LIMA, Peru–The World Council of Credit Unions is reporting that the Norandino Savings and Credit Cooperative (COOPAC Norandino) has become the first credit union in Peru to start a digital transformation project that seeks to increase financial inclusion through the use of digital channels in several rural and peri-urban areas in the northeastern part of the country. 

To date, COOPAC Norandino has more than 19 years of experience in providing rural finance to more than 40,000 members located in the regions of Piura, San Martín, Cajamarca and Amazonas, WOCCU reported. 

Service Introductions

WOCCU said that since 2017, the credit union has been implementing innovative digital financial products and services, including:

• The Norandino debit card, with the Mastercard brand. 
• ATMs in four of its offices and the use of ATMs nationwide.
• Online banking services.
• A mobile banking app, Norandino WalletOn, which WOCCU said is a network of correspondent agents in communities where other financial entities do not reach.

Challenges Continue

“However, despite those achievements, COOPAC Norandino still faces challenges to increasing the use of its digital platforms in areas where internet or cellular signals are unstable,” according to WOCCU. 

The World Council added that since 70% of its members are farmers who live in these rural areas, COOPAC Norandino has launched a digital transformation plan that will seek to: 

• Consolidate and deepen the digitalization processes that are already underway, expanding their coverage
• Actively promote the inclusion and financial/digital culture among more members.
• Strengthen the digital structure of COOPAC Norandino through training and technical assistance.

The Financing

According to WOCCU, the process will be co-financed by the Spanish organization COFIDES, with the first phase of the project directed by Moventi Group (PERU APPS SAC), a company that has already carried out various digital transformation plans across various financial entities.

WOCCU said additional goals include evaluating Norandino’s level of digital maturity and developing a strategic plan for digital transformation with a tracking and monitoring system. 

“The overall vision is to promote technological advancement that allows COOPAC Norandino to become a digital benchmark for financial inclusion in the region.”