Millions of low-income people living across the Middle East and North Africa (MENA) region want a safe place to save… but can’t. Low-income individual can access a loan quite easily. But a savings account? Forget about it. Due to an age-old regulation in almost every country in the region, microfinance institutions (MFIs) are prohibited from offering savings to clients.
Digital technologies are rapidly changing the insurance landscape worldwide. In Africa currently, mobile insurance is prevalent, but other digital technologies are on the rise too, helping to provide a large number of households with coverage for the very first time.
The Microinsurance Network attended the 2017 FARAD Finance Forum which took place in Luxembourg earlier this month. Organised by FARAD International, an independent insurance broker specialised in the Private Life Insurance sector, the event was held as a full-day forum for the first time, and brought together players of the three pillars of the financial industry: the banking sector, the insurance industry and investment funds.
While microcredit and savings have historically dominated the financial-inclusion conversation, there is growing recognition for the innovative ways that microinsurers are bringing services to the people who need them most.
“The Financial Inclusion Challenge” competition, run by The Wall Street Journal, showcases nonprofit and for-profit enterprises that are solving problems of financial access for the poor in the Asia-Pacific region.