<p>We work to advance inclusive financial services for the billions of people who currently lack the financial tools needed to improve their lives and prosper. We leverage partnerships to conduct rigorous research and test promising solutions, and then advocate for evidence-based change. CFI was founded by Accion in 2008 as an independent think tank on inclusive finance.</p>


Our Focus Areas

<p>We focus on inclusive finance needs that are directly related to improving outcomes for low-income consumers. While we will continue our work on improving consumer protection and empowerment and on important market infrastructure issues, we are also elevating work in three key areas of focus: climate change, gender inequality and data opportunities and risks. Our vision requires doing additional research on how financial services can both reduce risks and help customers adapt to the reality of climate change. It also involves conducting additional research and experimentation on how to address the remaining policy and norms barriers that impede progress on women’s participation in the formal financial system. We also seek to better understand the risks and opportunities that the new digital economy and the use of data pose for customers so that we can identify innovative solutions for managing those risks through regulation, data practices by providers, and industry-wide solutions.</p>


Watch Our Strategy Video 

This strategy will guide CFI’s work through 2024 and focuses on four thematic areas. All of them, to significant degrees, have either been exacerbated by the pandemic or have been revealed by the crisis as urgent and under-attended priorities.

Report

<h2>Executive Summary</h2>
Since its founding in 2008, the Center for Financial Inclusion, or CFI, has worked to ensure that efforts to expand inclusive finance for low-income and other vulnerable people remain focused on people. That proposition might seem in theory to be self-evident; in practice, however, efforts often fall victim to focusing on the means and lose sight of the ends. CFI was created to help keep that from happening. We were founded at a particular moment when it was becoming more apparent that market forces alone would not ensure positive outcomes for low-income people, and that sustained intentionality would be necessary. CFI works to ensure that we never lose sight of our <a href="https://centerforfinancialinclusion.org/about/mission/" target="_blank" rel="noopener noreferrer">vision</a> — a world in which all people are able to use financial services and participate in the economy to improve their lives and prosper — and that low-income people and their needs are consistently and deliberately kept at the center of all that we do.

Twelve years later, CFI — and the whole world — faces a radically different historic moment. The COVID-19 pandemic has <a href="https://coronavirus.jhu.edu/map.html" target="_blank" rel="noopener noreferrer">infected over 88 million people and killed over 1.9 million</a> between the time it was first reported in December 2019 and at the time of this writing in January 2021. Beyond the rapid and catastrophic spread of illness and deaths, the pandemic has devastated global economies. Millions of micro, small, and medium enterprises around the world have seen revenues plummet and have suspended operations or gone out of business altogether. Hundreds of millions of families have lost jobs and incomes, and many of them live in countries where social safety net protections are patchy at best. The pandemic also reversed, seemingly overnight, social and economic development gains that had taken decades to achieve: The World Bank estimates that between <a href="https://www.worldbank.org/en/news/press-release/2020/10/07/covid-19-to-add-as-many-as-150-million-extreme-poor-by-2021" target="_blank" rel="noopener noreferrer">88 million and 115 million people are at risk of falling into poverty</a>. Women and children have been among those most affected; children because schools around the world have been shuttered, and women because they are more likely than men to lose their jobs and to shoulder the responsibility of supervising and homeschooling children.

