Inclusive and innovative finance

Context

Benin, a true pioneer of financial inclusion within the West African Economic and Monetary Union, unveiled its national financial inclusion strategy on 29 March 2023. This strategy aims to transform the financial landscape by enabling 85% of the adult population to access and effectively use suitable financial products and services by 2026.

Luxembourg Development Cooperation is fully committed to this transformation through the Inclusive and innovative finance programme, which aims to improve access to financial and non-financial products for the populations of the 12 departments of Benin. With a focus on inclusion, sustainability and security, this programme aims to reach vulnerable rural populations, young adults and women in particular.

Objectives

The overall objective of the programme is to contribute to poverty reduction among the population of Benin. Its specific objective is to improve access to and use of affordable financial products and services tailored to the needs of the adult population, within a secure environment.

By enabling more Beninese people to access suitable financial services, this programme helps reduce poverty, promote economic empowerment and stimulate socio-economic development across the country. It acts in particular through an ambitious financial education programme and adapted financial products, strengthens the Agence nationale de surveillance des systèmes financiers décentralisés and supports the deployment of agricultural insurance. Additionally, a financially inclusive society promotes economic stability and strengthens the resilience of communities to shocks and crises.

Beneficiaries

This programme is primarily aimed at vulnerable populations, actors in agricultural value chains, rural populations, women and young people across Benin's 12 departments.

Targeted geographical area

The Inclusive and innovative finance programme has national coverage.

Stakeholders

The programme brings together a large number of organisations, including:

• the Ministry of Social Affairs and Microfinance and its General Directorate for Microfinance, which is mandated to coordinate actions promoting microfinance, particularly financial education;
• the Secrétariat permanent de la stratégie nationale d’inclusion financière, in its role of coordinating inclusive finance activities;
• the Fonds national de la microfinance;
• the Fonds national de développement agricole;
• the Agence nationale de surveillance des systèmes financiers décentralisés.

The programme activities are implemented by ADA Luxembourg, GIZ and LuxDev, in collaboration with the aforementioned partners.