Part II of the Zambia Financial Education Tour!

Cash Liquidity - one side of the equation...

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Picking up from where we left off...One of the things that came out of the Kasama training is that the mechanics of mobile money and the agent network are a little difficult to wrap one’s head around. I will be dedicating one of my next posts to the mechanics of mobile money and the agent network, but since this posting was about our trainings I thought I would include one of the diagrams I ended up drawing during our trainings to show how an agent manages his/her float or cash liquidity. 

The other part of this equation is managing the funds in an electronic bank account so that he or she can transfer on behalf of a client. I mean in reality, the agent is like it's own little bank...an agent must ensure that it has enough cash on hand to meet customer demand for it (for money transfer or loan pay outs) while at the same time having enough funds in an electronic account to transact (really, transfer) on behalf of a client to a third party or savings account (i.e. money transfers, or Consumer to Business bill payments, loan repayments or air time purchases). 

There is a constant deposit and withdrawal of money, and shifting of money from cash in hand to electronic in this agent model. Not being an expert in mobile banking (yet?), the biggest issue an agent faces is not having enough money for payouts, with the second one being not having enough electronic funds in his/her bank account to transact for clients. To this end, they are constantly converting cash funds into electronic or vice versa. As I mentioned in part I of my blog post on the topic, the financial education trainings also included educating the staff of Vision Fund Zambia, a microfinance institution, on how clients can use Zoona to receive and repay their loans, as well as receiving feedback on the challenges clients had with the platform. You may already be able to guess what I am going to say...but the more you think about it, the more you realize how much stress loan payouts can exert on an agent's liquidity, especially if loans are disbursed in groups. I will undoubtedly be addressing ways to combat these challenges during my time here in Zambia, but needless to say it is one of the big hiccups to growing mobile banking/payments too quickly. This is even more true when you are trying to support small and medium businesses as agents, where access to working capital is severely limited, if not non-existent.

I am happy to report that the trip also gave me an opportunity to do some some wonderful sight seeing in the Northern province, thanks to our weekend layover there. We were told that a trip to Chishimba falls could not be missed and as you can see from the pictures, they were right :) The falls certainly did not disappoint and we were some of the only people there....well, that was at least until we stumbled upon a church choir who was recording in front of the falls.

Jackie posing in front of the sign for the falls.

Mutumuna falls, the first of the three

Mutumuna, MEDA and Me - Up Close and Personal

Seventh Day Adventist church choir performance

The church choir was gracious enough to let me snap a million photos of them and even take a few recordings that I will try to upload soon...well, all for the small fee of taking a Mizungu picture with every one of the male members you see to the right. Not sure why I have that kind of appeal, especially with the beautiful nature in the background, but I guess I am the exotic thing in the remote area of Zambia. Even so, such a small price to pay for such a gift.

Jackie and I giving our best action shot at Chishimba

Ancient Rock Paintings of Kasama

The other must see in Kasama is the ancient rock paintings.  I was initially drawn to see this site after reading in the Lonely Planet that "Archaeologists rate these paintings as one of the largest and most significant collections of Ancient Art in Southern Africa." Sadly, the paintings (who I suspect are not all that well visited) are starting to fade and the tourism infrastructure leaves a lot to be desired. In fact, our guide didn't feel see the point of taking us to any more than two of the painting areas since there were pictures of the paintings in the visitor center and it was pretty hot out. :) After having traveled around a bit, I am now very much aware how much I had taken for granted the tourism infrastructure which is commonplace in the U.S., Canada and Europe.Had I not been so rudely interrupted by a massive wasp sting that left me writhing in pain, I was hoping I could press our guide into showing us more of the painting sites. Oh well....

Here's a few more pics from our return back to Lusaka. Until the next post, enjoy!! xxo Jenn

Jackie, Flat Stanley (of Children's book fame) and I getting ready for the trip back to Lusaka.

After removing death grip from the plane arm rest, I was finally able to snap a photo of the view from the flight.

