UK government supports microfinance
(15 March 2010 – UK) The British government’s Department for International Development (DFID) has committed £8 billion (A$13.1 billion) to enable CGAP, a microfinance group, to develop financial services for the poor.
Housed at the World Bank, CGAP is an independent policy and research centre dedicated to advancing financial access, especially through mobile phones, for the world's poor. It is supported by over 30 development agencies and private foundations who share a common mission to alleviate poverty.
The group's technology programme aims to help policymakers develop regulations that support effective use of mobile technologies for financial inclusion.
It also wants to harness existing government payments and remittance flows to provide banking services and improve industry knowledge and practice in the areas of customers, agents, business models and regulatory frameworks.
Gareth Thomas, UK minister for development, said that giving people access to financial services can help them lift themselves out of poverty. The government is pleased that the DFID-supported Technology Program at CGAP will work to improve poor people's access to financial services such as payments, savings, loans, and insurance.
The Program will also support the delivery of social protection payments in developing countries and make the transfer of international remittances cheaper and safer, Mr Thomas added.
The group's technology programme aims to help policymakers develop regulations that support effective use of mobile technologies for financial inclusion.
It also wants to harness existing government payments and remittance flows to provide banking services and improve industry knowledge and practice in the areas of customers, agents, business models and regulatory frameworks.
Gareth Thomas, UK minister for development, said that giving people access to financial services can help them lift themselves out of poverty. The government is pleased that the DFID-supported Technology Program at CGAP will work to improve poor people's access to financial services such as payments, savings, loans, and insurance.
The Program will also support the delivery of social protection payments in developing countries and make the transfer of international remittances cheaper and safer, Mr Thomas added.
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