The authors of this study interviewed representatives of nine central banks that are at various stages of exploring the possible creation of central bank digital currencies (CBDCs) with the goal of increasing financial inclusion. Among the barriers to financial inclusion CBDCs might address are:
Category: Mobile Money
MICROCAPITAL BRIEF: Microfinance Lender KixiCrédito to Boost E-services in Angola with Support from IFC
The International Finance Corporation (IFC), a member of the World Bank Group, recently announced a partnership with KixiCrédito, an Angolan microcredit company, to strengthen KixiCrédito’s “delivery of digital financial services to individuals and micro-, small and medium-sized enterprises (MSMEs) across the country.” The plan includes
MICROFINANCE PAPER WRAP-UP: “Informed Design: A Case Study Series – Insights from WomenSave,” by Catherine Highet, Published by FinEquity
As part of a series on the role of product design in increasing women’s use of financial services in Africa and Asia, this case study reviews a pilot savings project implemented by WomenSave, a Ugandan provider of financial training and services to women with low incomes. The goal of the project, which focused on the districts of Kanungu and Rukungiri, was to
MICROFINANCE PAPER WRAP-UP: “Measuring Fees and Transparency in Nigeria’s Digital Financial Services,” by William Blackmon and Brian Mwesigwa, Published by Innovations for Poverty Action
Digital financial services have evolved greatly in Nigeria over the last decade, but many people in the country still struggle to access formal financial services. This study explores three issues discouraging
MICROCAPITAL BRIEF: PPro Acquires Alpha Fintech to Boost Payment Infrastructure for Financial Services Providers
PPro, a digital payments infrastructure firm based in the UK, recently announced its acquisition of Alpha Fintech, an Ireland-based financial technology (fintech) firm. PPro helps financial services providers accept payments through third-party platforms such as China-based Alipay and US-based PayPal. Among the goals of the deal is
MICROCAPITAL BRIEF: PayPal Expanding Money Transfer Options, Waiving Fees in Ukraine; Cutting Service in Russia
The US-based money transfer firm PayPal recently announced that Ukrainians in their home country and elsewhere will be able to receive British pounds, Canadian dollars, euros and US dollars into PayPal accounts to make purchases or transfer funds to bank accounts, credit cards and debit cards. Previously Ukrainians could
MICROCAPITAL BRIEF: Lipa of South Africa Offers Banks Tap-to-pay Service Allowing Informal Merchants to Accept Cashless Payments
Lipa Payments, a financial technology (fintech) firm based in South Africa, is rolling out its flagship digital “tap-to-pay” service, which allows merchants in Africa’s informal sector to accept cashless customer payments using mobile phones, rather than point-of-service terminals. The service, which Lipa is introducing via financial institutions in Nigeria and South Africa, integrates
MICROCAPITAL BRIEF: “Digital Pro Mujer” Offers Financial Education, Digital Literacy Training, Mentoring, Loans, Mobile Money to Women in Latin America
The US-based social enterprise Pro Mujer recently launched “Digital Pro Mujer,” targeting southeastern Mexico, but open to women entrepreneurs and employees across Latin America. The platform offers a range of services, including digital wallets as well as virtual education and mentoring to help users develop digital and financial skills. The digital wallets offer services such as savings
MICROCAPITAL BRIEF: Nepal’s Gateway Payments Service, Manam Infotech, National Payments Corporation of India to Boost Digital Transactions in Nepal
Gateway Payments Service, one of 10 licensed payment system operators in Nepal; the National Payments Corporation of India (NPCI), which is owned by the government of India; and Manam Infotech, an Indian financial technology (fintech) firm are partnering to rollout NPCI’s Unified Payments Interface (UPI) in Nepal. Among UPI’s functions is to allow users to control multiple bank accounts from a single mobile app, facilitating payments to merchants as well as among individuals. The rollout in Nepal will allow transactions within the country at first and may be extended to execute cross-border payments in the future. NPCI is participating in the effort through
MICROFINANCE PAPER WRAP-UP: “Platform-based Business Models and Financial Inclusion,” by Karen Croxson et al, Published by Bank for International Settlements