Patience is a virtue that I am working on…

Baboon in Lake Nakuru, Kenya

Maybe I can place some of the blame on my investment banking roots, but I know that even apart from that training, patience is a virtue that I have in short supply for most things (somehow this impatience does not extend to my ability to wait for hours to stream TV on our slow internet connection...go figure :)). During my MEDA orientation we discussed a lot about culture shock and adapting to being in a new environment. Although I was definitely concerned about living in Africa for the first time ever, I was confident that my previous experiences abroad would help me along in this process. This is of course not to say that I don’t have my moments when I am missing my loved ones and my life in New York/Washington DC, especially being away while friends and family are dealing with turmoil in the aftermath of Hurricane Sandy. I also am now equipped with some wonderful strategies to cope with homesickness and culture shock that I learned during the MEDA orientation, which certainly adds to my confidence.  Nevertheless, what I am writing about today is the thing I was/am most concerned about (even back in that conference room in Waterloo) during this experience - the adjustment required when working in a different culture.  

Though I have had some experience in this area (working on project finance deals in Mexico, traveling to Russia to do financial and organizational capacity assessments for the SEEP Network; working remotely to gather indicator information from partners in Africa and Latin America, or doing online webinar trainings for microfinance associations) I have always found it the most challenging of development work. Whether it is coordinating different work styles, working with different time lines, terminology, wait times or simply put, work hours, it takes a while to figure out how things run or what is appropriate work behavior in the country you are working in. About me - I am definitely used to a “time is money” mentality, meaning that I am used to running around in crisis mode, all the while trying to maximize my efficiency... mean, I worked at a firm where the CEO wrote a book on how paperclips were wasteful.  Since arriving here in Zambia I am very much of aware of the clash of work cultures I am experiencing. Some of things I have noticed: #1) it is not uncommon to have to  ask someone to do something several times before they will actually do it. I don't think this is actually considered rude, though, which is nice. It does make crossing things off on your to do list a little difficult, though :). #2) Face time is also not a requirement here...therefore it is also not uncommon for people to make their own work hours, as long as they get their work done (although deadlines don't appear to be that formal either). #3) Healthy fear of the boss doesn't exist here - people don't seem to be intimidated or alter their behavior based on their manager's presence. #4) There is a more laid back sense to things getting done...you almost never see anybody rushing around to get something done. In fact, I think they find me quite strange since I do that already quite frequently here. Simply put, if something doesn't get done today, there is always time for it tomorrow. And finally #5) people don't appear to get flustered, frustrated or worked up when something is done incorrectly. They simply just say oh well and move on from there. I often get stressed out when I am the one finding the errors in things since I am the newest person here and probably the least qualified at this point to do so. However, people here would just say "good thing we have you" and move on, which just may be the most healthy approach to life there is instead of stressing out about it :)

Other work differences I have noticed - generally, customer service in Zambia is very different than in the U.S. Here, you often enter a business and can wait around for a long time, watching people make coffee, staple things, or sit at their desk doing nothing, before they will  ask you if you need assistance. For instance, the other day I walked into the bank to get a check cut and ended up standing in the lobby for about 20 minutes since the people at the desks in the front of the bank would not engage me.  I finally had to approach a teller to ask if there was anyone who could help me with a bank check. When they told me the branch manager had gone and no one else could help me, and was told that the Bank Manager wasn't there and nobody knew where she was, so I needed to go to a different branch. Compared to many banks in the U.S. where the second you walk in, there is either a sign up sheet or a person to greet you and ask you if you need help. It could just be that many of these services are still luxuries and so it is not like the businesses are competing for customer attention.  I think customer service is understood as tending to a customer's needs, but it certainly does not mean approaching someone in a lobby to ask if they need help when they walk into an office.In fact, the mentality is much more like you should be thanking the person for their help, which definitely may take some getting used to.[1]

For me going forward I think I will try to take a step back and maintain a sense of perspective, especially when I realize any of these things are happening. Come to think of it, the work culture clash from the U.S. to Zambia is probably not unlike the work culture clash between the U.S. and Italy, France or Spain.  People aren't living for their work, but working so they can live. Suffice it to say that apart from the material knowledge related to mobile banking, I am looking forward to growing my patience in the months to come!

Do you have a good way of dealing with cultural work differences that you want to share?

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[1] On a side note, I found out that to have a bank account here they charge you $30/month and still pay you minimal interest. Odd, since capital seems to be in short supply.