MICROCAPITAL BRIEF: 16 Additional Institutions Commit to World Bank’s Goal of Achieving Universal Financial Access by 2020

The US-based multilateral World Bank Group (WBG) recently announced that 16 additional financial institutions have committed to partner to work toward “universal financial access” (UFA) by 2020, bringing the size of the group to 30 organizations. The new partners, which have committed to helping a total of 168 million people open new transaction accounts by 2020, are:

(1) the Aga Khan Agency for Microfinance, which operates in Africa, Asia and the Middle East;
(2) Ant Financial (Ali Baba Group) of China;
(3) Asomicrofinanzas of Colombia;
(4) Asomif Peru;
(5) Baidu Financial Services Group of China;
(6) BBVA Microfinance Foundation, which operates in Latin America and the Caribbean;
(7) the China Foundation for Poverty Alleviation;
(8) the Confederation of West African Financial Institutions;
(9) Fullerton Financial Holdings, which operates in Asia;
(10) Gentera, which operates in Latin America and the Caribbean;
(11) the Grameen Foundation, which operates in Asia, the Middle East and North Africa;
(12) the Grooming Centre of Nigeria;
(13) Lift Above Poverty Organization Microfinance Bank of Nigeria;
(14) Mibanco of Peru;
(15) Pagos Digitales Peruanos; and
(16) the Pakistan Microfinance Investment Company.

The UFA initiative seeks to ensure that all adults have “a transaction account or an electronic instrument to store money and to send and receive payments,” as a step towards financial inclusion and poverty alleviation. WBG deems access to financial services a “basic building block to managing an individual’s financial life.” The World Bank and the International Finance Corporation (IFC), two members of WBG, estimate that their financial inclusion efforts will help a total 641 million “unbanked” people gain access to transaction accounts by 2020. As of 2016, WBG is comprised of 189 member nations with commitments of USD 60 billion to 12,700 loans, grants, equity investments and guarantees to its members and private businesses.

By Michelle Dold, Research Associate

About World Bank Group (WBG)

The World Bank Group (WBG) is a multilateral development organization headquartered in the US that aims to improve living standards for people in developing countries. As of 2016, WBG encompasses (1) the World Bank, which consists of the International Bank for Reconstruction and Development (IBRD) and the International Development Association (IDA); (2) the International Finance Corporation (IFC); (3) the Multilateral Investment Guarantee Agency (MIGA); and (4) the International Centre for Settlement of Investment Disputes (ICSID). As of 2016, WBG is comprised of 189 member nations with commitments of USD 60 billion to 12,700 loans, grants, equity investments and guarantees to its members and private businesses.

About the International Finance Corporation (IFC)

The International Finance Corporation (IFC), a member of the US-based World Bank Group, offers loans, equity investments, technical assistance and risk mitigation services to private companies with the intent of alleviating poverty and promoting open and competitive markets in developing countries. As of 2016, IFC has 184 member countries that drive its policies and approve disbursements, and it reported total assets of USD 90.4 billion.

Sources and Additional Information:

[1] Information Provided Directly to MicroCapital by WBG

[2] MicroCapital Universe Profile: World Bank Group (WBG),
https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=The+World+Bank+Group#The_World_Bank_Group

[3] MicroCapital Universe Profile: International Finance Corporation (IFC),
https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=International+Finance+Corporation+%28IFC%29

[4] MicroCapital Universe Profile: Aga Khan Agency for Microfinance (AKAM), https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Aga+Khan+Agency+for+Microfinance+%28AKAM%29

[5] MicroCapital Universe Profile: Ant Financial Services Group https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Ant+Financial+Services+Group+%28Ant+Financial%29

[6] MicroCapital Universe Profile: Association of Microfinance Institutions of Peru (ASOMIF Peru), https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=The+Association+of+Microfinance+Institutions+of+Peru+%28ASOMIF+Peru%29

[7] MicroCapital Universe Profile: Baidu, https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Baidu

[8] MicroCapital Universe Profile: Fundación BBVA Microfinanzas, https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Fundaci%C3%B3n+BBVA+Microfinanzas

[9] MicroCapital Universe Profile: China Foundation for Poverty Alleviation (CFPA), https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=China+Foundation+for+Poverty+Alleviation+%28CFPA%29

[10] MicroCapital Universe Profile: Fullerton Financial Holdings, https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Fullerton+Financial+Holdings

[11] MicroCapital Universe Profile: The Grameen Foundation, https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Grameen+Foundation

[12] MicroCapital Universe Profile: The Grooming Centre, https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Grooming+Centre

[13] MicroCapital Universe Profile: Lift Above Poverty Organisation (LAPO), https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Lift+Above+Poverty+Organisation+%28LAPO%29

[14] MicroCapital Universe Profile: Mibanco, https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Mibanco

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