1. Introducing FSD Africa…

2. Presentation Outline
Who are we?
What do we do?
Why do we do it?
Who do we do it with?

3. But first, some definitions…
What is Financial Inclusion?
“…expansion of a range of financial services (including saving and deposit services, payment and transfer services, and credit and insurance) to businesses and all sections of society”
What is Financial Sector Development?
“…emergence of a robust, efficient and equitable financial market system”
Drivers/functions: Rules and regulations; human capital; infrastructure; information
Stakeholders: Banking sector; Non-bank sector (MFIs, capital markets), regulators, policy-makers, development finance institutions, international development organisations
M4P

4. Who are we…?
FSD Africa created by DFID in late 2012
Regional financial inclusion and financial sector development programme
Based in Nairobi, but pan sub-Saharan in scope (including non-DFID office countries)
GBP 30 million DFID (PSD, ARD, DFID Nigeria and Uganda) funding until 2018
Current full-time staff of five, led by Mark Napier
About to incorporate as a CLG in Kenya, but being future proofed as a potential returnable capital vehicle for DFID

5. Who are we…?
Member of a wider group of DFID financial inclusion and financial sector development programmes in Africa – the FSD Network
Access to Finance Rwanda, EFInA in Nigeria, FinMark Trust in South(ern) Africa, FSD Kenya, FSD Tanzania, FSIP Uganda, MAFiP in Mozambique, FSD Zambia
Represents a total DFID investment of GBP 140+ million, has over 85+ in-country staff
FMT 2002; FSDK 2005

6. What do we do…?
Three main areas of work:
Finance for all > access to financial services > reduction in vulnerability + increased empowerment
Finance for growth > provision of capital to real economy > inclusive economic growth
FSD network support > collaboration, best practice sharing, harmonised approach to corporate governance and M&E > value for money for DFID

7. FSDA Strategic Plan (2013-2018)
+2.3m savings accounts; +750k credit accounts, trained financial service professionals, +investee operating efficiencies, +capacity of local training providers, +women financial inclusion, +2 post-conflict & +1 francophone countries
Pillar 2
Knowledge and evidence - £6m
Pillar 1
Skills development and training - £13m
Pillar 3
Thematic programmes - £4m
Pillar 4
Regional
platform - £4m
Change management
Regional research
Retail payments, interoperability + G2P
Building services markets
Information products
Agriculture finance
Regional Centres of Excellence
Impact evaluation
Credit market development
FSD network support
Stakeholder co-ordination
Growth activities

8. What do we do…?
Finance for all > access to financial services > reduction in vulnerability + increased empowerment
Live projects / initiatives:
Women’s World Banking – USD 7.1m; NMB (Tanzania), Diamond Bank (Nigeria), NBS (Malawi); 1m access to finance; saving and credit products
Fidelity Bank – USD 175k, Ghana; 5m access to finance within 5 years; operational support to pilot agent banking roll-out
GIZ Uganda – USD 317k; Uganda with
regional potential; MM credit to 18k coffee
farmers by 2 financial institutions
Consult Hyperion - USD 185k; Somalia; 3.4m;
enhance last mile customer DD and oversight at
last mile of UK – Somalia remittance corridor

9. What do we do…?
Finance for growth > provision of capital to real economy > inclusive economic growth
Live projects / initiatives:
London Stock Exchange – USD 180k; Tanzania
with regional potential; train 100 capital
capital market leaders and trainers
Frontier Clearing Fund – USD 8.2m;
global with African TA component;
promotes long-term inter-bank lending
by guaranteeing local collateral
National Small Business Survey –
USD 148,500; Uganda with regional
potential; SME finance

10. What do we do…?
FSD network support > collaboration, best practice sharing, harmonised approach to corporate governance and M&E > value for money for DFID
Live projects / initiatives:
FSD Academy
FSD Impact Evaluation Process
FSD in a Box
FSD Project Collaboration
FSD Executive Coaching
FSD Thematic Workshops
FSD Working Groups
FSDA Resourcing

11. Why do we do it…?
Finance for all > access to financial services > poverty reduction
24% of SSA adults have access to a bank account at a formal FI
Over 200 million SSA adults remain financially excluded
Finance for growth > provision of capital to real economy > inclusive economic growth
Lack of long-term capital to satisfy long-term investment needs of ‘frontier’ sectors
Annual infrastructure investment gap USD 31 billion
FSD network support > collaboration, best practice sharing, harmonised approach to corporate governance and M&E > value for money for DFID
Lack of best practice sharing (operational and strategic), lack of harmonised approach to M&E, lack of HR function

12. e.g. Global SME Finance Facility
Why do we do it…?
e.g. FSD Network
e.g. CDC, PIDG, FIRST
e.g. Global SME Finance Facility
e.g. FSD Africa

13. Who do we do it with…? Private Sector Public Sector Donors and DFIs
Thought-leaders
Practitioners
MFIs
Banks
Stock Exchanges
Brokers
Telecom companies
Insurance companies
Private equity firms
Central Banks
Ministries of Finance
International and national regulators
National Pension Funds

14. Thank you