El Salvador Financial Sector Assessment Program Update : Financial Inclusion

Financial service provision has expanded since the 2004 financial sector assessment program (FSAP) update, but access to financial services can expand greatly through mobile banking. An estimated 47 percent of adults in El Salvador have deposit acc...

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Bibliographic Details
Main Authors: World Bank, International Monetary Fund
Format: Report
Language:English
en_US
Published: Washington, DC 2017
Subjects:
ATM
NPL
Online Access:http://documents.worldbank.org/curated/en/419051468233694849/El-Salvador-Financial-inclusion-technical-note
http://hdl.handle.net/10986/27768
id okr-10986-27768
recordtype oai_dc
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
en_US
topic ACCESS POINTS
ACCESS TO CREDIT
ACCESS TO FINANCE
ACCESS TO FINANCIAL SERVICES
ACCESS TO FINANCING
ACCOUNTING
ANTI-MONEY LAUNDERING
APPROVAL PROCESS
ARBITRAGE
ARBITRATION
ATM
ATMS
AUDITING
AUTOMATIC TELLER
BANK CREDIT
BANK FINANCE COMPANIES
BANK FINANCING
BANKING SYSTEM
BIASES
BORROWER
CAPITAL ADEQUACY
CAPITAL ADEQUACY RATIOS
CAPITAL MARKETS
CAPITAL REQUIREMENT
CENTRAL BANK
COLLATERAL
COLLATERAL REQUIREMENTS
COLLATERALIZATION
COMMERCIAL BANK
COMMERCIAL BANKS
COMMERCIAL CREDIT
COMMERCIAL TRANSACTION
CONSULTATION PROCESS
CONSUMER CREDIT
CONSUMER CREDITS
CONSUMER LENDING
CONSUMER LOAN
CONSUMER LOANS
CONSUMER MARKET
CONSUMER PROTECTION
CONSUMER PROTECTION LAW
CONSUMER PROTECTION LAWS
CONSUMERS
CONTRACT ENFORCEMENT
COOPERATIVE BANKS
COOPERATIVES
CREDIT BUREAU
CREDIT BUREAUS
CREDIT CARD
CREDIT CARD USE
CREDIT CARDS
CREDIT CONSTRAINTS
CREDIT COOPERATIVES
CREDIT DECISIONS
CREDIT GROWTH
CREDIT HISTORIES
CREDIT INFORMATION
CREDIT INFORMATION SYSTEMS
CREDIT NEEDS
CREDIT PRODUCTS
CREDIT PROVISION
CREDIT REGISTRY
CREDIT RISK
CREDIT WORTHINESS
CREDITS
DEBT
DEBT REPAYMENT
DEBTS
DELINQUENCY
DEPOSIT
DEPOSIT ACCOUNT
DEPOSIT ACCOUNTS
DEPOSIT INSURANCE
DEPOSIT SERVICES
DEPOSITORS
DEPOSITS
DEVELOPING COUNTRIES
DEVELOPMENT BANK
DEVELOPMENT BANKS
DISPUTE RESOLUTION
DOCUMENTATION REQUIREMENTS
ECONOMIC ANALYSIS
EDUCATIONAL ACTIVITIES
EMPLOYEE
ENTERPRISE CREDIT
ENTERPRISE CREDITS
EQUIPMENT
EQUITY CONTRIBUTIONS
EXCHANGE RATES
FACTORING
FAMILY MEMBERS
FAVORABLE TERMS
FINANCE COMPANIES
FINANCIAL ACCESS
FINANCIAL AUTHORITIES
FINANCIAL CONGLOMERATES
FINANCIAL COSTS
FINANCIAL CRISIS
FINANCIAL EDUCATION
FINANCIAL INFRASTRUCTURE
FINANCIAL INSTITUTION
