The seventh edition of the Financial Inclusion Seminar of Accion Microfinance Bank will explore the impact of rising digital lending on the informal sector.
This year’s event with the theme, ‘Digital Lending: A Path to Financial Inclusion or a Barrier for the Informal Sector?’ is scheduled to be held virtually.
Via this platform, Accion MfB has over the years been at the forefront of driving crucial conversations around the evolving role of microfinance banks in expanding access to financial services, the firm stated in a statement.
From the 2017 seminar that outlined a vision for making financial inclusion a reality by 2020 to last year’s focus on digital literacy, products, and services, the Financial Inclusion series has consistently explored critical areas shaping the future of financial access for financially excluded communities.
In the statement on Wednesday, the bank said the global push towards financial inclusion has made significant strides in recent years, primarily through the rise of digital platforms and technologies.
“One of the most notable developments in this landscape is the emergence of digital lending. Peer-to-peer lending and other forms of digital credit are often hyped as a way to provide financial access to the informal sector, which is typically excluded from traditional banking services.
“However, as digital lending platforms proliferate, questions arise about their true impact on financial inclusion. Are they genuinely reaching the most vulnerable populations, or are they creating new barriers due to digital literacy gaps, accessibility issues, and the risk of predatory lending practices? The seventh Financial Inclusion Seminar will explore whether digital lending can fulfil its promise of inclusion or if it risks exacerbating existing financial disparities,” part of the statement read.
The event will bring together a diverse audience from across the financial services ecosystem, including policymakers, regulators, microfinance institutions, fintech innovators, development organisations, civil society organizations, impact investors, and representatives from financially excluded communities.