This is a final project done in completing the World bank Group's Open Learning Campus course on Unlocking investment and finance in Emerging and Developing Economies (EMDEs).

1. Attaining Universal
Financial Inclusion in
Ghana
A UNDP Financial strategy targeting women market traders
By: Dieu-Donne Gameli
For: World Bank Group Open
Learning Campus
Course: Unlocking investment
and finance in EMDEs.

2. Context
 Trade is the most important source of employment for women in Ghana
 It is a major contributor to the services sector, which accounted for 46.3% of
the GDP in 2018
 A joint UNDP and government of Ghana study in major markets found the
biggest hindrance to economic wellbeing of this demographic to be access to
financial services.
 For example in 2017, 54% of women in Ghana had an account with a formal
financial institution, compared to 58% for the general population and 62% for
men.

3. Financial inclusion as an SDG Imperative
 Financial inclusion is prominently positioned
as an enabler of other development goals – it
is featured as a target in 7 out of the 17 SDGs
 Growing evidence that financial inclusion
models can support overall economic growth
and development.
 In the particular case of women, studies
show that access to savings leads to positive
economic outcomes for women, including
increasing productivity and profits and
greater investment in businesses

4. A lesser focus on government
 Based on examples of financial inclusion programs in Ghana, a public-based approach
will not be sustainable
 For example, Ghana’s Microfinance and Small Loans Centre (MASLOC) initiative,
created to provide small loans to SMEs have been fraught with controversies,
political bias and high default rates
 Private sector examples have been more successful
 For example Women’s World Banking Ghana (WWBG) has been successfully providing
financial access to women in Ghana for the past 23 years on a small scale

5. Towards a more innovative solution
 Set up a $50 million microcredit insurance facility (to be used over 10 years) to insure
loans given by private financial institutions to women market traders
 The facility will be a consortium owned mainly by the private financial institutions
with support from the UNDP and government of Ghana
 This facility will take on the risks associated with private institutions lending to
traders, after the institutions methods have undergone certification
 The facility will promote expansion of the private financial institutions with a special
focus on promoting universal financial inclusion through
 Linking informal channels with formal financial services
 Promoting agent banking and other low-cost models to increase their footprint throughout
the country
 Digitizing government payments and utility payments
 Improving financial literacy among the women traders

6. Sources of Finance
 UNDP will contribute an initial $2 million from its country budget, to act as a stimulus
for the private sector, helping to maximize finance for development.
 This amount will be leveraged to bring in an extra $48 million through the various
banks that come together to form the consortium
 Already we have half of this amount from 5 of the banks, with Women Worlds Banking
Ghana (WWBG) poised to lead the consortium.
 The facility will also undertake its own investments by engaging in local and
international financial markets to grow its capital

7. References
 Government of Ghana, GDP -
http://www.statsghana.gov.gh/gdpgraph.php?graphindicators=MTE4NzYxMzkx
Ni45NDI1/gpdgraph/49pp7266p8
 World bank -
https://www.worldbank.org/en/country/ghana/publication/ghana-economic-
update-enhancing-financial-inclusion
 Financial Inclusion breakdown -
http://finclusion.org/country/africa/ghana.html#dataAtAGlance
 UNDP Financing the 2030 Agenda report -
https://www.undp.org/content/dam/undp/library/Sustainable%20Developme
nt/2030%20Agenda/Financing_the_2030_Agenda_CO_Guidebook.pdf