1. Financial Inclusion at a Glance June 2015
Tomás Conde
BBVA Chair for Financial Inclusion, IIF
Dongyoon Kim
Intern, Global Macro Analysis
Arpitha Bykere
Associate Economist, Global Macro Analysis
Felix Huefner
Chief Economist, Global Macro Analysis

2. Financial Inclusion – From Access to Usage
Financial Access: The First Step Towards Financial Inclusion (Pages 3-10)
Asia is leading the rise in access to financial services, but variation across and within countries remains wide
Developed markets dominate traditional banking…
…but mobile banking and mobile money accounts are increasing rapidly in Sub-Saharan Africa
Trends in Usage of Financial Services (Pages 11-15)
Sub-Saharan Africa is on par with high-income countries in using mobile banking…
…but cash still dominates transfers in developing countries
Financial Inclusion and Financial Sector Development (Pages 16-17)
Financial inclusion boosts borrowing and saving in the economy…
…and is associated with a rise in the credit-to-GDP ratio
LHS: Ask Arpitha Bykere to update T:\GUEST\GlobalMacro\GEM Charts\Quarterly GDP Forecasts\EM Quarterly Growth Forecasts.xls
RHS: T:\GUEST\GlobalMacro\Inflation\Inflation_EM.xls & T:\GUEST\GlobalMacro\Inflation\Inflation_G3.xls

3. Asia Leading the Rise in Financial Access
40% of World Population Still
Without an Account…
…But Rapid Catch-up in Recent Years
LHS: Ask Arpitha Bykere to update T:\GUEST\GlobalMacro\GEM Charts\Quarterly GDP Forecasts\EM Quarterly Growth Forecasts.xls
RHS: T:\GUEST\GlobalMacro\Inflation\Inflation_EM.xls & T:\GUEST\GlobalMacro\Inflation\Inflation_G3.xls

4. Financial Access is Not Progressing Evenly Within Regions
Kenya Remains a Frontrunner…
…While Some Other African Countries Lag Behind
LHS: Ask Arpitha Bykere to update T:\GUEST\GlobalMacro\GEM Charts\Quarterly GDP Forecasts\EM Quarterly Growth Forecasts.xls
RHS: T:\GUEST\GlobalMacro\Inflation\Inflation_EM.xls & T:\GUEST\GlobalMacro\Inflation\Inflation_G3.xls

5. Large Differences in Financial Access Within Countries
Slow Reduction in Gender Gap…
…But Income Gap Narrowing More Steadily
LHS: Ask Arpitha Bykere to update T:\GUEST\GlobalMacro\GEM Charts\Quarterly GDP Forecasts\EM Quarterly Growth Forecasts.xls
RHS: T:\GUEST\GlobalMacro\Inflation\Inflation_EM.xls & T:\GUEST\GlobalMacro\Inflation\Inflation_G3.xls

6. Developed Markets Dominate in Traditional Banking
Less than 20% of World Population Holds a Credit Card
High Debit Card Ownership Leads to ATM Access in High-Income Countries
LHS: Ask Arpitha Bykere to update T:\GUEST\GlobalMacro\GEM Charts\Quarterly GDP Forecasts\EM Quarterly Growth Forecasts.xls
RHS: T:\GUEST\GlobalMacro\Inflation\Inflation_EM.xls & T:\GUEST\GlobalMacro\Inflation\Inflation_G3.xls

7. Middle East Lags Behind in Traditional Banking Activity
Share of Formal Savings in High-Income Countries Nearly Twice the Global Average
Share of Borrowers Twice as Large in Latin America Compared to Middle East
LHS: Ask Arpitha Bykere to update T:\GUEST\GlobalMacro\GEM Charts\Quarterly GDP Forecasts\EM Quarterly Growth Forecasts.xls
RHS: T:\GUEST\GlobalMacro\Inflation\Inflation_EM.xls & T:\GUEST\GlobalMacro\Inflation\Inflation_G3.xls

8. Mobile Penetration Key Tool to Boost Financial Access
Mobile Penetration Exceeds Bank Account Ownership in All Regions
Sub-Saharan Africa Makes Most Use of Mobile Penetration
LHS: Ask Arpitha Bykere to update T:\GUEST\GlobalMacro\GEM Charts\Quarterly GDP Forecasts\EM Quarterly Growth Forecasts.xls
RHS: T:\GUEST\GlobalMacro\Inflation\Inflation_EM.xls & T:\GUEST\GlobalMacro\Inflation\Inflation_G3.xls