This global crisis has no precedent in modern times. And yet, like all crises, the COVID-19 pandemic also presents an opportunity: to “build back better,” as the saying goes, to ensure that similar crises are averted and that we are much better prepared to respond effectively when they hit. For CFI, that means developing a deep understanding of how financial services reduce vulnerability for low-income populations and how to overcome the obstacles preventing so many from participating in the financial sector, and then working with key stakeholders and advocating for evidence-based change to ensure that such services fulfill their intended purpose. As tragic as the pandemic’s consequences have been and continue to be, it has laid undeniably bare the failures of the status quo and has created a heightened sense of urgency for financial services, no less than for health care, emergency relief, and other sectors, to build back better.
<blockquote class="pullquote--right">The pandemic’s consequences have laid bare the failures of the status quo created a heightened sense of urgency for financial services.</blockquote>
CFI brings more than a decade of experience to this intensified global effort, with expertise in understanding the financial needs and behaviors of low-income vulnerable populations. Complementing CFI’s strengths in demand-side research, our recent <a href="https://centerforfinancialinclusion.org/mix-and-cfi-announce-strategic-integration-to-drive-industry-knowledge-for-inclusive-finance/" target="_blank" rel="noopener noreferrer">integration with MIX</a> brings supply-side expertise to the table, as the MIX had been studying and reporting about financial service providers for the past 20 years. These complementary strengths, combined with our history of thought leadership and our role as conveners, position CFI to pursue an ambitious strategy made all the more urgent in the context of the pandemic.

Crisis and Opportunity: Reimagining Inclusive Finance After the Pandemic

Learn More

Case Study

<h1>Challenge</h1>
Financial inclusion means different things to different people. Today’s marketplace represents a wide array of providers with varying interests. Some focus on access to bank accounts, while others build electronic payments infrastructure, and still others develop credit services or insurance. With significant resources invested to expand financial services to low-income, first-time and underserved consumers, the importance of ensuring that newly included people actually benefit from the services cannot be underestimated. To be effective, the financial inclusion community needs alignment and direction about how to tackle a big challenge—too big for any one entity to solve.
<h1>Approach</h1>
CFI approached this challenge by building communities of support and action around a progressive agenda for global financial inclusion:
<h3>Agenda Setting</h3>
We articulated a vision for financial inclusion that includes service range, quality, affordability, convenience, consumer protection and empowerment. We understand what meaningful financial inclusion looks like, and our agenda reflects that.
<h3>Community Building</h3>
We know that constructing a financial inclusion community that serves, protects and empowers customers requires the combined efforts of many actors. We add value to the sector by bringing people together, building consensus and enhancing the industry’s collective knowledge and skills.
<h3>Delivering Insights</h3>
We investigate big, unanswered questions that can catalyze the industry to meet the financial needs of underserved people around the world.
<h1>Results</h1>

Setting an Agenda for Global Financial Inclusion

<h1>Why Benchmarking Matters</h1>
<h5>HOW DO WE KNOW WE'RE BEING EFFECTIVE?</h5>
Achieving financial inclusion requires continuously evaluating how well the industry is progressing and how far we still have to go. Benchmarking activities help us measure progress and identify priorities for research and action. To reach 3 billion people who are left out of or poorly served by the financial sector, a full understanding of progress and setbacks is essential.

&nbsp;
<h1>Approach</h1>
<h5>INDEPENDENT AND CRITICAL PERSPECTIVE</h5>
We are committed to keeping the industry focused on financial inclusion that benefits consumers. CFI assesses public industry data, like the <a href="https://globalfindex.worldbank.org/">Global Findex</a> and the <a href="https://news.gallup.com/reports/233399/gallup-global-financial-health-study-2018.aspx">Gallup Global Financial Health Study</a> with an independent and critical eye, shining a spotlight on where action is most needed. We also participate in joint benchmarking exercises with partners to examine specific aspects of the sector, like the regulatory environment or risk perceptions. In all our benchmarking and research endeavors, we are keen to reality test prevailing narratives, ask tough questions and shine a light on overlooked trends.

&nbsp;
<h1>Results</h1>
<h5>WHAT HAVE WE ACHIEVED?</h5>
<h2>Benchmarking the Enabling Environment</h2>
Together with partners, CFI sponsors and contributes to the Global Microscope—a project led by the Economist Intelligence Unit. Intended to benchmark the enabling environment for promoting financial inclusion, the Microscope assesses the institutional and regulatory ecosystem based on selected indicators across over 50 developing economies. We have helped the Microscope evolve from a study of microfinance in Latin America and the Caribbean into a global study of the broader financial inclusion ecosystem. Additionally, we also look at new indicators on the enabling environment for digital financial services.

