Inclusive Financial Sector Development

Fostering Inclusive financial services has been the core activity of BASIX group during the past seventeen years. A separate SBU has been created in the year 2012 to exclusively cater to financial sector development especially the emerging needs of agencies/organizations working towards sustainable interventions within financial sector focusing on the ‘Bottom of the Pyramid’ population.

Introduction

A well-functioning Inclusive financial sector is essential for the financial development of any country. An inclusive financial system is one that services all clients, including poor and low-income clients and providing them with affordable financial services tailored to their needs. In many countries, poor and low-income people don’t have access even to basic savings accounts, let alone more advanced financial services that could provide security, predictability and the seeds of economic growth for their household. An inclusive financial sector will support the full participation of lower income households in the financial system. An inclusive financial system is one that recognizes both the market potential and the development opportunities of lending to bank the poor. This generally involves fostering:

  • Sound institutions, ensured by self-regulation and standard setting, performance monitoring and sound prudential regulation
  • Financial and institutional sustainability: Ensuring the ability of financial service providers, including microfinance institutions (MFIs) and commercial banks, to continue to provide access for poorer customers to financial services over time; and
  • Multiple providers of financial services, to bring down costs and provide variety alternatives to clients, including sound private, non-profit and public providers with broad range of financial services, including credit, savings, insurance, remittances, pensions and mortgages.

IFSD is committed to strengthen the capacity of financial services providers to attain greater goal of financial inclusion. Building on the intellectual capital in delivery of financial services, IFSD has been providing consulting services in the areas of Capacity building of Financial institutions and strengthening regulation and financial capacity building of communities, which will in turn contribute to development of sustainable inclusive financial sector.

IFSD_Services

Financial Sector Development

Activities performed by IFSD in the process of delivering the above assignments.

IFSD_Services_Activities

Financial Sector Development Activities

 
Countries Worked In

South Asia

  • Bangladesh
  • Bhutan
  • India
  • Maldives
  • Nepal
  • Sri Lanka

South East Asia

  • Cambodia
  • Myanmar
  • Timor-Leste

Pacific

  • Fiji
  • Papua New Guinea
  • Samoa
  • Solomon Islands
  • Vanuatu

Africa

  • Ethiopia
  • Kenya
  • Rwanda
  • South Africa
  • Uganda
  • Mozambique
  • Tanzania
  • Cameroon

 
Projects undertaken

In alignment to the regions where we have already worked, current focus is on the following countries.

Country

Project undertaken

Africa

 

·     Ethiopia

·     Cameroon

·     Tanzania

·     Mozambique

·     Kenya

·     Microlead UNCDF

·     Microlead UNCDF

·     African Livelihoods Partnership (ALPs)

·     African Livelihoods Partnership (ALPs)

·     Strategic and Financial Management to Juhudi (MFI)

South and South East Asia

 

·     Bhutan

·     Nepal

·     Myanmar

·     Cambodia

  • Microlead
  • Agri Value Chain and Product Development
  • Green field Microfinance Institution under MicroLead expansion program

Pacific

 

  • PNG
  • Fiji
  • Timor
  • TA for building a commercial MFI
  • Financial Sector Services Assessment
  • UNCDF Microlead

 

 
Thematic Areas

Key Projects Undertaken under the core thematic areas

Strengthening Regulation

  • Engendering Banking Sector policies and financial products in India for UNWOMEN
  • Credit Cooperatives Reforms in the states of Rajasthan and Madhya Pradesh
  • Rural Finance Sector Restructuring and Development Project. A study in five states of India

Strengthening MFIs

  • Expanding access to ‘Savings led Financial Services’ project under MicroLead Programme of UNCDF
  • Institutional development services to 12 community based MFIs in three Indian states. 2012
  • Advisory services for institution building of PNG Microfinance Limited

Strengthening Communities

  • Sustainable livelihoods of the small and marginal farmers with a focus on women’s empowerment in Nawada and Purnea districts of Bihar (Indian Council of Agricultural Research)
  • Assessment study of design and delivery of financial literacy among poor across seven UN Focus states (UNDP) 2009-10
  • Study and assessment of Community Access to financial services ins elect areas of Bihar (Aga Khan Foundation) 2009
  • Bhamashah Financial Empowerment Scheme of Govt. of Rajasthan