Over the last ten years, catalytic capital — investment capital that is patient, risk-tolerant, concessionary, and adaptable — has played an increasingly important role in filling the gaps left by the rapidly expanding and diversifying field of impact investing and serves to attract more conventional investors to sectors with high development potential. While we do not know the volume of catalytic capital investments in inclusive finance, we know that investments in inclusive finance continue to be a top category of growth.

This report focuses on the role of catalytic capital in the digital credit industry and highlights the limitations of a framework that does not consider broader market-level consequences of such investments. The rapid growth of digital credit has resulted in an influx of investment but also created significant concerns over consumer protection, and the supervisory capacity of local regulators has failed to keep pace with the risks. The report draws lessons from how digital credit markets have evolved and highlights guardrails needed at the market level to ensure that growth is responsible, impactful, and leads to inclusive market development.


Authors

Jayshree Venkatesan

Vice President, Consumer Protection & Strategic Industry Engagement

As Vice President of Consumer Protection and Strategic Industry Engagement, Jayshree leads CFI’s consumer protection research agenda and partnership strategy, contributing to a diverse global portfolio. Her work focuses on emerging risks at the intersection of technology and financial services, with a particular emphasis on human–technology interactions and their implications for consumer protection.

In her role, Jayshree oversees two flagship convenings: Financial Inclusion Week (FIW) and the Responsible Finance Forum (RFF). FIW is the sector’s largest virtual event, which drew more than 3,500 participants from over 140 countries in 2025. RFF is a global platform advancing responsible finance and addressing consumer protection challenges, held annually alongside the G20 Global Partnership for Financial Inclusion (GPFI) meetings.

With over two decades of experience spanning structured finance, innovative business models, consumer research, and policy engagement, Jayshree is deeply committed to advancing financial inclusion and economic development worldwide. Prior to joining CFI, she spent nearly a decade as an independent consultant, advising leading global institutions including CGAP, the World Bank, JICA, and ITAD on customer-centric approaches and barriers faced by low-income populations in accessing and using formal financial services. Earlier in her career, Jayshree was part of the founding team at IFMR (now Dvara Trust) in India, where she led the country’s first mezzanine fund for microfinance, which later evolved into an alternative investment fund. She began her professional journey at ICICI Bank, building a strong foundation in finance.

In addition to her work at CFI, Jayshree is a Senior Policy Fellow at the Leir Institute at the Fletcher School of Law and Diplomacy, where she focuses on financial inclusion challenges affecting vulnerable populations, including migrants and refugees. She has also served as adjunct faculty at the Fletcher School, teaching decision analysis for business. Jayshree is a recipient of the Chevening Fellowship for Leadership from the UK Foreign and Commonwealth Office, completed at King’s College, London.

She earned an MA in International Relations from the Fletcher School of Law and Diplomacy, an MBA from the Management Development Institute in Gurgaon, and an undergraduate degree in Mathematics from Mumbai University.

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