Visa is on-board again as the Summit's Title Sponsor. Epay is the Gold sponsor for the summit and Network International LLC returns as the Silver Sponsor for second time. TNS is the official research partner.

-Ends-

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About Bernado Nicoletti
Bernardo graduated from the Polytechnic School of Turin, Italy and has an MSEE from Carnegie Mellon University, Pittsburgh, PA, USA. He joined GE in 1997 and had assignments in Rome, Italy and Leeds, UK with GE Money as Program Manager for the implementation of a Common Receivable System. In February 2002, he was named Chief Technology Officer of GE Money and later Acting CIO. From July 2008 until July 2009, he has been CIO Latin America working for AIG UPC. Bernardo is specialized in IT Management and Coaching, working in Europe and in the Middle East. He is a Director in Pinion, a boutique system integration company specializing in payment systems. He is the author of 15 books on Management and is a frequent speaker in International Conferences.

Web Site: www.bernardonicoletti.com

Bank Audi sal - Audi Saradar Group
Bank Audi is a universal bank operating principally in Lebanon and the Middle East and North Africa (MENA) region, offering a full range of products and services that cover commercial and corporate banking, retail banking, private banking, investment banking and online brokerage, as well as insurance activities through its subsidiary, LIA insurance sal.

As at December 31, 2010, Bank Audi ranked first among Lebanese banks in terms of total assets, shareholders' equity, customers' deposits, loans and advances, and profits. Bank Audi has the largest branch network in Lebanon, with a total of 80 branches (of which 73 operating branches and 2 private banking branches), and operates a network of 11 branches in Jordan and a representative office in the United Arab Emirates (Abu Dhabi). Bank Audi also has 3 subsidiaries in Lebanon, 3 in Europe and 5 in the MENA region outside Lebanon. On a consolidated basis, the Group operates a network of 157 branches spread principally in the MENA region.

Bank Audi was founded in 1830 and incorporated in its present form in 1962 as a private joint stock company with limited liability (société anonyme libanaise) for a duration of 99 years. The Bank is registered in the Beirut Commercial Registry (no. 11347) and in the Lebanese List of Banks (no. 56). At the time of its incorporation, the shareholder base included members of the Audi family, together with Kuwaiti investors, namely the Sabbah family and the Homaizi family. Since 1983, the shareholder base has expanded. The Bank's Global Depositary Receipts (GDRs) are listed on both the Beirut Stock Exchange and the London Stock Exchange, and its common shares are listed on the Beirut Stock Exchange./

Over the past 5 years, Bank Audi undertook a significant regional expansion course and now ranks fourth among the 15 largest Arab banking institutions by assets in terms of regional coverage, with operations in 11 countries through a network of branches and subsidiaries developed mainly through "green-field" operations outside Lebanon and resulting in an increasing percentage of Bank Audi 's assets and revenues. At present, Management intends to continue pursuing expansion opportunities in new and existing high value-added markets.

As at December 31 2010, 4,852 employees work at Bank Audi and its consolidated subsidiaries, of which 2,749 persons are employed in Lebanon alone. Bank Audi 's head office and registered address is Bank Audi Plaza, Omar Daouk Street, Bab Idriss, Beirut 2021 8102, P.O.Box: 11-2560, Beirut, Lebanon.

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Anu Bhatnagar
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© Press Release 2011