2024-07-15 Payments BB Meeting notes

Review of Action Points:

The group briefly discussed the changes made to the specifications to align with the work done in phase one. Arnold to publish a one-pager summarizing these changes that are currently in development.

B2G and G2B Use Cases Discussion

@David Higgins

@David Higgins presented a document detailing potential scenarios for government-to-business (G2B) and business-to-government (B2G) transactions, focusing on loan disbursements and repayments. He shared a workflow diagram illustrating the interactions between different entities (government loan system, businesses, banks, ID building block, payment building block).

• G2B loans use case flow presented: https://miro.com/app/board/uXjVKysC8uo=/?share_link_id=804094628658

• G2B use case document: https://docs.google.com/presentation/d/13CFzijqw8Tmj0ALRbemOFl4g1QXh7d8Z/edit?usp=sharing&ouid=106444220209984629701&rtpof=true&sd=true

• Florian Greunz inquired about the payment leg between the business bank and the government bank, asking if the system would rely solely on banks or consider other solutions. David Higgins clarified that the payment building block could accommodate various payment methods, including mobile money and bank transfers.

• @Mauree, Venkatesen asked whether new APIs would be needed for these use cases. @David Higgins stated that existing APIs could likely be reused, but some changes might be necessary for other use cases.

• @PSRAMKUMAR asked for clarification on the loan disbursement process and whether the organization issuing the loan was assumed to be a bank. @David Higgins confirmed that the scenario focused on government-to-business loans, but the flow could be similar for other types of loans.

• James Dailey raised concerns about the complexity of Know Your Business (KYB) checks for businesses compared to Know Your Customer (KYC) checks for individuals. He suggested that the payment building block might need to incorporate these checks or define them at a high level.

• @Elie Sawaya questioned the need for differentiating between person-to-government (P2G) and B2G payments, as the payment process itself might not change significantly. @Mauree, Venkatesen and James Dailey highlighted the differences in identification processes for businesses and individuals, emphasizing the need to consider these distinctions.

• @Elie Sawaya shared examples of government loan systems used by customs and taxation authorities, highlighting the potential applicability of the proposed system in different contexts.

• @PSRAMKUMAR discussed about the potential need for a messaging building block or utilizing the scheduler building block for payment reminders.

Additional comments

Florian Greunz

Florian Greunz from MasterCard expressed interest in understanding the role of the payment building block in cross-border transactions. He explained that MasterCard's cross-border services platform could facilitate payments between the government bank and the business bank, offering various endpoints for recipients to receive funds.

Discussion on Regional Payments and Global Payment Challenges

@James Dailey

@James Dailey initiated a discussion on the broader context of regional payments and the challenges of global payments. He suggested that GovStack should consider aligning with initiatives like the digital public infrastructure and explore solutions for cross-border payments.