unwelcome disruption or transformational opportunity for ...€¦ · early days still…...

Unwelcome disruption or transformational opportunity for Trinidad and Tobago?September 10, 2018

Who are the stakeholders?Early days still…

Entrepreneurs

Consumers

Traditional FIs

Technology firms/

communityAcademia

FI funding

Public/ Development

funding

Other –Angel/PE/ VC investors/ Incubators

Regulators Government

Private/ Corporates

FinTechGrowth

Talent

DemandCapital

Policy

Entrepreneurs

IPO/capital markets

Peer‐to‐peer

Payment Infrastructure Online/mobile payments Contact/cash less P2P

P2P lending P2B Lending Crowdfunding

Asset Management (roboadvisors) Financial/ Investment Advice

Consumer payment International Remittance

Telematics Research & Analytics Predictive models

RegTech Shared services (KYC) Big data analysis Blockchain technologies

Robotics and AI ChatBots Data analytics/Behaviour

Prediction

Digital advice/ Robo‐advisory

Digital/ Crypto currency

Deposits & Lending

Investments

Insurance

Payments

Enterprise

InsurTech

Risk/compliance/monitoring

Operations

LIMITED

INFANCY

INFANCY

Stakeholder assessmentVarious states and perspectives

Demand


Talent


Capital


Policy

Stakeholder assessmentEase of doing business

Select Categories 2018 Rank DTF* 2018 Top Global Performers

Starting a Business 71 88.57 UK, New Zealand

Getting Credit 44 65.00 Multiple countries

Paying Taxes 162 55.22 Estonia

Protecting minority Investors 62 58.33 New Zealand, Kazakhstan

* The distance to frontier (DTF) measure shows the distance of each economy to the “frontier,” which represents the best performance observed on each of the indicators across all economies in the Doing Business sample since 2005. An economy’s distance to frontier is reflected on a scale from 0 to 100, where 0 represents the lowest performance and 100 represents the frontier

102 Trinidad &

Tobago global rank for ease of doing business

Indicators T&T Global Benchmark

# of procedures 7 1

# of days taken 10.5 0.5

Cost (% of PCI) 0.8 0.0

Starting a Business


Strength of legal rights index (0‐12) 7 12

Credit information depth (0‐8) 6 8

Credit bureau coverage (% of adults) 75.5 100

Getting Credit


Time take (hrs/yr) 210 50

Tax paid (% of profits) 36.2 18.47

Post‐filing index (audit, compliance, refund; 0‐100)

8.0 99.38

Paying Taxes


Extent of conflict regulation index (0‐10)

7 9.3

Extent of share‐holder governance index (0‐10)

4.7 9.0

Protecting minority investors

Top regional performers Top regional performers Top regional performers Top regional performers

Jamaica Dominica JamaicaTrinidad & Tobago

Antigua & Barbuda

Trinidad & Tobago

Jamaica Trinidad & Tobago

Dominica Jamaica Grenada

Source – The World Bank – doingbusiness.org

Benefits and opportunityWhat does the future hold?

► Improved efficiency and customer experience in the financial services sector

► Affordable financial services for the unbanked and underbanked

► FinTech Hub will be a source of FDI and support diversification

► Provide investment opportunities for entrepreneurs and investors

► Development of country’s talent and job creation

► Development of regulations that attract investors while maintaining the right level of control

► Digital compliance and monitoring

► Leveraging our STRENGTHS to adopt a competitive niche to serve the region. We are not the only ones looking at FinTech.

Innovation & Inclusion

Foreign Investment & Diversification

Work force of the future

Best in class regulation

Sustainable ecosystem

► Economic modernization and improved competitiveness

► Improved experience and transparency of Government services

Doing business better

Moving towards Vision 2030…

What is required for an ideal FinTech ecosystem

Enabling environment

►Presence of accelerators, incubators, co‐working spaces either independent or financial institution sponsored

►Ease of access to local and foreign markets

►Competition from incumbents

Capital access

►Access to capital from VCs, angel capital, government, financial institutions

►Ease of raising capital –developed capital market

Talent availability

►Availability of talent – STEM professionals, entrepreneurs

►Access to foreign talent►Development of talent – University courses, research & development investment

Regulatory/Government openness

►FinTech specific regulations and policies►Access to government funding►Support for start‐ups►Overall regulatory environment – ease of doing business, credit availability, taxation policies

►Regulatory sandboxes►The WILL of Government – vision must be lead by Government

Sustained demand

►FinTech adoption by consumers►Digital readiness in terms of mobile penetration, internet penetration, smartphones

►Demand from enterprises, institutions, SMEs

►Demand from financial institutions

Internationalisation

►Regulatory partnerships for exchange of knowledge, technology and talent

►Establishing FinTech bridges for collaborative growth/ sustainability of FinTech industry

►Forming regulatory framework for regional and global acceptance

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unwelcome disruption or transformational opportunity for ...€¦ · early days still…...

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