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The report examines the application of Distributed Ledger Technology (DLT) to improve fund transfers in emerging markets, distinguishing between public DLT (like Bitcoin) for consumer remittances and private DLT for inter-institutional clearing and settlement. It argues that while public DLT can bypass traditional intermediaries, it faces hurdles in liquidity and 'costs at the edge'. Conversely, private DLT offers a more secure and scalable model for financial institutions to settle obligations domestically or internationally, potentially reducing entry barriers and enhancing KYC/AML processes.

This document introduces a guide on market facilitation based on the FSD network's experience. It defines facilitators as external change agents who address market constraints to improve financial inclusion through a public, temporary role, drawing on seven case studies by the Springfield Centre to illustrate the M4P approach.

The report examines the 'art' of market facilitation through the experience of the FSD Network in Sub-Saharan Africa. It argues that effective facilitation requires a shift from traditional project-based delivery to a systemic approach that addresses root causes of market failure. Key success factors identified include the use of Special Purpose Vehicles (SPVs) for operational flexibility, the maintenance of technical credibility and neutrality, and the use of results chains for adaptive management. The document highlights the critical importance of understanding political economy and partner incentives, noting that technical solutions often fail when they ignore underlying social or political dynamics.

The report assesses executive education in the Sub-Saharan African financial sector, finding that while it generally improves employee skills and organisational prestige, there is a significant gap between theoretical teaching and practical application. It recommends a shift toward 'action-learning' and the establishment of specialised regional training hubs.

The report finds that the UK-to-Africa remittance market is heavily cash-based, with cash-to-cash transfers accounting for approximately 90% of flows. While digital MTOs and payment hubs offer more competitive pricing, their impact is limited by a 'stickiness of cash' among UK migrants and a lack of digital payment infrastructure and formal identification in African receive markets. The authors argue that digitising the entire value chain is the only way to significantly drive down costs. Key recommendations for donors include researching consumer behavior in the UK, promoting non-cash transfers, piloting access for UK providers to the SADC Integrated Regional Settlement System (SIRESS), and supporting the expansion of remittance hubs in FCAS.

The report analyzes how international anti-money laundering (AML) and countering the financing of terrorism (CFT) standards, primarily those from the FATF, affect financial inclusion. It highlights the trend of 'de-risking'—where banks wholesale cut off high-risk markets like Somalia—as an unintended consequence of these regulations. The author argues for a shift toward a Risk-Based Approach (RBA) and the adoption of biometric digital identities to ensure the 'unbanked' do not become 'unbankable'.

The study finds that while agricultural leasing is a preferred asset financing method in developed markets, it remains nascent in sub-Saharan Africa due to systemic market failures. Key barriers include high down payment requirements (20-40%), a lack of secondary markets for used equipment, and informational asymmetries that lead financial service providers to perceive agriculture as high-risk. Demand is limited by the predominance of smallholder subsistence farmers and low financial literacy. The report identifies Ghana, Kenya, and Zambia as high-potential markets and recommends targeted technical assistance for banks, awareness campaigns for farmers, and the creation of risk-sharing funds to reduce down payment barriers.

FSD Tanzania (FSDT) provided approximately USD 1.36 million in grants to the Capital Markets and Securities Authority (CMSA) and the Dar es Salaam Stock Exchange (DSE) to establish the Enterprise Growth Market (EGM). The EGM aims to provide long-term equity capital for growth-oriented SMEs in sectors such as agribusiness, mining, and manufacturing. Since its launch, five companies have listed, raising approximately TZS 46 billion from 242,518 investors. While the initiative has successfully increased the number of investors and improved the capacity of regulators, challenges remain regarding low liquidity, limited managerial skills among MSMEs, and the sustainability of funding for awareness and capacity-building activities.

The report argues that insurance promotes growth through two primary channels: risk mitigation (protecting assets and facilitating credit) and intermediation (mobilizing long-term capital for investment). It identifies a four-stage evolution path for insurance markets, noting that most sub-Saharan African countries are currently in the first two stages, where asset insurance dominates and the intermediation-for-growth role is not yet active. The transition to the third stage—retail expansion—is hindered by low income levels, high economic informalisation, and a shortage of actuarial skills. The authors recommend stage-appropriate interventions, such as developing contractual savings solutions for the informal sector and improving domestic professional capacity, to unlock the sector's potential to support capital markets and inclusive growth.

The report examines the distinct challenges of financial market development in fragility-affected states in Africa (FASA), where financial exclusion is significantly higher than in non-fragile sub-Saharan African countries. It advocates for a 'market systems' or 'M4P' approach based on facilitation and adaptive management rather than direct implementation. Key priorities identified include the development of functional identification solutions, risk-based tiered KYC regulations, and the scaling of promising practices such as Islamic finance, refugee/IDP finance, and impact investing. The document emphasizes that systemic change in these volatile contexts requires long-term commitment, a high tolerance for risk, and a deep understanding of local political economy and conflict dynamics.

