Financial inclusion and literacy

Public Policy and Regulation

Public policies and regulatory frameworks play a crucial role in the development of financial systems. Through technical cooperation programs and public-private partnerships, CAF seeks to contribute to the design and implementation of public policies or national strategies for financial inclusion and education, as well as regulatory frameworks that respond to Latin American and Caribbean realities, protecting users and promoting the development of new financial products.

CAF has supported more than 17 public institutions in 10 countries in the design and evaluation of policies focused on financial inclusion and education.

Featured Projects:

• CAF supported SEPS -Superintendency of the Popular and Solidarity Economy- and the Superintendency of Banks of Ecuador in designing a regulatory framework that promotes the development of financial products with a gender focus, strengthens supervision of the cooperative sector, and fosters the development of SEPS's digital infrastructure.

• CAF also supported SEPS in strengthening the institution's regulatory framework to implement and evaluate SEPS's financial education programs and the entities it regulates. Additionally, the aim was to analyze the institution's regulatory framework to promote ethics and good governance within the entities regulated by SEPS.

• CAF provided support in the construction of Panama's financial inclusion strategy (ENIF), collaborating with the Superintendency of Banks to improve the financial education and capabilities of the population, reduce the gender gap in the ownership of financial products, and increase the use of digital financial services.

• CAF supported the Central Bank of Paraguay in identifying regulatory deficiencies in capital adequacy, liquidity, and risk-weighted assets in Paraguay's financial system.

Knowledge Generation and Dissemination

At CAF, we are committed to generating and disseminating knowledge that promotes sustainable development in the region. We have conducted the financial capabilities survey in several Latin American and Caribbean countries according to OECD/INFE guidelines, providing valuable data to understand and improve the financial education of our communities. Additionally, we conduct studies and research that are regularly published, addressing crucial topics such as financial inclusion and education, and financial well-being.

• 17 national Financial Capabilities surveys in 11 countries in the region
• Over 120 research and dissemination publications
• More than 50 blogs
• Participation in webinars and dissemination events

Access our interactive financial capabilities data viewer

Read our publications on financial literacy and financial inclusion

Read our blogs on financial inclusion

Discover CAF's financial inclusion playlist

Featured Projects

• Determinants of Financial Well-being: Evidence for Latin America (2020) 

• Experimental Gender Study (2024)

VISIT OUR INTERACTIVE FINANCIAL CAPABILITIES DATA VIEWER

Financial Literacy

CAF recognizes financial literacy as a key tool for economic and social development. Therefore, we implement various initiatives, such as training workshops, studies and research, collaboration with institutions, and the production of educational resources, to improve the financial capabilities of individuals and communities in the region.

• 5 editions of the Diploma in Financial Inclusion, as well as 3 exclusive editions for Ecuador.
• 3 editions of the Financial Education MOOC.
• More than 1,000 participants.

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Vulnerable Populations

• 43 women deprived of their liberty in two prison units of the Uruguayan penitentiary system have been trained through financial education and entrepreneurship workshops.  

• 4 teachers and 71 students from the Jarakí indigenous community have participated in financial education programs. The entire Jarakí community of the Lago de Praia village in the state of Pará, Brazil, composed of 200 people, has also benefited thanks to the knowledge dissemination by the village students.  

• The financial well-being of the population of the predominantly rural and Quechua-speaking department of Ayacucho, Peru, has been improved through the promotion and evaluation of the UNICAs program in 1,514 inhabitants of the region. This program, driven by COFIDE through PRIDER, allows participation in credit and savings unions for more than 20,000 PRIDER beneficiaries throughout Peru and the 24,000 inhabitants of the Ayacucho department.  

• Through the Mayores Activos platform of the Banco de la Nación Argentina, financial education and management services are offered to more than 7 million older adults in Argentina. 

Featured Projects

• CAF has supported COFIDE in developing the Mi Yunta Financiero app to help its clients improve their financial education and adopt better financial behaviors related to savings. 

Financial Inclusion with a Gender Focus

Closing the gaps in women's financial inclusion is a crucial part of CAF's financial inclusion strategy for the region. CAF works to reduce these gaps through financial education and the development of financial products tailored to women's needs. These actions aim to foster sustainable and equitable development in the countries of the region.

