digital trade facilitation and emerging technologies · emerging technologies somnuk keretho, phd...
TRANSCRIPT
Digital Trade Facilitation and Emerging Technologies
Somnuk Keretho, PhDDirector, Institute of IT Innovation
Kasetsart University, [email protected]
Somnuk Keretho, PhD 1
ESCAP-ARTNET-ITD Trae Facilitation for Sustainable Development Workshop 2019
Bangkok, Thailand: 23 – 26 September 2019
Topics of Discussion
••
•
•
••
•
Somnuk Keretho, PhD 2
Digital disruption is the change that occurs when new digital technologies and business models affect the value proposition of existing goods and services.
Somnuk Keretho, PhD 3
Digital Disruption / Enabling Environment
• 4G/5G Internet
• Smart Mobile Penetration
• E-Banking
• Interbank Online Payment
Somnuk Keretho, PhD 4
• Social Media / Social App
• Digital Platform:B2B, B2C & C2C e-Commerce
2018
5สถาบันนวัตกรรมเทคโนโลยีสารสเนทศ ม.เกษตรศาสตร์
PromptPay
&
QR Code
Services
for
Interbank
Online
Payment
At any Fresh Markets around the country,MSME can receive payment online.
Thailand tops global digital rankings
Thailand ranks
• No.1 for mobile banking users
• 2nd for ownership for cryptocurrency
• 3rd in mobile commerce
Somnuk Keretho, PhD 6
Global Digital Ranking Report 2019
FinTech
Somnuk Keretho, PhD 7
Emerging Technology
Somnuk Keretho, PhD 8
What is blockchain?Blockchain = a distributed “ledger” (records) of transactions
• Temper-proof/Immutable
• Decentralized control
• Highly resilient
9Somnuk Keretho, PhD
รายงานขององค์การการค้าโลก
พฤศจิกายน 2018
10
Blockchain has the potential to improve global trade significantly.
But the technology alone is not enough,
other challenges (e.g. collaboration, regulations) need to be managed!
A WTO Report (November 2018)
2018
A WEF Report (January 2018)
Blockchain could help increase the global trade
by 1.1 Trillion USD within 2026
Yes,Highly Likely !
Somnuk Keretho, PhD
Commercial
Financial Transport
Regulations
Somnuk Keretho, PhD 11
Blockchain for Trade Finance could revolutionize global trade by increasing 1 trillion USD trade by 2026*
* A report during World Economic Forum 2018 (conducted by Bain & Company, and HSBC), from the base of US$ 16 trillions global trade.
2018
L/C Approval
80% faster
Somnuk Keretho, PhD 12
As-Is vs To-be Model
13
Blockchain for L/C Payment Settlement
14
Bank (HSBC)
Importer(Cargill
Malaysia)
Bank (ING)
Exporter(Soybean, Argentina)electronic L/C &
electronic Bill of Lading (from Bolero network of
ocean carriers), but other regulatory documents
still in paper forms, e.g. C/O (potentially fraud)
Time reduction from 5-10 days to 24 hours
* Reference: Voltron (R3 Corda) blockchain platform for L/C Trade Finance
Payment Settlement
80%faster
Somnuk Keretho, PhD
Use of L/C vs Open Account (1978 – 2013)
15
L/C 20%
Open Account
80%
Somnuk Keretho, PhD
We.Trade & Marco Polo are two example blockchain platforms for Open Account Trade Finance
16
SME’s could access to more finance for trade (with less risks, and better transparency of blockchain)
Somnuk Keretho, PhD
A pilot project to connect Bank-to-Bank L/C Blockchain with Thai NSW (2019/2020)
•
•
Somnuk Keretho, PhD
BC Trade Finance Thai (regulatory) NSW
Bank
Bank
Bank
BankBank
Dept of Foreign Trade (DFT)
Dept of Agriculture
Customs Dept
.
.
.
17
Blockchain for sea freight•
••
Somnuk Keretho, PhD https://www.asiablockchainreview.com/thai-customs-to-use-maersk-ibms-tradelens-blockchain/ 18
19
Blockchain for end-to-end ocean freight transactions
Somnuk Keretho, PhD
Expected Benefits of Blockchain in Thai Customs
Somnuk Keretho, PhD 20
Blockchain for Bank Guarantee
•
•
•
•
Somnuk Keretho, PhD 21
Artificial Intelligence / Machine Learningat China Customs
• Application of automatic image recognition
• The system can detect 120 Iphones (smuggled goods)in the photo (from X-ray machines).
Somnuk Keretho, PhD 22
Somnuk Keretho, PhD 23
Somnuk Keretho, PhD 24
Thank you for your interest
Q & A
Somnuk Keretho, PhD 25