PowerPoint presentations from Fundación Capital's South-South Knowledge Exchange Forum, organized with support from IFAD "Leveraging Opportunities to Encourage Financial Inclusion"

1. Fundación Capital:
The LIFT Project
Achieving Inclusion with
Technology and Savings
Ana Pantelic
Project Coordinator, LIFT Colombia
South-South Cooperation Initiative Forum
June 21st, 2012 – Johannesburg, South Africa

2. Agenda
• Introduction: Working Toward Financial Inclusion
• The Traditional Approach to Financial Education
• Technology and Financial Education
• Freeing Financial Education:
The LIFT Colombia Pilot Project
• Conclusions, Q&A
www.fundacioncapital.org

3. Fundación Capital
Fundación Capital is a regional development organisation whose mission is
to reduce poverty through the development, design and implementation of
innovative initiatives that allow low-income persons to build assets.
• Assets and Connections: Turning remittances into savings and
enterprise
• Graduation Project: A permanent exit out of poverty
• LIFT Colombia: Achieving inclusion with savings and
technology
• Little BIG Money: Microinvestment platform for social
development
• Proyecto Capital (The Capital Project): Large scale initiatives;
reaching millions
www.fundacioncapital.org

4. www.fundacioncapital.org

5. The Traditional Approach to Financial Education:
"Pros" and "Cons"
• Promotes better use of • High implementation costs
scarce resources, (for both provider and
encourages savings and receiver of education)
the accumulation of assets • May not be adapted to the
• Effective demand-side audience (BoP) or
inclusion intervention sufficiently personalized
• Contributes to • May not be linked to
empowerment and gender specific financial products
equality or services currently in the
• Promotes poverty market
reduction • Difficult to scale up
www.fundacioncapital.org

6. Technology and Financial Education
• Intuitive and interactive (high level of interaction)
• Overcoming literacy obstacles
• Direct and immediate access to financial info and services
• Personalized user experience (self-teaching)
• Decreases costs of financial education
• Scaling up (reaching a wider audience in hard-to-reach areas)
• Linking financial education to mobile banking
• Providing education through 'nudge' messages
• Access to information about other products and services
(medical questions, agricultural prices, legal services, etc.)
www.fundacioncapital.org

8. LIFTColombia:
Achieving Inclusion with Technology and Savings
• Harnessing innovations in
mobile technology to expand
financial capability and asset
building among low-income
families and individuals.
• Testing new channels for
engaging the poor, providing
them with the tools they need
to save in the financial system
and make sound financial
decisions.
www.fundacioncapital.org

10. LIFTColombia:
Freeing Financial Education
www.fundacioncapital.org

11. LIFTColombia:
Financial Education: The ABCs of Savings
www.fundacioncapital.org

12. LIFTColombia:
Interactive Savings Calculator
www.fundacioncapital.org

13. LIFTColombia:
Interactive ATM Simulator
www.fundacioncapital.org

14. LIFTColombia:
Reinforcement Through "Nudge Messages"
• Tablet-generated SMS messages
• Automatic mobile incentives (via tablet)
• Financial "Rules of Thumb" sent to users through
text and voice messages
www.fundacioncapital.org

15. LIFTColombia:
Making Peer Incentives Work for Savings
• Coupling public
encouragement
mechanisms with
incentive programs to
encourage savings by
individuals and their
communities.
www.fundacioncapital.org

16. THANK YOU FOR YOUR ATTENTION
Ana Pantelic | ap@fundacioncapital.org
www.fundacioncapital.org