Digital finance has been playing a very crucial role in helping people around the world where the basic infrastructure is not developed or still is in developing stage. We will discuss about digital finance and how it can bring fresh water to all.
Besides other resources water is the most basic resource required by all living creatures. Water helps life to survive. The fact is that millions of people across the globe still do not have access to drinkable water and a large number of people out of these are children. In African countries digital finance has been playing important role to provide solar energy to large group of households. Water sector is divided into many groups and as a reason the water is not able to reach a large number of people. Digital finance can come to the rescue of these people as digital finance can help in lower the costs, it can increase revenue and the service model will help the low income public to get drinkable water.
Ways through which digital finance can help bring fresh water to all
- Digital payment of water bill:Water bill is an important component in water access. The companies can digitalize the generation of water bill and payment of this water bill. The user does not have to stand in line to do the payment of water bill. One of the water companies did the experiment in African countries, where they digitalized the water bill payment. It was a huge success, as the user was not needed to go to pay the bill. As everyone was paying bill on time, the company generated lot of money and there was no corruption as company directly got the money.
- Government paying the beneficiary directly: Governments have schemes where they want to help the public to get drinkable water. Under these schemes the payment is given to beneficiary to help them. If these payments are done through digital payment, there is less chance that the government official can take his cut as corruption. When the beneficiary is paid directly, there is surety that the beneficiary is actually getting the monetary help which will help him get drinkable water.
- Providing digital credit to get water connections: Small microfinance programs in developing countries can give digital credit to people who want water connection. These water connections can be costly and these credits will surely help these people.Since these are digital credit, the beneficiary gets this amount directly. It has been seen that majority of people in these developing countriesare repaying back this digital credit.
- Water ATMs: There might be places where the beneficiary is not able to get water connection for any reason, at these places the beneficiaries can be provided with water ATMs. Using these ATMs the people can purchase large or small amount of water based on amount of money they have. The payment to these water ATMs can be made digital, so that the beneficiary can pay the amount prepaid or postpaid as per the arrangement with the water company providing drinking water.
These digital finance ways can be used to make drinking water more accessible to everyone across the globe.