ACCION's Model for Social Change

This paper describes ACCION's model for social change and its attempts to galvanize action towards financial inclusion. ACCION's understanding of poverty includes the dimensions of vulnerability and self-help. Recognizing that low-income people need financial services, it has expanded its target population, range of financial services, and geographic coverage. ACCION believes that experimentation and innovation must occur at the ground level to develop new ways to reach people. Systemic change must take place in financial institutions and the broader society. By focusing on commercial microfinance, ACCION has aided the transition of microfinance to the mainstream, and worked to make MFIs sustainable and achieve scale. It aims to attract commercial players into microfinance, both as service providers and as sources of finance. Finally, the paper describes the following strategies that ACCION uses to catalyze change:

• Build demonstration models;
• Innovate to solve key industry challenges;
• Use its own influence to lead the industry.