1. ILO approach and experience in financial education
Yousra HAMED
Technical expert - Social Finance
International Labour Organisation

2. International Labour Organization
 Specialized Agency of the UN founded in 1919
Tripartite structure: Government, employers’ and workers’ organizations
Promotion of decent work
 4 pillars: Promoting fundamental rights at work, creating decent jobs, improving social protection, strengthening social dialogue
ILO and financial inclusion
Innovative finance for social justice
Promoting inclusive finance on 3 levels: policies, institutions and clients

3. ILO’s Financial education (FE) intervention model
WHAT DO WE DO?
DEVELOPMENT OBJECTIVE
EXPECTED OUTCOMES
Enhancing financial capabilities of target groups
Contributing to Financial inclusion for social justice
Workers, entrepreneurs, migrant workers & their families, farmers, families with working children, youth
make informed decisions about
earning, spending, savings, borrowing, using insurance, money transfers and other services
Development / adaptation of FE materials addressing needs of diverse target groups and contexts
Training of trainers
Training/counseling or (mass)media campaigns to equip target groups with financial knowledge, skills and tools
Impact assessments to refine models
Workers, entrepreneurs, migrant workers & their families, farmers, families with working children , youth... have:
built their assets
engaged into and taken advantage of income generating activities; or invested their wages
protected themselves against risks (i.e. health, accident, disaster, over-indebtedness…)
In parallel strengthening the provision of financial services
Technical assistance to Financial Service Providers (FSPs) for them to assess needs of clientele/target groups and develop relevant products
Capacity building of FSPs to improve their performances and better manage products diversification
FSPs offer credit, savings, insurance, money transfers and other products that meet the needs of target groups
Possibly combined with other support services (skills, BDS, migration) for a greater impact

4. The ILO and financial education….
The story certainly started with….
then…
and…
And then… it got more and more diversified….
With also videos, music, radio programmes , …

5. Examples of training materials
Trainer's Manual (North Africa)
Part 1: Presentation (context, objectives, strategy) and proposal of tools to help trainers organize and facilitate training
Part 2: core curriculum: 7 modules each contains 2 to 4 training sessions - total of 24 sessions in 37 hours
Part 3: Toolkit - 13 training sessions targeting workers, migrants, homeworkers and entrepreneurs
Learner Handbook (Tunisia)
Adapted to the target audience (women, youth and migrants and their families)
Uses personal stories of characters (comics, case studies, practice) 5

6. Process for FE programme development
Example: Morocco in the framework of the project Youth at Work
Identification of needs (regional mapping, BAM meetings, CMS, AMC ...)
Development of the strategy (adaptation of tools, validation workshop, ToT, integration with other project activities)
First adaptation of the material by an international trainer with experience in Morocco: cultural and target group.
Workshop on the adaptation and validation of training materials for young people in Morocco (November 2013 in partnership with the Central Bank of Morocco and CMS)
Training of trainers, testing of material and development of institutional dissemination strategies: Agadir February 2014
Finalization of training materials: End 2014 – Common national Moroccan FE material
Roll out of trainings and accreditation of trainers
Dissemination phase and potential declination of tools in other formats

8. Challenges and opportunities
Integrated approach
Monitoring
Quality
Outreach
Adaptation to the context and target groups
Limited scope with classroom trainings yet it gives an opportunity to have a common basis to use other channels.
Evaluation and impact measurment
Going beyond training of trainers and building a programme for experts, policy makers and broader development professionals
Accreditation system
International database
Locally and target adapted manuals + Generic manual available
Mass media, soap operas, theatres, flyers, brochures, e-learning…

9. Tentative programme for the NEW training programme for policy makers and development practitioners
Day 1 Key concepts Financial sectors Responsible finance: consumer protection, financial education and financial institutions’ regulations - Current trends (global) Financial services typology and financial education for improved use Day 2 Macro level and policies - Financial education country framework - Establishing institutional and governing arrangements Day 3 Designing specific strategies to address needs of various segments - Profiling the consumer market segments - Review of various delivery examples - Creating an outreach strategy for different segments Day 4 Implementation- Designing partnerships - Action planning Day 5 Market place

10. Some lessons learnt to foster impact of FE initiatives
Adapt curriculum and delivery channel to target group needs
Build on existing local financial education initiatives
Define common standards for a recognition of different financial literacy curriculum/levels
Strengthen impact assessment mechanisms
Institutionalize financial education curriculum in government programme
Identify relevant partners and build strong partnerships
Further explore innovative approaches for up scaling
Combine financial education with other services

11. Thank you! Yousra HAMED Social Finance Programme 11

12. Impact : Outreach and impact Outreach
The program covers some 20 countries in Asia, Africa and Europe
  Asia: 10,675 trained
  Africa: 400 trainers and 2000 trained
Latin America: 150 trainers and trained (2018)
  Europe: 30 consultants and trainers and thousands of trained bank clients
Impact :
Fasecolda - Colombia - Risk Management and Insurance Education
Intervention: Campaign mass media (radio-300,000) + workshops (15,000)
Results:
Participation in workshops + exposure to media campaigns helped to better identify risks, including risk management strategies and use of insurance
No evidence of changes in attitudes 12

13. Impact - Microfinance for decent work
AMK – Cambodia Innovation: Implemented an indirect training approach to improve financial literacy and staff skills by bringing important messages to group meetings throughout the loan cycle. Result: Most positive impact on customer repayment behavior: 3.4% reduction in payment delays Positive and significant impacts on: • asset accumulation at 10% increase, • financial behavior with an 8% reduction in the idea that it is impossible to save, an increase 1% of the associating savings with safer and better management of the indebtedness and a change of attitude towards the loan.

14. Impact - Microfinance for decent work
Vision Fund– Cambodia
Innovation: Classroom training for clients
Results:
Some impact on financial behavior and risk management
10% decrease in the negative perception of insurance • Partial improvement of the provision towards savings • 9% increase in the amount set aside in the event of an emergency • 22% increase in the capacity to set money aside for use in case of emergency
Little data on asset accumulation
Many mitigated and intuitive results regarding multiple borrowing / over- indebtedness and vulnerability