Extraordinary Endeavors in Turbulent Times: Asian Innovation, Inclusion, and Impact during COVID-19

ASIA BUSINESS COUNCIL HONG KONG UNIVERSITY OF SCIENCE AND TECHNOLOGY 8 1 Yoma Group (Myanmar) Extraordinary Endeavors in Turbulent Times Both Pun and Jones commented that they saw the promotion of financial inclusion among female agents as an extremely meaningful endeavor. First, Wave Money provided an additional source of income for agents during the COVID-19 crisis. Because mobile financial services providers were classed as an essential service by the Myanmar government, agents did not have to shut down their shops. In many cases, an agent would have to shut down other businesses such as mobile phone retail but could keep transferring money for their customers. In 2020, Wave Money paid $65 million in commissions to agents across the country. Second, Yoma Bank is able to offer unsecured loans to Wave Money agents by compiling a simple credit score using data on their earnings. About a third of Wave Money’s agents have taken loans, which can be spent on improving their businesses and purchasing commodities. Although some agents have bank accounts, Wave Money did not find a single agent who previously had a loan with a bank. It is likely that banks did not consider them loan-worthy because they essentially ran their businesses through cash and their own logbooks. In total, 50,000 loans have been distributed, amounting to more than $50 million. In fact, the commitment to women’s empowerment is something that can be found in the wider Yoma Group. While Pun acknowledged that almost all business leaders at the CEO level are men, he said that this is something he wants to address and see whether unconscious bias has happened. Yoma is managing its next-generation leaders and has identified around 30 future leaders every year for a Leading The Yoma Way program. A majority of these leaders are women, and the program will provide leadership training, a peer-group support system, a mentorship program, as well as one-on-one executive coaching. Future Outlook In terms of the future, Wave Money will continue to invest in its technology systems and promote digital education, since cybersecurity concerns and the lack of digital literacy continue to be risks and barriers to business growth. The company has also submitted an application to the central bank with hopes to operate international remittances by 2021, focusing on a few key markets such as Thailand, Singapore, Malaysia, South Korea, and the Middle East, where the Myanmar diaspora is concentrated. Wave Money is also excited about the partnership with Ant Financial and expects final regulatory approval shortly. Having said that, to Pun, with international partnerships there is a need to be sensitive to an increasingly complex geopolitical environment. “I have a lot of Japanese partners in our businesses and also a lot of Western partners like Norwegians, Americans, and of course Ant is Chinese.” Pun opined that Myanmar is trying to be friends with everyone and benefit from the dynamics of everyone, Importantly, Wave Money also served as a trusted partner of the Myanmar government in the fight against the virus. When the government released its COVID-19 Economic Relief Plan, mobile financial services were documented as an essential service.