Masisi pushes banks towards financial inclusion

President Dr Mokgweetsi Masisi wants the local banking industry to tap into the unbanked, as part of efforts to eradicate poverty.“Across the African continent and the world over, financial inclusion is becoming a priority for policymakers, regulators and development agencies. “It has been identified as an enabler for 7 out of the 17 Sustainable Development Goals,” said Masisi launching the First Capital bank’s headquarters in Gaborone recently. The sustainable development goals (SDGs) are the blueprint to achieve a better and more sustainable future for all, set by the United Nations General Assembly in 2015. Masisi said an ideal financial service inclusion scenario would be one where individuals and businesses irrespective of location, gender and level of education have access to useful and affordable financial products and services. “This is one of the key strategic priorities for financial sector development in Botswana,” he said. Masisi reiterated that government has developed a financial inclusion roadmap and strategy providing a holistic outlook to improve financial and provide better services. With five priority areas - improvement of payments eco-system, facilitation of low cost, accessible savings products, development of accessible risk mitigation products, improvement of the credit market and consumer empowerment and protection, the blueprint is set to achieve financial inclusion in the local economy. Quoting the world’s leading organisation on the financial inclusion policy and related regulations – Alliance for Financial Inclusion, Masisi said estimates indicate that approximately two billion adults worldwide, do not have an account in a formal financial institution. He further said the vast majority of the unbanked adults live in developing countries, adding that Botswana agrees with the World Bank in considering financial inclusion as a key enabler to reduce extreme poverty and boost shared prosperity.