Financial inclusion is defined as the ability to both access and use appropriate and affordable financial services. People without this ability have limited options to improve their quality of life and financial security.
The current lack of financial inclusion is a major concern for governments and financial institutions around the globe. Around half the world’s adult population doesn’t have an account with a formal financial institution. In Papua New Guinea, an even more disturbing 85% of the population doesn’t have access to financial services. This restricts both individual opportunities and our national growth. Delivery channels and financial education are two of the key reasons for this issue.
In 2013, the Papua New Guinean Government launched the nation’s first plan to tackle this problem with the National Financial Inclusion & Financial Literacy Strategy 2014-2015 (NFIFLS). Our government has made a commitment to develop financial inclusion for one million unbanked, low-income citizens, half of whom will be women.