At a time when neither the government nor the private sector in South Africa were clear about the obstacles to reaching the base of the pyramid with financial services, FinMark Trust demonstrated how an effective market facilitator can develop an evidence base to inform policy and approaches.
Upon realizing that rural community water projects were often unsustainable due to poor accounting systems, Grundfos conceptualized a pay-as-you-go (PAYGO) model that improves community water management by increasing transparency and reducing the reliance on cash.
CGAP's revised guidelines for financial inclusion funders reflect a shift from an institution-building approach to inclusive finance to one that is rooted in the complexities of broader market systems.
Shifting to a market systems approach has many practical and operational implications, especially around staffing, relationships, monitoring and evaluation, and coordination. USAID is one organization that is implementing these shifts and is sharing some lessons learned along the way.
A recent survey of financial inclusion funders revealed that a majority plan to increase their focus on digital financial services in the future. What should funders know when considering support of digital financial services?
In a market, less information equals more risk, to both providers and consumers. Donors can play a role in closing information gaps and changing perceptions of risk. What types of information are relevant? How does information alter incentives?