The report finds that East Africa is the largest regional crowdfunding market in Africa, though it is dominated by non-financial return models (donation and reward) and lacks bespoke regulation. While loan and equity-based models dominate globally, they are in embryonic stages in East Africa. The authors recommend against immediate bespoke regulation to avoid stifling growth, instead proposing a phased approach involving sector mapping, the creation of a regulatory sandbox ('RegLab'), and government-backed co-investment and currency hedge funds.

The document details a February 2017 stakeholder meeting in Cotonou, Benin, focused on the role of Savings Groups (SGs) in promoting development. It highlights how SGs act as platforms for agricultural training and value chain participation, health financing and education, and as gateways to formal financial services. The report identifies challenges such as market access for agricultural products and a tension between the need for formal regulation and the value of informal learning processes. It concludes with priorities for the sector, including the creation of a national SG working group and a national mapping of SGs.

The document examines the development of inclusive insurance in Zambia, focusing on the role of the Technical Advisory Group (TAG) and FSD Zambia in overcoming market constraints. It details the growth of microinsurance coverage, the diversification of products and distribution channels, and the challenges of regulatory delays. The case study uses the AAER (Adopt-Adapt-Expand-Respond) framework to evaluate systemic change and provides lessons on market facilitation, emphasizing the balance between direct intervention and building local industry ownership.

The document examines the partnership between FSD Kenya, the Commercial Bank of Africa (CBA), and Safaricom to launch M-Shwari. It details how FSD Kenya provided research and technical assistance to help CBA target low-income users, leading to rapid growth and increased financial inclusion. The study uses the AAER (Adopt, Adapt, Expand, Respond) framework to analyze the systemic impact of the product, including the expansion of credit access to poorer populations through the TOBOA project and the emergence of competitive products like KCB M-Pesa.

The report examines the crowdfunding ecosystem in East Africa, noting a strong growth trend driven primarily by international donation- and lending-based platforms. While Kenya leads the region in activity, the study highlights significant regulatory uncertainty and a lack of investment-ready MSMEs as barriers to equity-based crowdfunding. It compares these findings with South Africa's more mature native ecosystem and the UK's highly institutionalized market, suggesting that mobile money integration is a key area of innovation for the region.

The document analyzes the implementation and impact of FinScope, a nationally representative survey in South Africa designed to make financial markets work for the poor. It details how the survey moved from a 2002 pilot to a sustainable, syndicate-funded model that provided essential data for the South Africa Financial Sector Charter. The study highlights a significant increase in financial inclusion from 61% to 86% between 2004 and 2014, though it notes the difficulty of attributing this change solely to the survey. It also discusses the replication of the FinScope model in 23 other countries and the emergence of similar tools like the World Bank's Global FinDex.

The report identifies a critical 'cusp group' comprising 23% of sub-Saharan Africa's population who are transitioning from absolute poverty but lack meaningful assets. By analyzing three distinct market types—the 'stuck' and over-indebted market of South Africa, the 'uncertain' and rapidly digitizing market of Kenya, and the 'squeezed' and capital-constrained market of Ghana—the document argues that credit must expand in 'healthy ways' to avoid financial crises. It recommends a tiered approach to regulation: improving market monitoring globally, leveraging digital ID and P2P lending in constrained markets, and introducing 'learner's licenses' for credit or loss-capping for lenders in over-indebted markets.

The document examines FSD Kenya's intervention to scale savings groups in Kenya by reducing formation costs and improving sustainability. It evaluates these efforts through the 'Adopt-Adapt-Expand-Respond' (AAER) framework, highlighting the transition from donor-funded pilots to fee-for-service models and the attempt to link informal groups to formal banking services like Postbank.

The report identifies a 'cusp group' comprising 23% of sub-Saharan Africa's population who earn $2-$5 per day and straddle formal and informal economies. It analyzes three distinct credit market 'faces': South Africa is 'Stuck' due to aggressive formal lending and high indebtedness; Kenya is 'Uncertain' as it transitions from traditional loans to rapid, short-term digital lending; and Ghana is 'Squeezed' by macroeconomic instability and high costs that limit formal credit access. The document argues that 'healthy' credit markets must be accessible, robust, diverse, and value-adding to prevent over-indebtedness while enabling asset accumulation. It recommends that regulators improve market monitoring, invest in digital identification, and introduce mechanisms like 'learner's licenses' for credit to protect vulnerable borrowers.

The document evaluates FSD Kenya's role in expanding financial inclusion from 27.4% in 2006 to 66.7% in 2013. It highlights successes in capacity building for banks (notably Equity Bank), facilitating the regulatory environment for M-Pesa, and developing public infrastructure like credit information sharing and an interbank payments switch. However, it notes failures in the SACCO sector and limited impact on the 'real economy' (agriculture and SMEs) due to misaligned incentives. The study concludes that while the financial system is more inclusive, the primary beneficiaries have been those above the poverty line and the supply-side providers.