With 2018 marking its eleventh edition, the Microscope is one of the few benchmarking tools in the financial inclusion sector that spans a decade or more. Regulators across the world use its scoring and rankings as yardsticks for their own performance. Investors also consult the study when considering investment strategies. Many countries are cognizant of where they stand in the global rankings and are motivated to improve.


Benchmarking Financial Inclusion Progress

<h1>Why Financial Health Matters</h1>
Everyone strives to be financially healthy: to manage day-to-day finances, to weather financial shocks and to pursue longer term goals. Arguably, the core purpose of financial inclusion is to help people achieve financial health.

If the financial inclusion sector begins to measure the financial health of customers and considers ways to support financial health in their products and policies, it will have made a significant shift toward addressing what matters most – customer benefit.

From Idea Into Action on Global Financial Health

<h1>Challenge</h1>
In emerging markets across Africa, microfinance institutions (MFIs) and other financial service providers (FSPs) play a critical role providing financial services to people who are unable to obtain traditional finance. Despite its important role, this sector in Africa faces enormous challenges. In 2013, our <a href="https://www.centerforfinancialinclusion.org/microfinance-banana-skins-2014-the-csfi-survey-of-microfinance-risk/">survey of African FSPs</a> revealed governance and risk management as the primary vulnerabilities in the sector. Weak governance and risky behavior also <a href="http://www.cgap.org/publications/growth-and-vulnerabilities-microfinance">played a role in microfinance crises</a> in Nicaragua, Morocco, Bosnia-Herzegovina, and Pakistan. CFI decided to commit to helping African FSPs focus on governance and risk—and not just individually, but at a sectoral level—to avoid this fate.
<h1>Navigating Obstacles</h1>
We quickly realized we would be starting nearly from scratch. The handful of existing governance resources on the market at the time comprised generic, one-off trainings or were geared to corporate participants. We knew that this kind of classroom-based, lecture-heavy, training was not an effective strategy for senior board members, whose time was valuable and who were often in positions of authority in other walks of life.

We wanted to create something meaningful and effective, tailor-made for FSPs, and delivered in a manner that would stick with participants so that they could lead their organizations and their industry to grow and prosper.

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Governance Peer Learning and Exchange Program Strengthens Financial Institutions in Africa

Consumer Protection

Women's Financial Inclusion

Data Opportunities and Risks

Financial Services to Mitigate and Adapt to Climate Risks

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COVID-19 and MSMEs: Data and Analysis to Understand Impact

Financial Inclusion Week

What We Do

Watch Our Strategy Video

Our Mission & Vision

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Our vision is a world where all people are able to use financial services and participate in the economy to improve their lives and prosper.

<p>On the heels of the global financial crisis in 2008, we engaged the global financial inclusion community to internalize and implement consumer protection. Working collaboratively with many stakeholders, we developed the first industry standards for consumer protection in financial inclusion via <a href="/about/what-we-do/the-smart-campaign/">The Smart Campaign</a>. By May 2018, over 100 financial institutions, collectively serving more than 42 million people, have been certified for adhering to these industry-accepted standards. Our Model Legal Framework for Consumer Protection provides the regulatory foundation for treating consumers fairly in the financial services marketplace. This policy guidance has been adopted in several countries, including Myanmar.</p>
<p>In 2012, we <a href="/about/what-we-do/financial-inclusion-2020/">spearheaded a movement</a> that mobilized a broad set of stakeholders around the globe to embark on a shared roadmap for action. We recognized that it was possible to bring access to financial services to everyone in the world in just a few years, and put out a call for financial inclusion by 2020. This effort received an enormous boost when, just one year later in 2013, the World Bank announced its Universal Financial Access program, adopting 2020 as its target date.</p>
<p>With dedicated convenings of the <a href="/about/what-we-do/fiec/">Financial Inclusion Equity Council</a> (FIEC), we have helped equity investors candidly and collaboratively examine the most difficult, most sensitive challenges in impact investing in financial inclusion—such as valuation, governance and responsible exits. FIEC serves as a trusted, valuable forum for our community to collectively address responsible investing and sustainable inclusion.</p>