Many financial institutions are transitioning to platform-based business models, which leverage “big data and automation to offer third-party services, such as digital payments, credit insurance and wealth management….” Dr Croxson and her colleagues argue that although these platforms can lower costs and support financial inclusion,
MICROCAPITAL BRIEF: GCS International, Mastercard Target Unbanked in Jamaica with Mobile Wallets, Payment Cards
GCS International, a financial technology (fintech) firm based in the Dominican Republic, and Mastercard, a US-based payment technology firm, recently announced the implementation in Jamaica of their partnership “to develop and deliver digital payments solutions to underserved consumers across the Caribbean.” Using their work in the Dominican Republic as a model, the partners will
MICROFINANCE PAPER WRAP-UP: “Resilient and Inclusive Financial Services Delivery During COVID-19,” Published by Toronto Centre
This paper examines the effect of the COVID-19 pandemic on financial services by focusing specifically on financial inclusion in Rwanda, Sierra Leone and Zambia. The study explores changes in the “face-to-face (F2F) delivery of financial services” to groups traditionally underserved by the financial system, including “women, youths, small and medium enterprises, smallholder farmers and rural households.” The authors collected data via
MICROFINANCE EVENT: Mobile Payments Latam; May 12-13, 2022; Miami, Florida, USA – NEW DATES
Originally scheduled to begin on May 9, this conference focuses on the evolution of digital payments in Latin America, including as innovations in technology conflict with unstable markets and regulatory lag. A key theme is how the massification of digital payments is creating an increase in demand on which both new and traditional players are capitalizing. While this year’s agenda has not yet been released, session titles from the 2021 conference included “Nuevo Impulso a la Inclusión Financiera desde los Pagos Móviles” (Mobile Payments Bring New Momentum to Financial Inclusion), “Una Plataforma de Pagos Pionera, Impulsada por la
MICROFINANCE PAPER WRAP-UP: “Beyond Wage Digitization: Financial Capability and Economic Empowerment of Cambodian Women Migrant Workers,” Published by Women’s World Banking (WWB)
This report analyzes the financial awareness, financial behaviors and economic empowerment of 2,800 women – mostly migrants – who work in 13 factories in Cambodia and are paid via digital accounts with Wing Bank. The authors’ initial literature review indicated
MICROFINANCE EVENT: FinovateFall; September 12-14, 2022; New York, NY, USA
The goal of the Finovate series is to spotlight innovations in financial technology (fintech) from startups and established leaders alike. Two days of the event will showcase 75 product demonstrations. A separate conference day will focus on selecting technologies to maximize competitiveness. While this year’s agenda has not yet been released, session titles from the 2021 conference include “Harnessing Partnerships to Drive Financial Inclusion & Improve Financial Health,” “The Future of Digital Identity Is Now,” “Harnessing AI [Artificial Intelligence] to Democratise Home Buying,” “Decentralised
MICROCAPITAL BRIEF: In Response to COVID-19 Pandemic, Khalti Broadens E-commerce Platform to Offer Deliveries from MSMEs to Customers in Nepal
Khalti, a Nepal-based provider of digital financial services, has modified its digital platform to support micro-, small and medium-sized enterprises (MSMEs) in Nepal, including small shops known as kirana stores, with the support of the UN Capital Development Fund (UNCDF). Before the COVID-19 pandemic, Khalti offered a service through which enterprises could open digital storefronts to sell their services and collect payments. In adjusting to the pandemic, Khalti started
MICROFINANCE EVENT: World Finance Conference; August 1-3, 2022; Turin, Italy
This conference promotes the exchange of ideas in research, teaching and managerial practices relating to finance, economics and banking. Although the detailed agenda for this year has not yet been finalized, the last iteration of the event included topics such as microsavings, interest rates,
MICROCAPITAL BRIEF: Empire, Mosabi, Orange, UNCDF Seek to Boost Financial Inclusion in Sierra Leone with Focus on Financial Literacy, Recruiting Women as Mobile Money Agents
The UN Capital Development Fund (UNCDF) recently embarked on a partnership with France-based Orange Mobile Finance (Orange Money); Mosabi, a US-based digital education and finance platform; and Empire Solutions, a digital microfinance institution in Sierra Leone, in an effort to boost access to finance for low-income people – including women and youth – in Sierra Leone by increasing: