The investment opportunity
ATTRACTIVE GROWTH: Investments in financial sector development
Evidence shows that financial sector development drives economic growth. In most developing countries financial sectors grow at a significant higher pace than the overall economy. Driving this sector in emerging markets not only stimulates private-sector growth but also promotes a culture of saving and investment, which continues to attract significant volumes of capital.
INCLUSIVE: Investments in microfinance and SME finance
More than 1.7 billion people in developing countries remain unbanked. In addition, more than 200 million MSMEs (micro, small and medium sized enterprises) in developing economies are thought to be underserved, leading to a financing gap of USD 2.1-2.6 trillion (source: IFC). Investments provide access to capital and benefit MSMEs, as well as low- and middle- income households.
INNOVATIVE AND EFFICIENT: Fintech as the economic driver
From mobile money to branchless banking, technology has the power to revolutionize how MSME markets operate. Technological advances boost institutions’ efﬁciency and outreach capacity, increase access to clients in remote areas, and allow them to provide better services to their clients at lower costs.