Comoros Embarks on National Financial Inclusion Strategy
The Central Bank of Comoros (BCC) has launched a five-day training workshop aimed at developing the country’s first-ever National Financial Inclusion Strategy (NFIS). The initiative, led by the Alliance for Financial Inclusion (AFI), seeks to increase access to financial services and raise awareness among stakeholders about the importance of financial inclusion in driving economic stability and individual well-being.
The Need for Financial Inclusion
Comoros has a significant gap in bank account ownership rates, with only 25% of the population owning an account. This is significantly lower than the regional average of 55%, according to the Global Findex Database. Governor Dr. Younoussa IMANI believes that financial inclusion is crucial for the success of the country’s monetary policy.
Stakeholder Engagement
The workshop brought together key stakeholders from local banks, microfinance institutions, electronic money issuers, telecom operators, development partners, and consumer associations. The AFI’s peer learning model was applied, with presentations from Madagascar’s Ministry of Economy and Finance and Morocco’s Bank Al-Maghrib sharing their experiences in NFIS development and implementation.
A Commitment to Financial Inclusion
The BCC has been an adherent member of AFI since the beginning of 2023 and is committed to making financial inclusion a top priority. The country has seen significant progress in recent years, with the number of financial institution branches more than doubling in the past 15 years.
Challenges Facing Comoros
- Consumer Reluctance: Consumers are hesitant to join the formal financial system.
- Digital Financial Services: Increased research and investment in digital financial services, mobile money, and interoperability are needed to realize Comoros’ full financial inclusion potential.
The Way Forward
A solid NFIS can help overcome consumer reluctance to join the formal financial system. Financial institutions need to reach out to citizens and make it easier for them to open accounts and feel comfortable doing so. The BCC’s NFIS will aim to address this issue and drive inclusive growth in the country.
By establishing an NFIS, the BCC hopes to increase financial inclusion and raise awareness among stakeholders about the importance of financial inclusion in driving economic stability and individual well-being. The initiative is a crucial step towards achieving Comoros’ broader financial inclusion ambitions and will be a key factor in supporting the country’s economic growth and development.