Next Billion Cover image
article
Digital Inclusion Digital Payments Digital Recordkeeping Digital Transformation Financial Products & Services Financial Service Providers Formal Finance Informal Finance Monitoring & Evaluation User Experience

Reaching Informal Savings Groups with Formal Financial Products: A Study’s Unexpected Findings Reveal the Challenges of Digitizing Transactions

Published by
Raksha Vasudevan
2022
NextBillion
View Resource

This article discusses the main findings from a qualitative assessment of Savings at the Frontier (SatF) projects in Ghana, Tanzania, and Zambia, implemented in 2015-2022 and funded by the Mastercard Foundation. The program sought to bridge the gap between formal financial services and informal savings groups, enabling members to access the financial services that best meet their needs. The article concludes that despite relatively high uptake and usage of both group and individual bank accounts, digital channels remain slow to develop. It then explores the main reasons for the slow digitization of savings groups and raises several questions that financial service providers and financial inclusion programs may find useful to consider.

Leave a Reply

View all comments

Related Resources

Read
Tool
Digital Financial Services Digital Identity Digital Transformation Digitization Benefits
Glossary e1653431870470
Tool
Digital Financial Services Digital Identity Digital Transformation Digitization Benefits

DSG Glossary: Key Concepts and Terms

By David Panetta, DSG Hub
Global Communities
2022

DSG Glossary: Key Concepts and Terms

The glossary is a compilation of definitions related to digitization of savings groups, created to help stakeholders working in the DSG sector use the right words and ask the right questions. DSGs lie at the intersection of savings groups, financial inclusion, and technology—each with their own body of knowledge and technical language. The purpose of […]
Read
Research
Digital Inclusion Digital Literacy Digital Transformation Digitization Benefits
4a. AKF COVER
Research
Digital Inclusion Digital Literacy Digital Transformation Digitization Benefits

From Cash to Digital Savings Groups

Aga Khan Foundation (AKF), BFA Global
2018

From Cash to Digital Savings Groups

This study presents findings about the effects of digitization on women’s savings groups from a randomized control trial in Southern Tanzania. The trial was implemented in 2016-17 by the Aga Khan Foundation (AKF), Selcom, and BFA Global. The product tested was a software platform built by AKF and Selcom that allowed group members to save, […]