The Alliance for Financial Inclusion (AFI) is a policy leadership alliance owned and led by member central banks and financial regulatory in developing countries with the objective of advancing financial inclusion.
Its members include roughly 100 institutions, being central banks, financial regulatory institutions, and financial inclusion policymakers from nearly 90 developing and emerging economies. AFI partners with regulators in advanced economies, international organizations and private sector leaders to drive practical solutions and facilitate the implementation of impactful policy changes through its cooperative model that embeds peer learning, knowledge exchange and peer transformation.
AFI was founded on the idea that a global knowledge exchange platform was key to expanding and improving financial inclusion policies. AFI connects, encourages and enables policymakers to build capacity and develop policy initiatives in areas of financial technology (fintech), consumer protection, microfinance, SME finance, gender inclusive finance, inclusive green finance and other general financial inclusion initiatives in Africa, Asia, Caribbean, Eastern Europe and Caucasus, Latin America, Middle East and Pacific Islands. Each year, AFI holds its flagship event, Global Policy Forum (GPF), the world's largest financial inclusion gathering of policymakers.
AFI is headquartered in Kuala Lumpur, Malaysia, with regional offices in Africa and Latin America, and a representation office in Europe.
History
Origins and until 2008
In 2006, there was an emerging recognition that policies mattered when it came to financial inclusion. There is also a huge sentiment around the potential of digital financial services for increasing financial inclusion for the unbanked population of the world.
Dr. Hannig described the situation in 2006 as follows:
Through the Gates Foundation, Dr. Alfred Hannig and the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) team successfully received grants to kick-off the first phase of AFI in Bangkok, Thailand and subsequently launched it in Kenya in 2009.
2009 to 2010
Less than two years after its launch, AFI went from an initial founding core group of five member institutions to members in more than 60 countries, representing nearly 70 percent of the world’s unbanked population.
In 2009, the network saw the first AFI Global Policy Forum, which was held in Nairobi, Kenya under the theme, A marketplace of ideas. Grants to selected member institutions were introduced.
In 2010, the Group of 20 (G20) nominated AFI as one of three implementing partners for the G20 Global Partnership for Financial Inclusion (GPFI). In this role, AFI brought policies for increasing access to financial services from developing countries to the wider G20 forum and facilitated the participation of non-G20 policymakers in developing and emerging economies participate in GPFI work.
2011 Maya Declaration
At the 2011 GPF in Mexico’s Riviera Maya, AFI members collectively adopted the Maya Declaration, a global initiative for responsible and sustainable financial inclusion that aims to reduce poverty and ensure financial stability for the benefit of all. It is a statement of common principles regarding the development of financial inclusion policy.
More than 30 countries represented by AFI member institutions, went a step further by announcing specific and measurable commitments. As of October 2021, AFI member institutions have made a total of 885 Maya Declarations targets.
The Maya Declaration has paved the way for various other accords. In recognition of these developments, both the G20 and the Group of 24 (G24) highlighted the AFI learning model and the Maya Declaration as key steps toward global economic development, with the G20 urging its members to commit to the Maya Declaration.
2013 to 2018
In 2013, AFI members adopted the Sasana Accord on Evidence- and Data-based Results, Accelerated Progress and Measurement of Impact. During the same year, AFI reached 100 member institutions overall with the addition of the Central Bank of Trinidad and Tobago
In 2015, AFI members endorsed the Maputo Accord, which commits members to support access to finance for small and medium enterprises. It also established its headquarters in Kuala Lumpur, Malaysia, which are hosted by Bank Negara Malaysia.