<p>With research and insights, we are making important contributions in the frontier issues in financial inclusion, as well as keeping the community focused on the client. We have commissioned experts to challenge prevailing narratives and perceived silver bullets for financial inclusion. For instance, <a href="/about/what-we-do/research-fellows-program/">CFI Research Fellows</a> have shattered the notion that <a href="/government-to-person-transfers">government-to-person payment schemes</a> and <a href="/technology-inequality-opportunities-and-challenges-for-mobile-financial-services">smartphones</a> are automatic onramps for inclusion. They have also revealed the important ways in which human interaction should offset digital interaction as providers scale their efforts on mobile and online.</p>
<p>Another way we focus on the client is through the <a href="/blog">CFI Blog</a>. Our ongoing coverage of <a href="/topics/refugees-and-migrants">refugees</a>, client voice, the financial diaries and <a href="/series/keeping-clients-first/">Keeping Clients First</a> are just some examples of the client focus we’ve built into our digital sharing, learning and debate platform.</p>


CFI is charting a course for global financial inclusion and bringing the industry together around a customer-centered vision.

The Global Microscope

<h2>Challenging the Global Narrative</h2>
<p>The Global Findex is a survey of the financial habits of adults in 144 countries with data collected in 2011, 2014 and 2017. Our industry relies on the Findex to understand how people are using (or not using) financial services. It is the best available demand-side data for measuring global progress toward financial inclusion, and the World Bank generously makes the data publicly accessible.</p>
<p>With each new release, CFI conducts its own critical review of the Findex data. In our 2015 analysis, we analyzed which countries were on track to achieve universal financial access by 2020 and projected where the gaps would be. We also <a href="http://www.centerforfinancialinclusion.org/by-the-numbers-benchmarking-progress-toward-financial-inclusion/">highlighted the gap between access to and usage of financial accounts</a>, emphasizing that account ownership is only valuable if accounts are actively used. This message only intensified when we analyzed the 2017 data, and we honed in on three new messages: the absence of discernible progress in savings, credit or resilience. Given the global effort to promote savings and extend access to credit, the flat or negative growth in these core financial services was indeed disappointing. And resilience – the ability to recover from a financial shock – is an essential component of financial health. The lack of growth in resilience, savings and credit suggests a need to reflect, re-calibrate and re-engage as we continue to pursue our common goals.</p>
<p>&nbsp;</p>


Shedding Light on the Global Findex

<h2>Calling Attention to Major Trends and Markets</h2>
<p>We believe it’s important to focus attention on under-appreciated trends and market segments. In our <a href="http://www.centerforfinancialinclusion.org/about/what-we-do/mapping-the-invisible-market/">Mapping the Invisible Market project</a> (2013-2015), we examined the likely impact of global demographic and economic trends on financial inclusion. On the economic side, we noted that an enormous segment of people is moving from abject poverty to the $4-$10 dollar a day range, which gives them a small amount of disposable income and potentially increases their demand for financial services. On the demographic side, we highlighted a nearly unremarked demographic shift: older people are the fastest growing population segment in regions including East Asia, Latin America and Eastern Europe. We followed up by examining the financial services needs of older people and the inadequacy of pension services for the vast majority of people in our target market.</p>
<p>We also focused on <a href="http://www.centerforfinancialinclusion.org/about/what-we-do/financial-inclusion-for-persons-with-disabilities/">people with disabilities</a> – another severely excluded group. Through partnerships with microfinance institutions in Paraguay and India, we developed and promoted a roadmap for disability inclusion that remains one of the only such guides available. And our partner institutions continue to reach out and serve thousands of people with disabilities who were previously excluded.</p>
<p>&nbsp;</p>


By studying where we’re making progress and where we aren’t, CFI is a critical and credible advocate for financial inclusion.

