Barclays Increases Access to Finance and Reaches New Markets

On World Savings Day, Barclays and leading charities CARE International and Plan UK celebrated providing financial access to 300,000 young people across Africa. The partnership called on other financial institutions to follow suit and implement innovative savings models, enhanced by the latest technologies.  

Nearly two billion people around the world are financially excluded, who together represent a pool of potential customers with the ability to save US$116bn each year. Despite the introduction of mobile money and smartphone applications, 38% of all adults have no access to formal financial products. Working in partnership on a programme called Banking on Change with CARE International and Plan UK, we have worked since 2009 to change this. 

Banking on Change highlights:

5 bespoke banking products including group savings accounts and overdraft facilities

11,000 youth savings groups established

750,000 people given the skills to save

With a focus on supporting young people, Banking on Change has given 750,000 people in the world’s poorest communities the skills to save, as well as access to basic financial services. Members of community savings groups, most of whom earn less than US$2 a day, save and lend together. Over 11,000 youth savings groups have been established and supported to manage their finances, and in most cases to set up a small business. 

Barclays has developed bespoke products to suit the needs of this growing customer base in Africa. These include an overdraft facility to provide groups with access to credit and innovative mobile products that reduce the need to travel long distances to branches while improving access to customer data. This technology has helped increase financial transparency and reduce security risks for staff and customers.

Innovation in mobile means we can create solutions that are geared towards the needs of local communities, businesses and savers 

Stephen Van Coller, Chief Executive, Corporate and Investment Banking, Barclays Africa

Stephen Van Coller, Chief Executive, Corporate and Investment Banking, Barclays Africa, said: “By delivering mobile financial solutions in Africa, we are able to bypass traditional modes of banking, as experienced across the rest of the world. Innovation in mobile means we can create solutions that are geared towards the needs of local communities, businesses and savers – meaning we can tap into a much broader customer base across the continent”.

Using lessons learnt from Banking on Change, Barclays, CARE International and Plan UK have established the Linking for Change Savings Charter to encourage other financial institutions’ involvement in this issue. The charter sets out international principles enabling other organisations to effectively link community groups to formal banking products and savings. 

Read more about the Linking for Change Savings CharterLinking for Change Savings Charter Found out more about Banking on ChangeFound out more about Banking on Change