FINANCIAL INSTITUTIONS
FINANCIAL LITERACY
FINANCIAL SECTOR
FINANCIAL SECTOR ASSESSMENT
FINANCIAL SERVICE
FINANCIAL SERVICES PROVIDERS
FINANCIAL STATEMENTS
FINANCIAL SYSTEM
FINANCIAL TRANSACTIONS
FINANCING COST
FINANCING COSTS
GENERAL PUBLIC
GOVERNMENT LENDING
GOVERNMENT SUPPORT
GROSS DOMESTIC PRODUCT
GROUP LOANS
HOUSEHOLDS
HOUSING
HOUSING FINANCE
INCOME TAX
INFORMATION TECHNOLOGY
INSTRUMENT
INTEREST INCOME
INTEREST MARGIN
INTEREST RATE
INTEREST RATES
INTERNAL FINANCING
INTERNATIONAL BANK
INTERNATIONAL BANKS
INVENTORY
JURISDICTION
LARGE FIRMS
LEGAL FRAMEWORK
LEGAL SYSTEM
LEGISLATION
LENDER
LENDER OF LAST RESORT
LENDERS
LENDING INSTITUTIONS
LOAN
LOAN ACCOUNTS
LOAN AMOUNT
LOAN BALANCE
LOAN CATEGORIES
LOAN COOPERATIVES
LOAN MARKET
LOAN PORTFOLIO
LOAN SIZE
LOAN SIZES
LOANS TO INDIVIDUALS
LOW-INCOME
LOW-INCOME BORROWERS
LOW-INCOME CONSUMER
MARKET DATA
MARKET PARTICIPANTS
MATURITY
MEDIUM ENTERPRISES
MICROENTERPRISES
MICROFINANCE
MICROFINANCE INSTITUTION
MICROFINANCE INSTITUTIONS
MICROFINANCE LOANS
MICROFINANCE SECTOR
MONETARY FUND
MORTGAGE
MORTGAGE CREDIT
MORTGAGE FINANCE
MORTGAGE LOANS
MOVABLE ASSETS
MUNICIPALITIES
NATIONAL CREDIT
NET INTEREST MARGIN
NON-PERFORMING LOAN
NON-PERFORMING LOANS
NONBANK INSTITUTIONS
NPL
OUTREACH
OVERHEAD COSTS
PAYMENTS SYSTEMS
PENALTIES
POINT OF SALE
POINT-OF-SALE
PORTFOLIOS
PROFIT MARGIN
PRUDENTIAL REGULATION
PUBLIC BANKS
PURCHASING POWER
PURCHASING POWER PARITY
RANGE OF CREDIT PRODUCTS
REMITTANCE
REMITTANCE SERVICE
RETURN
SALARY
SALES
SAVINGS
SAVINGS DEPOSIT
SAVINGS PRODUCTS
SHARE OF CREDIT
SMALL BUSINESSES
SMALL ENTERPRISES
SMALL LOANS
SMALLER ENTERPRISE
SMALLER ENTERPRISES
SMALLER FIRMS
STATE BANKS
SUPERVISORY AUTHORITY
SUPERVISORY POWERS
TAX ADVANTAGES
TAX CODE
TAX COMPLIANCE
TAX LAWS
TAX PROVISIONS
TECHNICAL ASSISTANCE
TERM DEPOSITS
TRANSPARENCY
UNION
UNREGULATED FINANCIAL INSTITUTIONS
UNSECURED LOANS
USE OF COLLATERAL
VALUABLE
VALUE OF COLLATERAL
WORKING CAPITAL
spellingShingle ACCESS POINTS
ACCESS TO CREDIT
ACCESS TO FINANCE
ACCESS TO FINANCIAL SERVICES
ACCESS TO FINANCING
ACCOUNTING
ANTI-MONEY LAUNDERING
APPROVAL PROCESS
ARBITRAGE
ARBITRATION
ATM
ATMS
AUDITING
AUTOMATIC TELLER
BANK CREDIT
BANK FINANCE COMPANIES
BANK FINANCING
BANKING SYSTEM
BIASES
BORROWER
CAPITAL ADEQUACY
CAPITAL ADEQUACY RATIOS
CAPITAL MARKETS
CAPITAL REQUIREMENT
CENTRAL BANK
COLLATERAL
COLLATERAL REQUIREMENTS
COLLATERALIZATION
COMMERCIAL BANK
COMMERCIAL BANKS
COMMERCIAL CREDIT
COMMERCIAL TRANSACTION
