Accra, Ghana, February 28, 2017 — IFC,
a member of the World Bank Group, and The MasterCard Foundation today announced
an advisory services agreement with CAL Bank to introduce and roll out
agent banking over two years. The $2.0 million agreement will increase
access to financial services for low-income customers, small scale entrepreneurs
and farming communities in Ghana.
IFC will support CAL Bank’s plans to implement
an expansion and financial inclusion strategy with research to identify
opportunities in the market that will help the bank develop the best products
to service its customer base. CAL Bank plans to build a network of agents
located around its branches to service its customers. To support the implementation
of this new service delivery model, IFC will help CAL Bank to develop at
least two new banking products to be delivered via the agent banking channel.
“This partnership with IFC underpins CAL
Bank’s existing strategy to expand our distribution channels across Ghana,”
said Frank Adu, Chief Executive Officer, CAL Bank. “Today’s social environment
places a premium on time and convenience, which is driving the need to
be innovative in our service delivery. CAL Bank is determined to make our
banking services easily available and accessible to our customers, using
agency banking as one of the modes of delivery.”
IFC will advise CAL Bank on the appropriate
digital financial products to meet the needs of customers, based upon extensive
research to be conducted on how they manage their finances. To help CAL
Bank manage the risks associated with introducing alternative delivery
channels, IFC will also provide advice on a digital financial services
risk management strategy. IFC will draw on its depth of global knowledge
to help CAL Bank attract more customers, using marketing strategies that
articulate the new services the bank offers in an accessible way.
“IFC was an early investor in CAL Bank in
1990, so we appreciate this opportunity to continue providing that support
to its expansion strategy into digital financial services,” said Vera
Songwe, IFC Director for West and Central Africa. “IFC’s deep expertise
in digital financial services will be critical to help CAL Bank promote
economic development and job creation in Ghana.”
This project is part of the Partnership for
Financial Inclusion, a $37.4 million joint initiative of IFC and The MasterCard
Foundation to expand microfinance and advance digital financial services
in sub-Saharan Africa.
IFC, a member of the World Bank Group, is the largest global development
institution focused on the private sector in emerging markets. Working
with 2,000 businesses worldwide, we use our six decades of experience to
create opportunity where it’s needed most. In FY16, our long-term investments
in developing countries rose to nearly $19 billion, leveraging our capital,
expertise and influence to help the private sector end extreme poverty
and boost shared prosperity. For more information, visit www.ifc.org.
About The MasterCard Foundation
The MasterCard Foundation works with visionary organizations to provide
greater access to education, skills training and financial services for
people living in poverty, primarily in Africa. As one of the largest private
foundations its work is guided by its mission to advance learning and promote
financial inclusion to create an inclusive and equitable world. Based in
Toronto, Canada, its independence was established by Mastercard when the
Foundation was created in 2006. For more information and to sign up for
the Foundation’s newsletter, please visit www.mastercardfdn.org.
Follow the Foundation at @MastercardFdn on Twitter.