 Welcome to the Fiji Symposium 2019 in Cairo, Egypt. We're very pleased to be joining the studio today with Mr. Luis Lava Martínez, who's the Director General of Regulatory Development for the National Banking and Securities Commission for Mexico. Luis, welcome to the studio. Thank you. Thank you very much for your invitation. Now, let's talk a little bit about the new Fintech law, which I believe has been passed in Mexico. What are the main features of this legislation and how will it enable the goals of digital financial inclusion? First of all, it's a law that is unique in its type. It brings together to the regulatory perimeter different phenomena. The first one is e-wallets, e-payments. Also, it regulates crowdfunding in three types of crowdfunding, peer-to-peer equity and royalties, which is a very unique specific type of crowdfunding in Mexico. Also, it regulates the sandbox, one sandbox for regulated entities and another sandbox for non-regulated entities. It also establishes the regulatory framework for APIs for the complete system. And also establishes all powers for authorizing, for sanctioning, and for regulating this whole sector as a whole. Also, it brings to the regulatory perimeter when financial entities deal in virtual assets. So, it's a very holistic approach towards the Fintech phenomenon. As we see it, this law, it's unique because of its approach. But it also states the road ahead for Fintech in Mexico. Years ago, we started seeing that there were emerging platforms, but they didn't have the right ecosystem, not only for existence, but for going ahead. So, this law, it's general in nature, it's a principle-based law. And it's an attempt to regulate now, but also to establish the foundations for what it's to come in the future. In this sense, we see that the law can establish very good foundations for financial inclusion through e-wallets, which could be a first step in the latter for financial inclusion, for example. Or, inclusively, in terms of completion of making a complement to the market, in terms of lending in the lending market, in terms of crowdfunding and the potential of attending certain people that do not have nowadays a credit from a bank, for example. Now, you've taken the time to be here at the Fugies and Posey. I wanted to find out what are the main takeaways that you hope you'll get from this? Oh, many, many, many. I believe that there are many things that come together across and intersect with what we are doing, for example, in terms of cybersecurity. You don't only need to develop a good product in terms of the customer experience, but it is needed also to have a robust framework of security around it, because it's a matter of if you trust what you are trying to develop. There's a good discussion outside in that matter, and that's one thing I take away to Mexico. You touched upon it, but what is the link really between the fintech sector and digital financial services in Mexico? You have links all around, all across the value chain. For example, in terms of the onboarding of clients, fintech has new solutions that traditional entities don't have, for example. That's the first thing. In terms of the products, there are certain products that are competing directly with traditional products, and there are products that are complementary. In the back, there are also new technologies that fintech are bringing that banks, for example, or that other incumbents are trying to get also in their processes. You have lots of points of contact between fintech and the financial sector as such. Finally, a question that I've been asking a lot of people have been sitting in that chair is, what do you think it will take for the world's poorest people to prefer digital financial services over cash? Will digital financial services be enough for this to happen, do you think? That's a good question, because it's a multifactorial aspect. First of all, you have to think in the client. It is a matter of the customer experience. It's not the same to send someone money in Valize it than to pay you for a chocolate you just sold me. The first thing is, it has to be available. It has to be low cost. It has to be well received by you. It has to have little fractions. It has to be easy to use. That's just one part of it. The other big part of it is, you need a cultural change, because you can have a very good way to pay you through a self, but if in my culture I prefer to have the money in my pocket, then it's going to take time to teach people that it is best, that it is cheaper for them to make this type of payments, for example. It's not just a matter of having a good product and all the things that need that product to run correctly, but it is also a matter of cultural change. And do you think that change will come? Yes, yes, yes. When you start making things, thinking, with a technological point of view, the growth is exponential. It is marvelous how people nowadays are lipped with the cell phone in their hands. In Mexico, for example, there is a statistic that people see that there are cell phones like six hours per day, for example. There are people that prefer to go to the dentist than to go to an office, to a bank office. So the mind is changing. There's another set in the mind, and hopefully it's not a matter of many, many years ago to break this through. And the younger generation, of course, will be hopefully driving that change. And in terms of regulation, what's regulatory atmosphere, what regulatory landscape do you think will promote this? There are at least two ways to promote it. The first thing is to create good environments for this. And what I mean is to create an ecosystem that is certain for everyone, that the payment is going to flow correctly, that my money is going to be there, that I'm not going to get intruded. So you have to build trust around the system. And the second thing is that there are other mechanisms in terms of policy to push people towards using digital fines. For example, you can have tax discounts, you can have certain discounts or certain ways to push public towards paying them, for example, their wages, making the systems and government programs to flow through digital channels. So they're also not just in the ecosystem, but the government using that ecosystem. That's a very good start. What role can governments play to enhance the usage of digital financial services at the national level? The obvious one is that the government should go digital. That's the first thing. Go digital in all aspects. For onboarding people to national registries, from onboarding people to programs of assistance programs, and to do their payments through digital channels. That's the very first thing. And Mexico is making substantial advances, GOB, MX, GOB, MX as well, I understand, is definitely making inroads in that direction, isn't it? Correct. We have APIs for government information. And so it is a quite change in parroting. And the other thing is to establish by policy certain measures in order to make cheaper the transaction scouts for going digital. Well, thank you very much for joining us in the studio, Luis. Thanks for those valuable insights, and hopefully we'll catch up with you against some stage in the future. Of course. Thank you for your invitation. Great. Cheers. Great to be here.