CONSULTATION PROCESS
CONSUMER CREDIT
CONSUMER CREDITS
CONSUMER LENDING
CONSUMER LOAN
CONSUMER LOANS
CONSUMER MARKET
CONSUMER PROTECTION
CONSUMER PROTECTION LAW
CONSUMER PROTECTION LAWS
CONSUMERS
CONTRACT ENFORCEMENT
COOPERATIVE BANKS
COOPERATIVES
CREDIT BUREAU
CREDIT BUREAUS
CREDIT CARD
CREDIT CARD USE
CREDIT CARDS
CREDIT CONSTRAINTS
CREDIT COOPERATIVES
CREDIT DECISIONS
CREDIT GROWTH
CREDIT HISTORIES
CREDIT INFORMATION
CREDIT INFORMATION SYSTEMS
CREDIT NEEDS
CREDIT PRODUCTS
CREDIT PROVISION
CREDIT REGISTRY
CREDIT RISK
CREDIT WORTHINESS
CREDITS
DEBT
DEBT REPAYMENT
DEBTS
DELINQUENCY
DEPOSIT
DEPOSIT ACCOUNT
DEPOSIT ACCOUNTS
DEPOSIT INSURANCE
DEPOSIT SERVICES
DEPOSITORS
DEPOSITS
DEVELOPING COUNTRIES
DEVELOPMENT BANK
DEVELOPMENT BANKS
DISPUTE RESOLUTION
DOCUMENTATION REQUIREMENTS
ECONOMIC ANALYSIS
EDUCATIONAL ACTIVITIES
EMPLOYEE
ENTERPRISE CREDIT
ENTERPRISE CREDITS
EQUIPMENT
EQUITY CONTRIBUTIONS
EXCHANGE RATES
FACTORING
FAMILY MEMBERS
FAVORABLE TERMS
FINANCE COMPANIES
FINANCIAL ACCESS
FINANCIAL AUTHORITIES
FINANCIAL CONGLOMERATES
FINANCIAL COSTS
FINANCIAL CRISIS
FINANCIAL EDUCATION
FINANCIAL INFRASTRUCTURE
FINANCIAL INSTITUTION
FINANCIAL INSTITUTIONS
FINANCIAL LITERACY
FINANCIAL SECTOR
FINANCIAL SECTOR ASSESSMENT
FINANCIAL SERVICE
FINANCIAL SERVICES PROVIDERS
FINANCIAL STATEMENTS
FINANCIAL SYSTEM
FINANCIAL TRANSACTIONS
FINANCING COST
FINANCING COSTS
GENERAL PUBLIC
GOVERNMENT LENDING
GOVERNMENT SUPPORT
GROSS DOMESTIC PRODUCT
GROUP LOANS
HOUSEHOLDS
HOUSING
HOUSING FINANCE
INCOME TAX
INFORMATION TECHNOLOGY
INSTRUMENT
INTEREST INCOME
INTEREST MARGIN
INTEREST RATE
INTEREST RATES
INTERNAL FINANCING
INTERNATIONAL BANK
INTERNATIONAL BANKS
INVENTORY
JURISDICTION
LARGE FIRMS
LEGAL FRAMEWORK
LEGAL SYSTEM
LEGISLATION
LENDER
LENDER OF LAST RESORT
LENDERS
LENDING INSTITUTIONS
LOAN
LOAN ACCOUNTS
LOAN AMOUNT
LOAN BALANCE
LOAN CATEGORIES
LOAN COOPERATIVES
LOAN MARKET
LOAN PORTFOLIO
LOAN SIZE
LOAN SIZES
LOANS TO INDIVIDUALS
LOW-INCOME
LOW-INCOME BORROWERS
LOW-INCOME CONSUMER
MARKET DATA
MARKET PARTICIPANTS
MATURITY
MEDIUM ENTERPRISES
MICROENTERPRISES
MICROFINANCE
MICROFINANCE INSTITUTION
MICROFINANCE INSTITUTIONS
MICROFINANCE LOANS
MICROFINANCE SECTOR
MONETARY FUND
MORTGAGE
MORTGAGE CREDIT
MORTGAGE FINANCE
MORTGAGE LOANS
MOVABLE ASSETS
MUNICIPALITIES
NATIONAL CREDIT
NET INTEREST MARGIN
NON-PERFORMING LOAN
NON-PERFORMING LOANS
NONBANK INSTITUTIONS
NPL
OUTREACH
OVERHEAD COSTS
PAYMENTS SYSTEMS
PENALTIES
POINT OF SALE
POINT-OF-SALE
PORTFOLIOS