<p>While financial health resonates universally with consumers, providers and policymakers, the concept had not been adapted to or tested in a global context. In 2015, the <a href="https://cfsinnovation.org/">Center for Financial Services Innovation</a> (CFSI, now the Financial Health Network) established a financial health framework for the United States, but without adaptation, this framework could not be applied around the globe, where financial lives are lived very differently. To validate the concept of financial health, we set out to examine how people in lower income countries think about and experience financial health.</p>


Financial Health Reports

<p>We are committed to moving financial health from theory to practice. Here’s what we’ve done so far:</p>
<ul>
<li>In partnership with CFSI and <a href="http://www.dalbergdesign.com/">Dalberg Design</a>, and with support from the <a href="https://www.gatesfoundation.org/">Bill and Melinda Gates Foundation</a>, we created a global framework for assessing financial health. Our research in India and Kenya helped us determine the universal and contextual factors that define financial health, even for lower income people in developing countries. In these countries, we observed that people have a harder time realizing financial health because their incomes are not only lower, but also irregular and unpredictable. People who use a variety of formal and informal financial tools have greater financial health.</li>
<li>In partnership with the Microfinance Centre in Warsaw, Poland, and with support from MetLife Foundation, we are building a financial health tool for Eastern European microfinance institutions and their customers to help gauge and improve customer financial health.</li>
<li>We tested the financial health with Accion’s own employees as a way to understand how financial institutions and other employers can support the financial health of their staff. This energized our whole team to improve our own financial health and to promote the concept in the workplace.</li>
<li>We are building a network of people and organizations that are working to make financial health a north star for financial inclusion.</li>
</ul>


<ul>
<li>We laid a foundation for global financial health that is informing additional research, product and policy design, and models for serving customers.</li>
<li>We are launching a financial health assessment as a consumer-facing tool in Eastern Europe. We realized that a simple quiz has the power to motivate consumers to improve their financial health, and we are developing an app that takes this discovery to the next level.</li>
<li>We learned how financial health may be a relevant concept for employers. By turning our research on ourselves here at Accion, we identified the financial health issues of Accion staff, and motivated our internal stakeholders to tackle the issues we found. This experience convinced us that employers can benefit from measuring and supporting the financial health of workers.</li>
<li>We have raised awareness and created a global conversation on financial health that includes policy makers, banking associations, researchers and others. Interest is growing. Our growing community includes more than 200 practitioners and researchers around the world.</li>
</ul>


CFI is moving financial health from a U.S.-oriented concept to a usable global framework and practical toolset.

<p>In partnership with Mastercard Foundation and FMO Entrepreneurial Development Bank in 2015, CFI launched a unique governance and risk management executive education opportunity for African FSP leaders in the form of the Africa Board Fellowship Program.</p>
<p>The Africa Board Fellowship is an unmatched peer exchange program specifically for CEOs and board members of African FSPs focused on a variety of topics in governance and risk. The six-month program offers in-person, peer-led seminars featuring real life case studies, role plays, interactive animation and networking, together with a virtual platform for structured learning, dialogue and collaboration. During the program, fellows establish individual and institutional goals and work with an advisor on achieving those goals. Fellows continue to have access to a virtual community forum even as alumni. In this way, our program is creating a network of leaders across the continent who can connect with each other about the similar challenges they face.</p>


