The foundation's Financial Services for the Poor initiative works with partners to lower the cost, increase the value, and expand the availability of savings accounts and other financial services in developing countries. We make grants in four linked areas:
- Supporting innovations in product design and delivery
- Helping reach the poor at scale
- Strengthening underlying financial systems
- Improving the policy environment
Please note that we make Financial Services for the Poor grants through requests for proposals (RFPs).
Supporting Innovations in Product Design and Delivery.
Traditional financial services are often too costly and inconvenient for the poor to obtain, and too expensive for banks to provide. We fund innovations in product design and delivery—like mobile-phone banking and the delivery of financial services backed by banks through neighborhood stores—that make it possible to bring quality, affordable savings accounts to the doorsteps of the poor. We also support the design and provision of new products—like crop and health insurance—that can help address some of the biggest causes of poverty in the developing world.
Help Reach the Poor at Scale: One way to dramatically increase the availability of financial services is to ensure that effective approaches reach as many people as possible. We're supporting efforts by a wide range of organizations—from commercial banks and credit unions to retail stores and microfinance institutions—to expand successful approaches to providing savings accounts. Our support takes different forms—from helping banks and retailers develop viable business models, to linking credit unions together to improve client service and efficiency, to assisting microfinance institutions with offering savings in addition to loans.
Strengthening Underlying Financial Systems.
Providing financial services to the poor requires a number of underlying systems that are not often widely available in the developing world. We work to link financial service providers to critical infrastructure—like payment systems and credit bureaus—necessary to extend savings accounts to many more poor people. We also support the design and development of financial instruments that help these institutions mobilize and manage the capital necessary to deliver these services.
Improving the Policy Environment.
An effective policy environment makes it easier and safer for financial institutions to provide, and the poor to obtain, savings accounts and other financial services. We invest in research, data collection, and policy analysis that shed light on promising approaches—particularly approaches that make it possible to reach the poor through channels like stores, post offices, and mobile devices. We also support developing country policymakers design and implement sound policies by linking them with peers who have identified best practices in similar circumstances. When appropriate, we support advocacy efforts that highlight the importance of financial services for the poor.