PROFIT MARGIN
PRUDENTIAL REGULATION
PUBLIC BANKS
PURCHASING POWER
PURCHASING POWER PARITY
RANGE OF CREDIT PRODUCTS
REMITTANCE
REMITTANCE SERVICE
RETURN
SALARY
SALES
SAVINGS
SAVINGS DEPOSIT
SAVINGS PRODUCTS
SHARE OF CREDIT
SMALL BUSINESSES
SMALL ENTERPRISES
SMALL LOANS
SMALLER ENTERPRISE
SMALLER ENTERPRISES
SMALLER FIRMS
STATE BANKS
SUPERVISORY AUTHORITY
SUPERVISORY POWERS
TAX ADVANTAGES
TAX CODE
TAX COMPLIANCE
TAX LAWS
TAX PROVISIONS
TECHNICAL ASSISTANCE
TERM DEPOSITS
TRANSPARENCY
UNION
UNREGULATED FINANCIAL INSTITUTIONS
UNSECURED LOANS
USE OF COLLATERAL
VALUABLE
VALUE OF COLLATERAL
WORKING CAPITAL
World Bank
International Monetary Fund
El Salvador Financial Sector Assessment Program Update : Financial Inclusion
geographic_facet Latin America & Caribbean
El Salvador
description Financial service provision has expanded since the 2004 financial sector assessment program (FSAP) update, but access to financial services can expand greatly through mobile banking. An estimated 47 percent of adults in El Salvador have deposit accounts at a regulated financial institution, similar to the Latin American average. Although a range of range of bank and non-bank institutions serve the micro and Small and Medium Enterprises (SME) finance market, significant financial services provision is occurring outside of the regulatory perimeter. Improvements in credit information systems, simplification of credit documentation processes, and a strengthened legal framework for factoring can help facilitate SMEs access to credit. Issues of financial transparency and consumer protection are of increasing importance to the Salvadoran authorities, although resources for enforcement are limited. Both public and private entities are engaging in educational activities to promote financial literacy have the potential to play an important role in curbing over indebtedness. However, the consumer defense agency (Defensoria al Consumidor) lacks sufficient resources for enforcement of consumer protection laws. This paper is divided into following six parts: first part gives overview of financial access and usage patterns; the second part gives information on funding and savings products commercialized; the third part gives market participants; fourth part is legal and regulatory impediments to credit; fifth part deals with supervisory and regulatory perimeter issues; and sixth part is transparency, consumer protection, and financial literacy.
