World Bank: Peru's legal and political framework “favorable” for financial inclusion.

Peru has favorable legal and political framework required to develop financial inclusion, the Financial Inclusion Global Practice Manager at the World Bank Douglas Pearce affirmed.

 

Currently, the challenge is for banking inclusion to expand, with the aim of providing a greater access to the people, he added.

 

According to the Manager, between 2011 and 2014 the rate of people, who gained access to holding a bank account, increased from 21% to 29%, “although there is still much more [to do], in order to achieve universal access.”

 

“Peru has a very favorable legal, regulatory and political framework [required] for financial inclusion. It has achieved that, but now the challenge is enabling the use [...] to increase or expand faster,” he told Andina news agency.

 

In this sense, Pierce affirmed the Peruvian government must promote a wider access to the private sector’s banking services to be taken advantage of by segments not-yet assisted by technology.

 

The measure is designed, so potential clients are allowed to use the digital mechanisms such as: Phones, access points and the bank offices as well.

 

Priority

 

For the World Bank, financial inclusion is a priority area. At the global level, it has become a to-be-reached target by 2020.

 

“In 5 years, our goal and vision is for every adult, who wants to join financial services, to be able to do so. Regarding Peru, we are supporting authorities to design a financial inclusion strategy, as the World Bank does in other 25 countries,” he told.

 

The Manager went on to add some countries are implementing legal reforms, developing institutional policies with the aim of motivating the private sector.

Likewise, mechanisms and products are created to draw the population's interest towards financial services.