<p>The Africa Board Fellowship is not only changing the way board members and CEOs lead their institutions, but also fortifying African financial services for underserved communities at an industry level. ABF Fellows are more effectively implementing good governance strategies, managing risks, and becoming more client-centric as a result of their experience in the ABF program.</p>
<h2>Doubling Down on Good Governance</h2>
<p>ABF Fellows are becoming more effective supervisors of their institutions, as evidenced by implementing a robust system of checks, balances and internal controls. These are especially crucial in competitive markets where pressure to grow can lead to relaxed business practices. As Vincent Kaheeru, ECLOF Board Chairman and ABF Fellow explains, “We’ve put a strong emphasis on the quality of lending and invested in training our frontline people in credit appraisal and administration, and in the importance of following policies to the letter.”</p>
<h2>Mitigating and Anticipating Risks</h2>
<p>ABF Fellows have used the program to hone their ability to manage risk. For example, following a period of political instability in 2016, the board and CEO of Microcred, based in Ivory Coast, took steps to manage and anticipate risks as a result of ABF. To reduce concentration risk, the board embarked on an expansion plan, successfully opening new branches and diversifying its client base. The Board also directed staff to pair experienced branch managers with newer ones to more effectively cope with the strain of higher portfolio at risk. Microcred also established a board-level committee that meets monthly to review and evaluate all areas where the FSP might be at risk.</p>
<h2>Embracing Client Centricity</h2>
<p>Because boards and management are often far removed from clients, the ABF Program emphasizes client centricity. During the program, ABF fellows conduct client visits to appreciate the triumphs and hardships of entrepreneurship as well as what it’s like to be an FSP client. Client visits make a big difference. We see ABF Fellows not only taking the practice back to their FSPs, but also modifying their products and practices to better serve clients.</p>


ABF At-A-Glance (2015-2018)

CFI addresses gap in the market to help financial service providers thrive, survive and serve underserved clients.

<p>Consumer protection is integral to building customer trust and is a cornerstone of a stable financial system. Guided by the widely-adopted <a href="https://www.centerforfinancialinclusion.org/detailed-guidance-on-the-client-protection-principles">Client Protection Principles</a>, consumer protection is woven into all of CFI’s work. CFI works to protect consumers by identifying and building knowledge on emerging risks and working with stakeholders—financial service providers, investors, policymakers—to ensure their practices promote the well-being of customers.</p>
<p>Our current agenda tackles some of the most pressing barriers to building an inclusive financial system that works for low-income clients, including consumer protection challenges presented in the wake of the global pandemic, adoption of tech-enabled market monitoring innovations relevant to consumer protection, and fostering dialogue among an increasingly complex set of stakeholders.</p>
<p>In 2022, CFI took on the convening role of <a href="https://globalrff.org" target="_blank" rel="noopener">Responsible Finance Forum (RFF)</a>, a global coalition working to assess and manage rapidly evolving consumer risks faced by financial systems and low-income people. The platform provides a forward-thinking space for knowledge-sharing, ongoing research, and global dialogue to improve risk identification and mitigation.</p>
<p>Consumer protection has been a pillar of CFI&#8217;s activities since its founding. From 2009 to 2020, CFI led the <a href="https://www.centerforfinancialinclusion.org/about/what-we-do/the-smart-campaign">Smart Campaign</a>, a global initiative that worked to create an environment in which financial services are delivered safely and responsibly to low-income clients. The Campaign developed the first global financial consumer protection standards, established a rigorous certification program to validate practices by financial service providers, produced consumer protection research, and convened partners to effect change. The Campaign was sunset in 2020 and management of the Client Protection Standards was transitioned to long-time partners, <a href="https://sptf.info/client-protection/the-client-protection-pathway" target="_blank" rel="noopener">SPTF and Cerise</a>.</p>


Featured Research 

Series: Policy Responses to COVID-19 & Their Impacts on Low-Income Customers

Latest Blog Posts

CFI and RFF

Responsible financial inclusion encompasses core Client Protection Principles to help financial service providers practice good ethics and smart business.