• Around 2,600,000 women benefited from the design of gender-focused products.
• More than 21,000 micro-entrepreneurs have received microcredits.
• 25 technical cooperation projects since 2019 focused on women's financial inclusion in the region. These include the design of regulations, financial education initiatives, and the design of products and services, among others.

Featured Projects

• CAF and UNDP have launched the Gender Equality Seal for Public Financial Institutions, an initiative that seeks to reduce the gender gap in financial access in Latin America. This pilot program, implemented in Argentina, Bolivia, and Mexico, promotes institutional transformation and the development of gender-focused financial products, measuring key indicators on women's access to and use of financial services. 

• CAF and the Inter-American Commission of Women (CIM) are advancing in the design of a Model Law on Financial Inclusion for Women in Latin America. This project, which aims to close gender gaps in access to and use of financial services, is based on a thorough analysis of women's economic rights and collaboration with various multilateral organizations. 

• CAF supported INAMU of Costa Rica in: (i) developing public policies in coordination with entities such as the Central Bank, Superintendency of Banks, Ministry of Economy, (ii) a pilot program with 3 financial institutions to implement the guidelines, and (iii) a guide to enable INAMU to manage technical assistance to financial institutions. 

• Support to the Peruvian Federation of Municipal Savings and Credit Banks in developing the gender cooperative policy of Peru's savings and credit system through two components: gender policy within cooperatives, and development of new products: savings, insurance, and credits. 

Financial Inclusion Laboratory

The CAF Financial Inclusion Laboratory aims to support projects and initiatives that incorporate technological elements and are highly innovative. These initiatives aim to reduce the gap between the unbanked and the banked population and promote the use and quality of financial products and services. 

• 749 fintech companies have participated in the lab.

• 50 winning initiatives driving financial inclusion for vulnerable populations and MSMEs.

• Over 90 strategic partners across CAF member countries, including industry associations, multilateral organizations, public sector entities, banks, academia, and the tech and entrepreneurial ecosystem.

• More than 14 million people have benefited from the lab's winning fintech solutions.

• Over 930,000 MSMEs have gained access to financial services through the lab’s winning fintechs.

LIF 2024

The sixth edition of the Financial Inclusion Lab (LIF 2024) focused on advancing fintech initiatives that foster financial inclusion for MSMEs and vulnerable communities across the region through artificial intelligence-driven technologies.

Innovative Financial Products

CAF promotes financial inclusion through innovative products such as digital microcredit, alternative credit evaluation models, inclusive savings accounts, digital payments platforms and parametric insurance. CAF also supports investments in infrastructure and FinTech projects that seek to improve connectivity and facilitate financial inclusion. 

It is estimated that around 6.8 million people have benefited from the use of these products. 

It is estimated that more than 7.1 million MSMEs have benefited from the use of these products. 

• CAF and FEPCMAC signed an agreement to analyze and design the necessary components for municipal savings banks in rural areas to offer 100% digital working capital loans, with the objective of accelerating the digitalization of the financial sector and facilitating access to credit for MSMEs in underserved areas of rural Peru. 

• CAF has supported ANIF in the design of innovative financial products for MSMEs in Colombia, promoting the creation and development of financial services based on data from the “Small Firm Diaries” study and new data generated using a digital platform. This support has made it possible to identify and meet the needs and behaviors of MSMEs, improving their access to financing and promoting their growth and productivity. 

• Together with Andean microfinance institutions, CAF developed a tool to strengthen environmental and social risk management systems (ESRMS) in banks and regulators. This tool offers training to create financial products in green business and energy efficiency, as well as contributes to climate risk management in Latin American financial institutions, facilitating its monitoring and reporting. 

Partnerships with Financial Institutions for the Inclusion of MSMEs

CAF grants lines of credit to development financial institutions and private commercial banks to finance MSMEs. It also offers partial guarantees for MSMEs, sharing the risk with financial intermediaries and complementing national guarantee systems. These initiatives have a positive impact on the employment and production of MSMEs, with the objective of increasing their productivity and strengthening regional productivity.

• It is estimated that each MSME that benefits from a CAF credit line would have created 13 new jobs.
• Since 2019, more than 410.000 MSMEs have been financed through CAF lines of credit.
• More than USD 6,2 Billion has been paid through these lines of credit.

Featured projects

• CAF has granted USD 50 million in lines of credit to MSMES through the Paraguayan Development Agency.