Financial Technologies Global Initiative

This briefing note describes the Financial Technologies Global Initiative launched by the International Finance Corporation (IFC) in 2000 to support banks in targeting small and medium sized enterprises (SMEs) profitably. The initiative addresses principal impediments to the provision of commercially viable financial services for SMEs. It develops solutions globally, starting with six pilot projects with selected partner banks.

This note addresses the following aspects of the Financial Technologies Global Initiative:

• Background:
  • Trends in global financial markets;
  • Summary of the initiative's objectives;
  • Selection criteria for pilot projects.
• Financial technologies pilot projects:
  • Strategy and business plan development: methodology and approach;
  • Market research;
  • Development of strategic options;
  • Business plan and milestones;
  • Best practice and leading technology providers.
• Supporting initiatives:
  • 2002 International conference on technologies in small business finance;
  • Global credit bureau initiative;
  • Shared small business scoring solutions;
  • Mobile banking and payment systems;
  • Risk management integration;
  • Link to securitization strategies.
• IFC's role:
  • Investor;
  • Strategic advisor and coach;
  • Innovator and catalyst;
  • Match-maker.