Responsible Finance Forum

Insights

Featured Publications

G20 Argentina 2018 Priorities Paper

Under its G20 Presidency’s theme of “Building Consensus for Fair and Sustainable Development” Argentina has released the GPFI Priorities Paper, which identifies the priorities for 2018. The document focuses on the role of digitisation to financially include the underserved population, particularly those in the informal economy. This agenda has been designed to be relevant for both developing and developed countries. To that end, under Argentina’s G20 Presidency, the GPFI will deliver a […]

Digital Financial Services in Nigeria: State of the Market Report 2017

The notion supporting digital financial services (DFS), mainly through ubiquitous mobile devices as a magic bullet for enhancing access and utility of financial services is still in its nascent stages. Through research engagements, the various dimensions of Nigeria’s financial inclusion conundrum are the primary focus of the Sustainable and Inclusive Digital Financial Services (SIDFS) Initiative hosted at the Lagos Business School. By generating an evidence base, we aim to provide […]

Digitally Delivered Credit: Consumer Protection Issues and Policy Responses to New Models of Digital Lending

Across the globe, we are seeing how the rapid expansion of digital financial services (DFS) is driving the growth of inclusive finance. Policymakers and regulators are recognizing the importance of DFS for financial inclusion, as highlighted in the G20 High-Level Principles for Digital Financial Inclusion: “While tremendous gains in financial inclusion have already been achieved, digital financial services, together with effective supervision (which may be digitally enabled), are essential to close […]

Cashless Cities: Realizing the Benefits of Digital Payments

Cities account for a large proportion of the global population and its economic activity. Today, over half of the world population lives in cities. By 2050, this number will increase to two-thirds. Currently, over 80% of global economic activity takes place in cities and it is expected that the vast majority of future economic growth will come from cities, largely spurred by digital payments. This study is unique in that […]

2017 UNSGSA Report: Financial Inclusion Transforming Lives

Financial inclusion is now firmly established as a powerful tool to improve lives and strengthen development. Each year, the Secretary-General’s Special Advocate for Inclusive Finance—Queen Máxima of the Netherlands—publishes a report that looks at what financial inclusion has achieved and where it is going. The report discusses the contribution SMEs have on the economy – half of total employment and a third of the GDP. However, their opportunity for growth is […]

Equitable Growth through Financial Inclusion: Bhutan Economic Forum for Innovative Transformation

Bhutan’s approach to development has always been founded on participatory and inclusive principles, driven by the country’s unique development philosophy of “gross national happiness”. Following this tradition, the Bhutan Economic Forum for Innovative Transformation (BEFIT) — held in Thimphu, Bhutan from May 24-26, 2017 — was inspired by His Majesty, King Jigme Khesar Namgyel Wangchuck’s vision that Bhutan’s successful democratic transition must be accompanied by successful economic transformation. Financial inclusion […]

Agent Network Accelerator Research: Pakistan Country Report September 2017

The Agent Network Accelerator (ANA) project is a four-year research project in the following eleven focus countries, managed and conducted by MicroSave/the HelixInstitute of Digital Finance. It is the largest research initiative in the world on mobile money agent networks, designed to determine their success and scale. Pakistan is among 11 African and Asian countries participating in this research project, selected for its contribution to the development of digital financial services globally. […]

Voice of the Client: Cambodia 2017

This report presents the findings of the Voice of the Client project in Cambodia, a ground-breaking initiative in the microfinance industry developed by Hivos and MIX to leverage mobile technologies as a means to analyze the level of satisfaction of clients with the suite of products and services offered by their financial service providers (FSPs). The analysis is based on data related to client protection principles which were collected from […]

Digital Financial Services: Challenges and Opportunities for Emerging Market Banks

The digital transformation that has upended industries from retail and media to transport and business-to-business commerce is now sweeping the financial services industry, through the wide dissemination of digital financial services. This was inevitable, as ubiquitous computing power, pervasive connectivity, mass data storage, and advanced analytical tools can easily and efficiently be applied to financial services. After all, money was already extensively (though not exclusively) created, used, stored, processed, and […]

Data Analytics and Digital Financial Services

This is the third handbook on digital financial services (DFS) produced and published by the Partnership for Financial Inclusion, a joint initiative of IFC and The MasterCard Foundation to expand microfinance and advance DFS in Sub-Saharan Africa. The first handbook in the series, the Alternative Delivery Channels and Technology Handbook, provides a comprehensive guide to the components of digital financial technology with particular focus on the hardware and software building […]

Latest Resources

LEVERAGING INCLUSIVE BUSINESS MODELS TO SUPPORT THE BASE OF THE PYRAMID DURING COVID-19

The COVID-19 crisis is expected to roll back some of the progress made against global poverty over the last two decades, with the greatest impact on individuals at the base of the economic pyramid. Inclusive businesses that expand access to goods, services, and livelihoods for these individuals are responding to the crisis by reorienting and adapting their inclusive business models and operations. This note highlights seven actions that companies are […]

TECHNICAL NOTE: RISK-BASED CUSTOMER DUE DILIGENCE | REGULATORY APPROACHES

Regulators face a challenge in balancing policies on anti-money laundering and combating the financing of terrorism against placing the least burden on outreach to the poor and unbanked. This Technical Note provides guidance on using risk-based approaches to customer due diligence (CDD), supported by examples drawn from around the world. There are three regulatory options for employing risk-based CDD: Principles-based approach Single low-risk threshold Framework of multiple risk tiers. Each requires regulators […]

THE VALUE OF PAY-AS-YOU-GO SOLAR FOR MOBILE OPERATORS

The mobile industry and pay-as-you-go (PAYG) solar companies are natural allies. The rapid growth of the PAYG model has been fuelled by mobile money technology allowing low-income households to make payments for their solar home system. In return, mobile operators expect to get more value from PAYG clients by increasing and diversifying their mobile usage, but this has hardly been demonstrated so far. Quantifying the value of these partnerships for […]

GUIDANCE ON PROTECTING CUSTOMERS DURING COVID-19

The impact of COVID-19 on businesses is acute, forcing them to deal with unprecedented financial and operational stress. For CDC investees, this will have immediate implications for consumers in some of the most underdeveloped economies and financially vulnerable populations. Effects in emerging markets are expected to be wider and more severe, so while regulators and governments continue to respond on a daily basis to support their economies, companies will need […]

PAYMENT ASPECTS OF FINANCIAL INCLUSION IN THE FINTECH ERA

Fintech can spur financial inclusion by facilitating payments, but it is not a panacea and comes with risks that need to be managed, concludes a report by the Committee on Payments and Market Infrastructures (CPMI) and the World Bank. Financial inclusion starts with payments, which act as a gateway to other services, such as savings, credit and insurance, argues the report. At the heart of payment services are transaction accounts […]