Peer Learning and Peer Pressure Drive Policy Reforms to Enhance Financial Inclusion

Global Efforts to Promote Financial Inclusion

The Global Partnership for Financial Inclusion (GPFI), an inclusive platform comprising G20 countries, non-G20 countries, and relevant stakeholders, has been at the forefront of promoting financial inclusion. Launched in 2010, GPFI has established several working groups to implement its work program on a systematic basis.

The Denarau Action Plan

The Denarau Action Plan, a key output of GPFI’s efforts, strongly recommends that member states consider and implement best practices for women’s financial inclusion and gender considerations within national financial inclusion strategies. This comprehensive action plan aims to enhance women’s financial inclusion and gender considerations within national financial inclusion strategies.

International Collaboration and Peer Learning

The importance of peer learning and peer pressure cannot be overstated. Organizations such as the World Bank have also joined forces to advance financial inclusion. The G20, in particular, has recognized financial inclusion as a key pillar of the global development agenda, endorsing a Financial Inclusion Action Plan at its 2010 summit in Seoul.

Success Stories

According to latest data from the Alliance for Financial Inclusion (AFI), 29 countries have implemented National Financial Inclusion Strategies (NFIS) by the end of August 2016, with another 28 countries at various stages of developing their own NFIS. Global Findex data show that between 2011 and 2014, some 700 million new accounts were opened across the globe, with over 200 million resulting from national strategy implementation.

Palestine’s Efforts

In this context, the Palestine Monetary Authority (PMA) and Palestine Capital Market Authority (PCMA) have taken the initiative to develop a NFIS in line with international best practices. The PMA was established in 1994 to oversee and regulate the banking system, while the PCMA was set up in 2004 as part of efforts to promote financial inclusion.

Enhancing Financial Inclusion in Palestine

The PMA’s latest move is seen as a significant step towards enhancing financial inclusion in Palestine. By developing a NFIS that incorporates international best practices and good practices emphasized by AFI, including the Denarau Action Plan, the PMA aims to create an enabling and supportive environment for women’s financial inclusion.

Conclusion

As the world continues to grapple with the challenges of financial exclusion, it is clear that peer learning and peer pressure are essential drivers of policy reforms. By sharing best practices and leveraging international expertise, countries can accelerate progress towards a more inclusive financial system.