Financial Capability and Consumer Protection: A Way Forward to Financial Inclusion in Africa

This report shares insights from the 2009 MFW4A conference, “Promoting Financial Capability and Consumer Protection, A Step Forward towards Financial Inclusion in Africa.”

Only about 20% of households have access to formal financial services in Africa. Financial inclusion is, however, improving in the continent. The report stresses the need to offer financial access responsibly as it begins to reach more vulnerable populations. It states that the conference:

• Introduced a new approach to responsible finance;
• Linked financial literacy and capability with the broader framework for consumer protection, including government regulation and oversight and industry self-regulation;
• Suggested innovative approaches to progress toward more healthy and sustainable financial inclusion;
• Demonstrated the importance of responsible finance to unleash the potential of African financial sectors to drive economic development and reduce poverty;
• Demonstrated that the responsible delivery of financial services requires a multi-stakeholder framework that includes governments, financial service providers, and consumers;
• Highlighted the importance of partnerships among the media, consumer protection agencies, central banks, banks, ministries of finance and education and other stakeholders.

The report also includes chapters contributed by key speakers at the conference.