1. Agent Network and Cash Management
Partnerships against Poverty Summit, Manila
October 9-11, 2013
Raj Singh-Khaira VP-Fino Paytech Limited

2. Agent Network
Zone Head
State Head
Cluster Head
District Coordinator
(handles ~12 BCs)
Block Coordinator
(handles ~12 Agents)
Agent(services
~750
customers)
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3. Snapshot of our largest geography for
cash disbursement
Disbursement (Rs. Mio)
4,173
3,987
• Total Disbursement in our
largest geography for FY 1213 was ~Rs. 18,192 Mio with
• Peak months touching ~Rs.
4,173 Mio.
2,148
1,161
1,456
1,263
832
193
1,355
720
569
• Agents cash in hand in
range of Rs. 0.2 Mio to 1
Mio
336
Apr-12 May-12 Jun-12 Jul-12 Aug-12 Sep-12 Oct-12 Nov-12 Dec-12 Jan-13 Feb-13 Mar-13
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4. Cash management philosophy
• Centralized fund flow is monitored i.e. all fund flow starts from
HO (Mumbai) and is controlled & monitored from here:
– Cash exposure for Agent/BC (Block Co-ordinator) /DC (District
Co-ordinator) is controlled by having set cash limits for each at
any given time.
– Agent Cash in Hand (CIH) is monitored via MIS from the field and
is validated against auto generated reports (CMS dashboard).
– Periodic reconciliation is conducted with frequencies varying
from 1 week to a month.
– Regular Cash/Transaction holidays ensure system hygiene as
Cash reported by the field during the cash holiday equals Cash in
Bank.
• All of the above are further re-enforced by Cash in Transit and
Fidelity Insurance
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5. CMS framework
• Net cash with Agent
• Net cash = Total Deposits – Total Withdrawals




If the deposits are more than withdrawals, this means FINO’s
money is with Agent.
Since Agent is holding FINO cash with him, his outstanding amount
will be displayed as negative balance.
If the withdrawals are more than deposits, this means Agent is
paying out to the customers.
FINO is liable for the withdrawals given by the Agent, his
outstanding amount will be displayed as positive balance.
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6. CMS framework Accounting Entries
Debit
Credit
Customer Credit/ cash deposit
Agent to BC Transfer
Agent / Member
A/c
BC
BC Cash deposit to Bank
Bank A/c
Customer Liability
A/c
Agent
Agent / Member
A/c
FI (Financial Inclusion)
EBT (Electronic Benefit Transfer)
E-Pay Fund received
E-Pay uploaded in FTS
Daily Fund Transfer for Disbursment
Daily disbursement
Cash Deposit the bank account by
agent
Bank A/c
Incoming Control
A/C
Agent / Member
A/c
Customer Liability
A/c
Bank A/c
Incoming Control
A/C
Customer Liability
A/c
Bank A/c
Agent / Member
A/c
Agent / Member
A/c
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7. Payment Cycle
For
projects, government
provides beneficiary
list
E-Pay Order is
received by
Central
Operations Team
Finance Operations confirms
the physical receipt of Funds
to FFF (FINO Fintech
Foundation) account
CMS team verifies the cash in hand
with the BC/DC/Agent to whom the
funds are to be remitted
Basis the existing cash in hand &
the limits of the
BC/DC/Agent, calculates the fund
transfer amount
Funds transferred
to DC/ BC
Funds received
by Agent
Daily Funds movement
between the DC/BC/Agent is
monitored basis the Cash
movement tracker
E-Pay Order is uploaded by
Transaction Team basis URN
of customer and mapped
Agent’s TID
BOD downloads
the credit balance
to update the
customer account
balance
Field POT
Device
EOD
BOD
EDPS /
TDPS
EOD uploads the
transactions done
on field through
POT Devices to
reflect in customer
account
Actual Agent disbursment is
monitored through the CMS
dashboard reflecting the CIH with
the Agent.
In case of exceptions if the Agent
pays the beneficiary without
performing txn, the same is
marked in the acquaintance
sheet & later txn is processed
Cash Remitted/E-pay Order = Disbursement + CBM + MM + CIH + CIB
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8. Monitoring Cash handovers
Cash Movement Report is to monitor the cash exchange in the field. This helps DC to track daily cash movement between
DC, BC & Agent. The DC can also monitor the frequency at which the BC is meeting his Agent.
Positive balance under the BC heading indicates that the BC has handed over cash to the Agent.
4th May 2011 BC GAJANAN KABIR Handover cash amounting to Rs. 290974 to Agent(TID 10461301)
In above report Agent Collected cash form BC for disbursement , so his balance reflects as –ve Cash.
Negative balance under the BC heading indicates that the BC has handed over cash to the Agent.
4th May 2011 BC GAJANAN KABIR reconciled the manual payments details amounting to Rs. 290974 to Agent(TID 10461301)
In above report Agent provided details of manual disbursement, so his balance reflects as +ve Cash.
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9. Monitoring daily CIH
CMS Dashboard enables the HO to monitor daily Cash in Hand of the Agent /BC & DC. This data is used by
Central Team & field Team to check & monitor the daily cash position. POT Settlement details are also
availed in this report . This is basically net float report.
Cash In hand with Agent in below report  -3133
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10. Transaction Holiday
• Transaction Holidays – Conducted once a month in all
transacting Districts:
• At an agreed time and date all pots are locked from doing
any transactions.
• Field deposits all Agent/BC/DC cash into the FFF pool
account – verified by Operational Finance Team.
• Backend Recon team generates a report tally up the FTS &
customer card balances.
• Pots are unlocked to commence transactions.
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11. Thank you