The widespread availability of formal financial services to citizens is a defining feature of any developed economy today. More than ever, banks rely on dependable internet connectivity to perform their digital services.
The Bangko Sentral ng Pilipinas found that although the number of Filipinos with access to financial accounts has increased rapidly in recent years, 44% of the adult population still did not own bank accounts in 2021. Over 34 million people don’t have access to a financial account, making it difficult for them to save and earn interest; send or receive money; and conduct other basic financial transactions.
Satellite broadband improves financial system access
The Philippines, which consists of more than 7,640 islands, is a beautiful country known for its stunning terrains and lush landscape. Moreover, it is a country that is challenging to connect using conventional telecommunications technology.
Putting fiber cables in such dispersed areas comes at a high cost and presents significant logistical challenges. The monsoons are an additional difficulty. Damaged wires and towers cause yearly outages due to this natural occurrence. When it comes to providing high-speed internet to remote or underserved areas, satellite broadband is the most affordable and time-efficient method.
Kacific has created a satellite-based alternative to fiber connection that is reliable, high-speed, and affordable for rural and remote areas. The first Ka-band High-throughput Satellite, Kacific1, was launched in 2019 as a geostationary satellite. Kacific has concentrated spot beams that cover all the remote areas ā from Batanes to Palawan and even all the way to Sulu. These spot beams are high power, resulting in availabilities between 99.5% and 99.9%.
Kacificās Ka-band technology provides higher output in small 1.2-m antennas or terminal kits, making it simple and fast to install. This also means higher download and upload speeds that can provide faster and more reliable internet performance.
Additionally, Kacific can mitigate the effects of rain fade through diverse uplink availability, having two local teleports located in Subic Bay and Clark as its backup sites to ensure that connectivity remains available even in inclement weather. Modern technologies such as adaptive coding and modulation (ACM), signal pre-distortion and uplink power control are used to increase the throughput and overall availability, and, ultimately, improve the quality of service and user experience.
Satellite Internet has a history of reliable data security, which is especially important in the banking and investment industries. The public and private sectors can contribute to improving access to financial services by expanding connectivity in rural areas.
Internet Service Providers (ISPs) can help people in their communities gain access to digital finance by working with Kacific to provide “last mile” connectivity solutions for banks and cash agents.
TBGI, a local ISP of Kacific, offers unlimited plans starting at ā±5,940 in the Philippines. Terminals are offered for a one-time terminal fee of ā±34,000 or ā±52,000 depending on the size of the plan. A one-time installation fee of ā±10,000 is charged by distributors to install the terminal kit in a specific area.
Security for financial institutions
Natural disasters are common in the Philippines. This can cause immense interruption to communications by knocking out phone lines and cell towers and by damaging fiber-optic infrastructure. However, communities can still access banking and other services with satellite broadband.
In the event of a disaster, when business continuity is crucial, it is imperative that customers have access to their funds and can make withdrawals from ATMs and use point-of-sale systems at all times.
When regular terrestrial and mobile broadband connectivity is interrupted, Kacific Enterprise Backup ensures that businesses can continue operating normally. Installing Kacific’s satellite as a hot backup site for financial institutions is simple and inexpensive. Acting like an insurance plan for the primary connectivity, the backup solution ensures that the bank will be fully operational 100% of the time.
Satellite internet broadens the reach of financial services
Kiram Irilis works as a School Division Superintendent for the DepEd Division in Sulu. The ATMs at their office connect to the satellite internet through a host computer and send the data to the nearest data center for processing of financial transactions. This ATM can be found in the DepEd Building in Jolo, Sulu.
āBefore installing the internet of TBGI powered by Kacific for our ATM, we needed to go to the nearest Land Bank ATM which is 8 kilometers away from our office just to withdraw our salary. In addition, the said machine is frequently in offline operation mode. Now, we donāt experience offline mode when using the ATM, we donāt have to take long walks just to withdraw money, and we are also eased from the long queue, especially during payday,ā Irilis shared.
Improved internet connectivity and more financial inclusion
Former President Duterte of the Philippines signed Executive Order 127 (EO127) in March 2021, opening the door for more companies to offer satellite broadband services to rural areas. Over 5 million previously unbanked Filipinos have opened transaction accounts with Land Bank because of this initiative, which is designed to coincide with the launch of the country’s new National Identification System.
Meanwhile, in his first State of the Nation Address on July 27, President Ferdinand “Bongbong” Marcos Jr. highlighted the government’s endeavor to expand Internet access throughout the Philippines. His ‘Broad Band ng Masa’ initiative will help bridge the digital divide by providing access to the internet in the Philippines’ most remote and underserved communities.
Satellite internet provides a lifeline for rural areas, paving the way for the growth of fintech. With the collaboration of government and the private sector, connecting rural customers and small-island economies is possible.
To learn more about reliable, affordable, and high-speed satellite internet, contact TBGI at 0917 583 7971 or learn more on www.tbgi.net.ph.
For more information on Kacificās satellite technology, visit www.kacific.com or contact sales@kacific.com.
Apply to be a Kacific Authorized Distributor today, visit https://kacific.com/distributor-network to know more.
