Cloves, Indonesia. Photo by Herwin Gunadi, 2016 CGAP Photo Contest Photo by Herwin Gunadi, 2016 CGAP Photo Contest

Donors and Investors

Over the past few decades, public funding for financial inclusion has helped to build an industry that now attracts private funding, both international and local. By 2016, funder commitments to financial inclusion had reached a historic high of $37 billion.

Yet, today many funders have begun to reorganize their work in relation to the United Nations Sustainable Development Goals (SDGs) and to articulate ways in which they can better leverage the private sector. Because many funders face competing pressures both in terms of capacity and the funding to deliver on the SDGs, there is an increasing risk of loss of focus on and visibility of financial inclusion and that the deep technical expertise required to build inclusive financial systems will be diluted. On the other hand, this is an opportunity to harness financial inclusion as an enabler of other development goals and to work across different sectors to achieve outcomes that address the needs of a variety of stakeholders. 

Understanding how the financial inclusion sector is evolving is challenging for donors and investors alike. What role can they play in an increasingly complex landscape? What market needs should they be focusing on? How should they go about it?

Through its research, CGAP aims to support and influence donors and investors navigating through these trends, adapting their practices to be more responsive to market needs and contributing to responsible market development for poor people.

Latest Research

Publication

A Research and Learning Agenda for the Impact of Financial Inclusion

The financial inclusion community is renewing its efforts to understand the role financial services play in the lives of poor people and how financial services can improve their well-being. This paper proposes a learning agenda based on extensive consultation with donors, researchers, and practitioners who support financial inclusion.
Publication

Designing Data Initiatives to Advance Financial Inclusion

Donors and DFIs are looking for ways to leverage the potential of data to achieve financial inclusion impact. Yet, evidence shows that the availability and quality of data doesn’t automatically translate to impact.
Infographic

How Can Donors Leverage the Potential of Data to Achieve Financial Inclusion Impact?

CGAP recommends the use of 7 steps to articulate a theory of change and design successful data initiatives.

Latest Blogs

Blog

Finding Opportunity in “Interesting Times”

What did 2020 teach us about financial inclusion? Greta Bull reflects on what was, for most people, an especially difficult year and offers her perspective on the year ahead.
Blog

How Financial Services Can Help the Poor in the Climate Transition

Early evidence suggests that the financial sector could play a key role in helping low-income people prepare for and participate in climate transition. However, greater coordination among funders and other sector stakeholders is needed.
Blog

How Can Funders Avoid Chasing Data as the Latest Shiny Object?

How can the financial inclusion community get more out of data to achieve sustainable impact? Here are four recommendations.