9. Sub-Saharan Africa Leads in Mobile Money
More Than 10% of Population in Sub-Saharan Africa Has a Mobile Money Account…
…With Kenya Being the Frontrunner
LHS: Ask Arpitha Bykere to update T:\GUEST\GlobalMacro\GEM Charts\Quarterly GDP Forecasts\EM Quarterly Growth Forecasts.xls
RHS: T:\GUEST\GlobalMacro\Inflation\Inflation_EM.xls & T:\GUEST\GlobalMacro\Inflation\Inflation_G3.xls

10. Growth in Mobile Money is a Recent Phenomenon
Mobile Money Growth has Jumped in Uganda and Botswana since 2011…
…But Remains Almost Non-Existent in Indonesia and Argentina
LHS: Ask Arpitha Bykere to update T:\GUEST\GlobalMacro\GEM Charts\Quarterly GDP Forecasts\EM Quarterly Growth Forecasts.xls
RHS: T:\GUEST\GlobalMacro\Inflation\Inflation_EM.xls & T:\GUEST\GlobalMacro\Inflation\Inflation_G3.xls

11. Traditional vs. Innovative Modes of Usage
High-Income Countries Still Dominate in Traditional Banking Usage…
…But the Divide is Narrowing for Mobile Banking
LHS: Ask Arpitha Bykere to update T:\GUEST\GlobalMacro\GEM Charts\Quarterly GDP Forecasts\EM Quarterly Growth Forecasts.xls
RHS: T:\GUEST\GlobalMacro\Inflation\Inflation_EM.xls & T:\GUEST\GlobalMacro\Inflation\Inflation_G3.xls

12. Direct Deposit Services Gathering Pace
8% of Sub-Saharan Population Receives Wages Through Mobile Phone…
…But Cash Remains Important for Developing Countries Overall
LHS: Ask Arpitha Bykere to update T:\GUEST\GlobalMacro\GEM Charts\Quarterly GDP Forecasts\EM Quarterly Growth Forecasts.xls
RHS: T:\GUEST\GlobalMacro\Inflation\Inflation_EM.xls & T:\GUEST\GlobalMacro\Inflation\Inflation_G3.xls

13. Mobile Banking Promoting Account Usage
Kenya Ahead of U.S. in Mobile Banking …
…With Greece Lagging Far Behind
LHS: Ask Arpitha Bykere to update T:\GUEST\GlobalMacro\GEM Charts\Quarterly GDP Forecasts\EM Quarterly Growth Forecasts.xls
RHS: T:\GUEST\GlobalMacro\Inflation\Inflation_EM.xls & T:\GUEST\GlobalMacro\Inflation\Inflation_G3.xls

14. Rising Mobile Payment Systems
Cash Dominates Domestic Transfers in Most Countries…
…But Use of Mobile Phone to Pay Utility Bills is Picking Up
LHS: Ask Arpitha Bykere to update T:\GUEST\GlobalMacro\GEM Charts\Quarterly GDP Forecasts\EM Quarterly Growth Forecasts.xls
RHS: T:\GUEST\GlobalMacro\Inflation\Inflation_EM.xls & T:\GUEST\GlobalMacro\Inflation\Inflation_G3.xls

15. High Mobile Money Usage in Sub-Saharan Africa
Tanzania and Kenya Lead in Active Mobile Money Accounts…
…And in Transactions
LHS: Ask Arpitha Bykere to update T:\GUEST\GlobalMacro\GEM Charts\Quarterly GDP Forecasts\EM Quarterly Growth Forecasts.xls
RHS: T:\GUEST\GlobalMacro\Inflation\Inflation_EM.xls & T:\GUEST\GlobalMacro\Inflation\Inflation_G3.xls

16. Financial Inclusion Boosts Borrowing and Saving
Account Owners Tend to Save More…
…And Take Up Mortgages
LHS: Ask Arpitha Bykere to update T:\GUEST\GlobalMacro\GEM Charts\Quarterly GDP Forecasts\EM Quarterly Growth Forecasts.xls
RHS: T:\GUEST\GlobalMacro\Inflation\Inflation_EM.xls & T:\GUEST\GlobalMacro\Inflation\Inflation_G3.xls

17. Financial Inclusion Contributes to Financial Sector Growth
Countries With Higher Account Ownership Experience a Rise in Credit-to-GDP in Subsequent Years
LHS: Ask Arpitha Bykere to update T:\GUEST\GlobalMacro\GEM Charts\Quarterly GDP Forecasts\EM Quarterly Growth Forecasts.xls
RHS: T:\GUEST\GlobalMacro\Inflation\Inflation_EM.xls & T:\GUEST\GlobalMacro\Inflation\Inflation_G3.xls

18. Resources World Bank Global Findex Database
IMF Financial Access Survey
World Bank Development Indicators
World Bank Financial Development and Structure Database
IIF Coverage on Financial Inclusion: