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
Multimedia
Digital Inclusion Digital Literacy Digitization Benefits Digitization Risks & Barriers
FinEquity Annual Mtg image
Multimedia
Digital Inclusion Digital Literacy Digitization Benefits Digitization Risks & Barriers

FinEquity 2023 Annual Meeting

CGAP
2023

FinEquity 2023 Annual Meeting

FinEquity’s 2023 Annual Meeting explored the nexus linking financial inclusion, women’s empowerment, and climate change, with the purpose of understanding how financial services can help women adapt their livelihoods to erratic rainfall patterns and rising temperatures to mitigate climate risks. Among others, the speakers addressed digitally-enabled financial inclusion, stressing the importance of designing digital financial […]
Read
Research
Digital Inclusion Digital Recordkeeping Digitization Benefits Digitization Risks & Barriers
Resource image 1
Research
Digital Inclusion Digital Recordkeeping Digitization Benefits Digitization Risks & Barriers

Digital Savings Groups: Evidence from Tanzania

By Julia Arnold
Project Concern International (PCI), International Center for Research on Women (ICRW), DreamStart Labs
2020

Digital Savings Groups: Evidence from Tanzania

This report provides some of the first insights into how savings groups can successfully transition from paper to digital ledgers and examines some key hypotheses about digitizing savings groups. Specifically, the report presents findings from an evaluation of a pilot test of DreamSave—a digital savings ledger—conducted by Project Concern International (PCI)—A Global Communities Partner, DreamStart […]