Viewpoint: Fintech Innovators Can’t Let the Coronavirus Derail Financial Inclusion
Many of us take it for granted, but accessing basic financial services is fundamental to our economic and social development. It is hard to “get on” if you are forced to hide life savings under the mattress, or rely on predatory loan sharks for credit.
Yet an estimated 1.5 billion adults around the world do not have a bank account or access to formal finance systems – making 40% of the global population “unbanked.” This limits opportunity and stifles potential. Indeed, research by EY has shown that financial inclusion could improve some countries’ GDP by up to 30%.
Given the transformative benefits (and yes, revenue opportunities), promoting financial inclusion has been a key priority for banks and fintechs in recent years and as a result, significant progress has been made. But with COVID-19 plunging the world into a period of unprecedented uncertainty, it is imperative that these gains are protected.
Photo courtesy of Engin_Akyurt.