Thread by @Consumers_Int

In June, @WorldBank published their #GlobalFindex Report '21.

The report highlights the need for strong #consumerprotection frameworks to ensure equitable access to #DigitalFinance.

🧵Our key takeaways:

https://twitter.com/WorldBank/status/1549650388449722370

Digital banking is on the rise globally.

▶️76% have an account with a bank or mobile money provider, up from 51% a decade ago

▶️In developing countries, this % rose from 42% to 71%

▶️ For the 1st time the gender gap between women and men who hold accounts has narrowed to 4%.

#InclusiveFinance is critical to meeting the SDGs.

▶️ Digitalisation increases transparency & reduces corruption

▶️ It increases women's financial independence and empowerment

▶️Households are better able to withstand financial shocks and prepare for emergencies.

#FairDigitalFinance has a long way to go.

▶️1.4 billion remain #unbanked

▶️Unbanked adults usually live in rural, poor areas with little access to education or internet

▶️Lack of money, distance to financial institutions, insufficient documentation most commonly cited reasons.

Consumer protection frameworks are critical to sustainable financial inclusion.

▶️Low income, unbanked and 1st-time account holders most vulnerable

▶️ Risks include: high or hidden fees, overindebtedness, fraud & discrimination

▶️Safeguards are needed to build #publictrust

Governments and regulators should ensure:

▶️Accessible information about fees so consumers know exactly what & when they will be charged

▶️Clear guidelines for financial institutions around disclosure and transparency

▶️Provision of financial literacy education.

At Consumers International, we work to ensure regulation and policy does not fall behind this rapid rise in financial digitisation.

Our #FairDigitalFinanceAccelerator builds up consumers associations in LMICs to ensure digital finance works for #consumers
consumersinternational.org/what-we-do/dig…