World Bank Lending for Financial Inclusion : Lessons from Reviews of Select Projects
The purpose of the paper is to present a more granular view of such projects through the in-depth focus on a limited number of case studies, with a view to understanding what factors in the design of such lending have helped achieve objectives of e...
| Main Authors: | , , |
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| Format: | Working Paper |
| Language: | English en_US |
| Published: |
World Bank Group, Washington, DC
2015
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| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/2015/01/24171436/world-bank-lending-financial-inclusion-lessons-reviews-select-projects http://hdl.handle.net/10986/21796 |
| Summary: | The purpose of the paper is to present a
more granular view of such projects through the in-depth
focus on a limited number of case studies, with a view to
understanding what factors in the design of such lending
have helped achieve objectives of expanded access, and what
forms of interventions may have been less successful. It
examines the nature of Bank lending vehicles, the partnering
borrower institutions, the country environments in which its
loans were extended, as well as broader elements of good
practice that make for loan success. It examines the
beneficiaries targeted and results achieved. It aims to
draws lessons that suggest what factors could lead to
success or failure in Bank operations focused on financial
access. The remainder of the paper is organized as follows:
section two briefly describes the set of the Bank s projects
selected for detailed review. Sections three to six contain
the core findings of the review. Section 3 focuses on
alternative forms of borrower institutions that have served
as vehicles for Bank projects, particularly, public sector
banks, apex bank structures that include the private sector,
rural banks, nonbanks, non-governmental organizations (NGOs)
and microfinance institutions, in terms of the degree to
which the Bank has been able to successfully partner with
such institutions to expand financial access. It also looks
at alternative forms of Bank loan design, policy-based
loans, investment loans and lines of credit, Learning and
Innovation Loans (LILs), matching grants, technical
assistance and combinations thereof, and reviews evidence on
the role of loan structure (including partnerships with
other donors/lenders) and project success. Section four
considers the effect of the broader business environment, in
terms of financial regulation. Section five reviews elements
of good practice that have contributed to success in lending
that could be applicable to loans with any objective, and
examines their application in the present context. Section
six tries to construct a bottom line, reviewing available
evidence on outcomes and impact; especially in terms of the
ultimate beneficiaries reached. Section seven, the final
section, summarizes the main messages emerging from the
review and concludes with observations about ways forward. |
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