format Report
author World Bank
International Monetary Fund
author_facet World Bank
International Monetary Fund
author_sort World Bank
title El Salvador Financial Sector Assessment Program Update : Financial Inclusion
title_short El Salvador Financial Sector Assessment Program Update : Financial Inclusion
title_full El Salvador Financial Sector Assessment Program Update : Financial Inclusion
title_fullStr El Salvador Financial Sector Assessment Program Update : Financial Inclusion
title_full_unstemmed El Salvador Financial Sector Assessment Program Update : Financial Inclusion
title_sort el salvador financial sector assessment program update : financial inclusion
publisher Washington, DC
publishDate 2017
url http://documents.worldbank.org/curated/en/419051468233694849/El-Salvador-Financial-inclusion-technical-note
http://hdl.handle.net/10986/27768
_version_ 1764464530695389184
spelling okr-10986-277682021-04-23T14:04:42Z El Salvador Financial Sector Assessment Program Update : Financial Inclusion World Bank International Monetary Fund ACCESS POINTS ACCESS TO CREDIT ACCESS TO FINANCE ACCESS TO FINANCIAL SERVICES ACCESS TO FINANCING ACCOUNTING ANTI-MONEY LAUNDERING APPROVAL PROCESS ARBITRAGE ARBITRATION ATM ATMS AUDITING AUTOMATIC TELLER BANK CREDIT BANK FINANCE COMPANIES BANK FINANCING BANKING SYSTEM BIASES BORROWER CAPITAL ADEQUACY CAPITAL ADEQUACY RATIOS CAPITAL MARKETS CAPITAL REQUIREMENT CENTRAL BANK COLLATERAL COLLATERAL REQUIREMENTS COLLATERALIZATION COMMERCIAL BANK COMMERCIAL BANKS COMMERCIAL CREDIT COMMERCIAL TRANSACTION CONSULTATION PROCESS CONSUMER CREDIT CONSUMER CREDITS CONSUMER LENDING CONSUMER LOAN CONSUMER LOANS CONSUMER MARKET CONSUMER PROTECTION CONSUMER PROTECTION LAW CONSUMER PROTECTION LAWS CONSUMERS CONTRACT ENFORCEMENT COOPERATIVE BANKS COOPERATIVES CREDIT BUREAU CREDIT BUREAUS CREDIT CARD CREDIT CARD USE CREDIT CARDS CREDIT CONSTRAINTS CREDIT COOPERATIVES CREDIT DECISIONS CREDIT GROWTH CREDIT HISTORIES CREDIT INFORMATION CREDIT INFORMATION SYSTEMS CREDIT NEEDS CREDIT PRODUCTS CREDIT PROVISION CREDIT REGISTRY CREDIT RISK CREDIT WORTHINESS CREDITS DEBT DEBT REPAYMENT DEBTS DELINQUENCY DEPOSIT DEPOSIT ACCOUNT DEPOSIT ACCOUNTS DEPOSIT INSURANCE DEPOSIT SERVICES DEPOSITORS DEPOSITS DEVELOPING COUNTRIES DEVELOPMENT BANK DEVELOPMENT BANKS DISPUTE RESOLUTION DOCUMENTATION REQUIREMENTS ECONOMIC ANALYSIS EDUCATIONAL ACTIVITIES EMPLOYEE ENTERPRISE CREDIT ENTERPRISE CREDITS EQUIPMENT EQUITY CONTRIBUTIONS EXCHANGE RATES FACTORING FAMILY MEMBERS FAVORABLE TERMS FINANCE COMPANIES FINANCIAL ACCESS FINANCIAL AUTHORITIES FINANCIAL CONGLOMERATES FINANCIAL COSTS FINANCIAL CRISIS FINANCIAL EDUCATION FINANCIAL INFRASTRUCTURE FINANCIAL INSTITUTION FINANCIAL INSTITUTIONS FINANCIAL LITERACY FINANCIAL SECTOR FINANCIAL SECTOR ASSESSMENT FINANCIAL SERVICE FINANCIAL SERVICES PROVIDERS FINANCIAL STATEMENTS FINANCIAL SYSTEM FINANCIAL TRANSACTIONS FINANCING COST FINANCING COSTS GENERAL PUBLIC GOVERNMENT LENDING GOVERNMENT SUPPORT GROSS DOMESTIC PRODUCT GROUP LOANS HOUSEHOLDS HOUSING HOUSING FINANCE INCOME TAX INFORMATION TECHNOLOGY INSTRUMENT INTEREST INCOME INTEREST MARGIN INTEREST RATE INTEREST RATES INTERNAL FINANCING INTERNATIONAL BANK INTERNATIONAL BANKS INVENTORY JURISDICTION LARGE FIRMS LEGAL FRAMEWORK LEGAL SYSTEM LEGISLATION LENDER LENDER OF LAST RESORT LENDERS LENDING INSTITUTIONS