<p>Women make up a little over half the world’s population, but their contribution to measured economic activity, growth, and well-being is far below its potential, which results in significant macroeconomic consequences. Globally, <a href="https://data.worldbank.org/indicator/SL.TLF.CACT.FE.ZS" target="_blank" rel="noopener">less than half of women participate in the labor force</a>, compared to three-quarters of men. In developing regions, <a href="https://www.unwomen.org/en/news/in-focus/csw61/women-in-informal-economy" target="_blank" rel="noopener">up to 95 percent of women’s employment is informal,</a> in jobs that are unprotected by labor laws or do not benefit from social protection. The consequence of this lack of equality is missed opportunities for individuals, households, and economies. Financial services are a core enabler for self-employment, enterprise growth, and asset or wealth creation for households. Lack of access to financial services contributes to women’s marginalization to the informal sector and reduces their ability to fully engage in measurable and productive economic activities. Despite decades of focus on women as an important client group, there has been limited progress in reducing the gap in women’s access to finance.</p>
<blockquote class="pullquote--right"><p>We are focusing on scaling up successful norms-transformative initiatives and improving the digital and financial capability of subsegments of women customers.</p></blockquote>
<p>At CFI, we believe women’s financial inclusion is powerfully shaped by broader societal norms, the unspoken assumptions and values governing the role of women in society. Efforts to improve women’s financial inclusion must also seek to transform, rather than merely acknowledge, these underlying norms. Our work in this area includes an intensive focus on research into successful norms-transformative initiatives, and how those might be scaled up. We are also working to improve the digital and financial capability of subsegments of women customers to help enable access to the range of &#8212; and to influence the policy environment for &#8212; women’s financial inclusion.</p>


Gender Norms and Financial Inclusion 

Women's Financial Capability 

By the Numbers

Women and Crisis

Gender and Fintech

Blog Posts on Women's Financial Inclusion 

Partner

Building evidence for best practices, products, and strategies that bring better, more appropriate financial services to low-income women globally. 

<p>In financial services, consumer data can be a catalyst to unlock a range of personalized, effective products and services to help low-income people achieve their goals. These opportunities also bring new risks, however: amidst the big bang of digitalization, consumers, especially those with low levels of digital and financial sophistication, may not understand the potential harms of sharing their data.  Additionally, few low- and middle-income countries have robust data protection regimes in place to monitor and respond to harm.</p>
<p>CFI’s work in this area — part of our four-pronged <a href="https://centerforfinancialinclusion.org/crisis-and-opportunity-reimagining-inclusive-finance-after-the-pandemic/"><strong>strategy</strong></a> for advancing inclusive finance — focuses on building incentives for transparency around data and privacy practices of digital financial service providers. For example, we study how financial service providers use algorithms and what must be done to protect already-underserved populations against algorithmic bias in automated decision-making. We speak with consumers directly to gauge their perceptions of privacy and the use of their data in order to inform regulators and providers. We monitor emerging data privacy and protection frameworks around the world to understand what does and does not work to advance financial inclusion while safeguarding data privacy, portability, and other consumer rights.</p>


Equitable AI in Inclusive FInance

Privacy by Design

Featured Research

Meet the Experts 

Supporting transparent practices, responsible algorithms, and emerging frameworks for data rights in financial inclusion

<p>The people who have contributed the least to climate change are also the most exposed to its impacts. Low-income and vulnerable people in Low- and Middle-Income Countries (LMICs) are more likely to experience extreme weather and environmental risks relating to climate change. Climate risks exacerbate existing inequalities and increase the chances of income loss, food insecurity, adverse health effects, displacement, and poverty traps. While the focus of much of the climate finance world is on large-scale mitigation of greenhouse gases, for low-income and vulnerable populations, there is little to mitigate; their priorities are building resilience to climate risks, adapting to changing climatic conditions, and in some cases transitioning to new livelihoods.</p>
<p>CFI recognizes that as the world works to understand the impacts and adapt to new realities, financial services are an indispensable tool to help low-income and vulnerable people prepare for climate-related events and recover from them when they happen. CFI will work to understand the constraints that different vulnerable populations face and how financial services can respond to these, uncovering and piloting product innovations that can help support resilience and adaptation and sharing what we have learned with policymakers and regulators, financial service providers, investors, and other stakeholders in both the financial inclusion and climate ecosystems.</p>


What is "Green Inclusive Finance"?

