Traditional banking hasn’t worked well in some areas of the world, including sub-Saharan Africa, where a large percentage of the population has been financially underserviced. New, innovative fintechs have been only too happy and qualified to fill the void. By expanding access, fintechs are promoting economic and social growth in the region, especially in high-tech hubs South Africa and Kenya, which are setting an example for others to follow.
The world’s neediest people are particularly vulnerable to unexpected crises, which come in many forms, from catastrophic conflicts to calamitous cyclones. They need all the help they can get to weather the storms of life. The financial-service provider can throw a lifeline in the form of financial products that make the difference between sinking or swimming. In what practical ways are banks helping vulnerable people living through the most challenging circumstances?
It’s not news that many economies of the developing world face barriers to financial inclusion, making it difficult for citizens to both borrow and save; but the good news is that help has arrived in the linking of mobile payments with remittances. From sub-Saharan Africa to Latin America and the Caribbean, mobile money is bringing the previously underbanked into the fold.