LOAN LOAN ACCOUNTS LOAN AMOUNT LOAN BALANCE LOAN CATEGORIES LOAN COOPERATIVES LOAN MARKET LOAN PORTFOLIO LOAN SIZE LOAN SIZES LOANS TO INDIVIDUALS LOW-INCOME LOW-INCOME BORROWERS LOW-INCOME CONSUMER MARKET DATA MARKET PARTICIPANTS MATURITY MEDIUM ENTERPRISES MICROENTERPRISES MICROFINANCE MICROFINANCE INSTITUTION MICROFINANCE INSTITUTIONS MICROFINANCE LOANS MICROFINANCE SECTOR MONETARY FUND MORTGAGE MORTGAGE CREDIT MORTGAGE FINANCE MORTGAGE LOANS MOVABLE ASSETS MUNICIPALITIES NATIONAL CREDIT NET INTEREST MARGIN NON-PERFORMING LOAN NON-PERFORMING LOANS NONBANK INSTITUTIONS NPL OUTREACH OVERHEAD COSTS PAYMENTS SYSTEMS PENALTIES POINT OF SALE POINT-OF-SALE PORTFOLIOS PROFIT MARGIN PRUDENTIAL REGULATION PUBLIC BANKS PURCHASING POWER PURCHASING POWER PARITY RANGE OF CREDIT PRODUCTS REMITTANCE REMITTANCE SERVICE RETURN SALARY SALES SAVINGS SAVINGS DEPOSIT SAVINGS PRODUCTS SHARE OF CREDIT SMALL BUSINESSES SMALL ENTERPRISES SMALL LOANS SMALLER ENTERPRISE SMALLER ENTERPRISES SMALLER FIRMS STATE BANKS SUPERVISORY AUTHORITY SUPERVISORY POWERS TAX ADVANTAGES TAX CODE TAX COMPLIANCE TAX LAWS TAX PROVISIONS TECHNICAL ASSISTANCE TERM DEPOSITS TRANSPARENCY UNION UNREGULATED FINANCIAL INSTITUTIONS UNSECURED LOANS USE OF COLLATERAL VALUABLE VALUE OF COLLATERAL WORKING CAPITAL Financial service provision has expanded since the 2004 financial sector assessment program (FSAP) update, but access to financial services can expand greatly through mobile banking. An estimated 47 percent of adults in El Salvador have deposit accounts at a regulated financial institution, similar to the Latin American average. Although a range of range of bank and non-bank institutions serve the micro and Small and Medium Enterprises (SME) finance market, significant financial services provision is occurring outside of the regulatory perimeter. Improvements in credit information systems, simplification of credit documentation processes, and a strengthened legal framework for factoring can help facilitate SMEs access to credit. Issues of financial transparency and consumer protection are of increasing importance to the Salvadoran authorities, although resources for enforcement are limited. Both public and private entities are engaging in educational activities to promote financial literacy have the potential to play an important role in curbing over indebtedness. However, the consumer defense agency (Defensoria al Consumidor) lacks sufficient resources for enforcement of consumer protection laws. This paper is divided into following six parts: first part gives overview of financial access and usage patterns; the second part gives information on funding and savings products commercialized; the third part gives market participants; fourth part is legal and regulatory impediments to credit; fifth part deals with supervisory and regulatory perimeter issues; and sixth part is transparency, consumer protection, and financial literacy. 2017-08-14T19:50:49Z 2017-08-14T19:50:49Z 2010-11 Report http://documents.worldbank.org/curated/en/419051468233694849/El-Salvador-Financial-inclusion-technical-note http://hdl.handle.net/10986/27768 English en_US CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank Washington, DC Economic & Sector Work :: Financial Sector Assessment Program Economic & Sector Work Latin America & Caribbean El Salvador