CFI's Green Inclusive Finance Framework

Blog Posts

Financial services are an indispensable tool to help vulnerable low-income people prepare for climate-related shocks and recover from them when they happen.

<h3>As the COVID-19 pandemic continues to disrupt livelihoods, businesses across the globe are suffering. What is the scale of its impact on MSMEs and how are MSMEs coping? CFI’s data dashboards provide insights from four countries.</h3>
<p>In June 2020, CFI <a href="https://www.centerforfinancialinclusion.org/understanding-covid19s-impact-on-financial-health-of-msmes/" target="_blank" rel="noopener">began a longitudinal survey</a> examining how COVID-19 is impacting MSMEs in four countries: Colombia, India, Indonesia, and Nigeria. Interact with the data visualizations on the country pages above to find out how MSME owners are responding to the crisis. And don&#8217;t miss our insights and analysis below.</p>
<p>The survey is based on different market segments – including men and women, firms of different size, and different types of businesses.</p>


Latest Publication

More Insights and Analysis

This research is part of our partnership with the Mastercard Center for Inclusive Growth.

<p><a href="https://financialinclusionweek.org/" target="_blank" rel="noopener">Financial Inclusion Week</a> (FIW) is an annual gathering of the global community working to advance inclusive finance. A virtual forum for exchanging ideas, research, and perspectives from around the world, FIW is an opportunity for global stakeholders to showcase work, share ideas on what’s ahead, engage with the community, and more. CFI convenes FIW each year and invites partner organizations to join the conversation and help drive the agenda.</p>
<h3><a href="https://app.swapcard.com/event/financial-inclusion-week-2023" target="_blank" rel="noopener">Register for this year&#8217;s FIW</a>: October 16-19, 2023</h3>
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<h3 class="preSlide slideIn">2023 Theme: <strong style="font-size: 16px;">IS INCLUSIVE FINANCE READY FOR THE ACCELERATING PACE OF CHANGE?</strong></h3>
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<p class="sqsrte-large preFade fadeIn"><span class="sqsrte-text-color--black">The future is now, <em>but are we ready for it?</em></span></p>
<p class="sqsrte-large preFade fadeIn"><span class="sqsrte-text-color--black">Constant changes in digitalization, increased use of artificial intelligence (AI), frequent climate-related disasters, and a rapid rise in forced displacement are all here to stay. The inclusive finance community has been grappling with digitalization and AI for years, but most of the conversations to date have focused on decision-making tools and efficiency improvements. Now, AI is quickly expanding to all facets of financial services, presenting new opportunities and risks for operations and staff. Climate change is increasingly impacting people across the globe, with huge consequences for livelihoods and economies. Against this constant drumbeat of accelerated change, the potential for exclusion is ever magnified, especially for women, low-income, and other marginalized populations. </span><span class="sqsrte-text-color--custom"><strong>If managed well, inclusive financial services can help individuals navigate these changes, and the innovations could lead to more inclusion rather than exclusion. But are we prepared? What steps must be taken to responsibly embrace change and capture the benefits while mitigating significant risks?</strong></span></p>
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Mission & Vision

Our Mission

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An independent global think tank

The Center for Financial Inclusion uses rigorous research and advocacy to advance inclusive financial systems for low-income people around the world.

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Our Focus Areas

Ways we seek to improve outcomes for the poor

Consumer Protection. Data Risks and Opportunities. Women's Financial Inclusion. Green Inclusive Finance.

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CFI's Strategy, 2020-2024

Crisis and Opportunity: Reimagining Inclusive Finance After the Pandemic

What We Do

Consumer Protection

Women's Financial Inclusion

Data Opportunities and Risks

Financial Services to Mitigate and Adapt to Climate Risks

COVID-19 and MSMEs: Data and Analysis to Understand Impact

Financial Inclusion Week

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