Great article and it's helped me understand what's meant by the National Financial Switch. In recent times, and through yours, and others, posts on here, I've come to understand how archaic India's current banking system is and the need for change. This is what got me interested in TSN in the first place.
My spin on the whole India situation -
I once read a book called Shantaram, written by Gregory Roberts - a bank robber who escaped Pentridge prison and fled to India. A great read for anyone who hasn't read it. In it he touched on the extent of the Indian Mafia and the black market, which has been highlighted by various media reports over the ensuing years. I've also noted news reports that state the Modi goverment's intention to clean up corruption and bring his country into the 21st century. I see the wheels are in motion and there's probably no better way than the National Financial Switch.
A few years ago I became very interested in the new material - graphene. I studied up on this and found that Indian scientists are at the researching forefront of many companies, and universities, that are developing this new wonder material. Further to that I've discovered that many Indians are at the forefront of many technologies, both new and old, and it wouldn't surprise me to see major scientific breakthroughs begin to happen both in India and by Indians in general. Please bare with me, I'm getting to my point.
Now I don't mean to spruik the company NSL, an Aussie iron ore miner in India, but they made a very interesting announcement today regarding their ties with both the Australian goverment and the local Indian government of Andhra Pradesh. NSL signed an MOU with that local government to supply 8million tonnes per year of ore. Part of the agreement is that NSL employ almost 3000 local Indians and, coupled with the Australian government, they will help educate those locals on mining techniques. Not far from NSL's mines the Andhra Pradesh government plans to build a whole new city in the Kurnool district, sorry, forgotten the name, but this will employ further thousands. Couple this with India's intention to begin major infrastructure projects such as recently announced rail projects etc, we know that things are really starting to go ahead. This new city will also become a major technological hub - more jobs. With all this going on, I'm starting to see the whole of India being employed very soon.
A natural progression would mean that employees are paid via electronic transfer. Sure, ATM's will play their role, but all those other product lines that you mentioned Tony, such as MPOS, will come more to the fore as the Indians become busier in their new-found capatalistic lives. I'm sure the Mafia and other black market organizations will always be around but their slice of GDP will deteriorate as the National Financial Switch systems take over.
It may be a year or two before all these projects really get rolling but I'm excited to know that I have shares in a company that are right there at the coal-face of a banking revolution.
I don't in any mean to upramp or downramp TSN, just letting you know why they have my attention.
GLTA
Rhama
TSN Price at posting:
2.0¢ Sentiment: Buy Disclosure: Held
