Thirty years ago, CGAP was established to prove the concept of microcredit as a way to benefit people and economies. Since then, our vision has evolved as microcredit morphed into microfinance, then into financial inclusion and digital finance, and, most recently, into inclusive finance.
Three decades on, the world is a very different place, but our core commitment to advancing the lives of people living in poverty through financial inclusion remains unchanged.
As the Global Findex Database continues to show, the industry has made enormous strides in making financial ecosystems meet the needs of the poor. But more remains to be done.
One thing is abundantly clear: real change is only possible when stakeholders from public, private, and non-profit sectors work together on a coherent approach. We have always prided ourselves on this power of community and the integral role that CGAP can play in bringing organizations from all parts of the inclusive finance ecosystem, and beyond, together. This has been at the heart of how we operate for three decades, and it’s through such collaboration that we have made the greatest impact.
One thing is abundantly clear: real change is only possible when stakeholders from public, private, and non-profit sectors work together on a coherent approach.
So, it was heartening to see in our recent Stakeholder Survey that CGAP’s convening power is one of the things that our partners value the most when they work with us, too.
Based on a survey conducted by Dalberg Associates of more than 200 of our partners and stakeholders, including world-leading development organizations, funders, non-profits, private institutions, sector support organizations and governing bodies, 85% of respondents agreed that CGAP has a strong ability to convene a wide range of stakeholders under shared visions for financial inclusion – a welcome endorsement at a time when our sector needs collaboration more than ever.
The survey also underscored the continued importance of quality thought leadership and knowledge for inspiring action in the sector. Around 85% of responses revealed that they have been positively influenced by CGAP’s work in the past 18 months, with more than one-third (36%) having taken action as a result.
And amongst those who have taken action, three quarters (76%) of responses reported that CGAP’s work has informed or influenced their design of products, services or development programs or policies, whilst the survey also found that CGAP’s work has helped 65% adapt to new trends and developments, and more than half (53%) have used it to make strategic mid- and long-term plans.
Looking to the future, it is also clear that the sector is placing a higher value on evidence-based and impact-focused approaches to measurement and operations, as organizations seek to achieve more with less.
Our recently launched Impact Pathfinder is our latest effort to meet this need. By making existing evidence on inclusive finance more accessible and actionable, it aims to help our global community of donors, investors, policymakers, researchers, and financial service providers make more informed decisions on inclusive finance. Based on over 600 studies, the platform enables users to find answers to critical questions from existing research, showing both the strength and directionality of the evidence and identifying where further research is needed. This comprehensive approach ensures that stakeholders can make data-driven decisions that maximize the impact of their inclusive finance initiatives.
This complements the many forward-thinking pilots that our teams run with partners to develop new approaches to inclusive finance – from working with the Superintendencia de Banca y Seguros in Peru and the National Bank of Rwanda to pilot a Responsible Digital Finance Ecosystem (RDFE) Framework, where a wide range of actors come together to safeguard consumers from potential harm and ensure that digital financial services enrich their lives; to analyzing the results from multiple years of research and pilot projects to make recommendations for ushering in the next generation of inclusive MSE finance ecosystems, to name but a few recent examples.
We have made great efforts to keep innovating in a fast-changing environment, and it’s encouraging that this approach is resonating with our partners, with 87% of respondents to our Stakeholder Survey finding that CGAP focuses on emerging topics in financial inclusion, and more than three-quarters (78%) agreeing that CGAP is agile in adapting its research to new trends.
Our driving principle – that true change is only possible through collaboration – remains as true today as it has always been. Ongoing engagement with our stakeholders and partners will continue to underpin everything we do, alongside our strong focus on innovation and impact.
We are immensely grateful to the stakeholders and partners who have stood shoulder-to-shoulder with us so far – for their openness to new ideas, for their willingness to learn and innovate with us, and ultimately for contributing to the significant progress we have seen in financial inclusion over the past decade, by taking some of our solutions to scale.
It is with this same gratitude that we look ahead – to taking part in more inspiring collaborations, setting up more transformative partnerships, and working alongside more organizations and individuals with a focus on impact in everything we do.
Thank you to everyone who has been on this incredible journey with us. There is so much more to achieve together!
The CGAP Leadership Team
