Mobile Technologies And Digitized Data To Promote Access To Finance For Women In Agriculture © 2017 International Bank for Reconstruction and Development / The World Bank 1818 H Street NW, Washington DC 20433 Telephone: 202-473-1000; Internet: www.worldbank.org This work is a product of the staff of The World Bank with external contributions. The findings, interpretations, and conclusions expressed in this work do not necessarily reflect the views of The World Bank, its Board of Executive Directors, or the governments they represent. The World Bank does not guarantee the accuracy of the data included in this work. The boundaries, colors, denominations, and other information shown on any map in this work do not imply any judgment on the part of The World Bank concerning the legal status of any territory or the endorsement or acceptance of such boundaries. Rights and Permissions The material in this work is subject to copyright. Because the World Bank encourages dissemination of its knowledge, this work may be reproduced, in whole or in part, for noncommercial purposes as long as full attribution to this work is given. All queries on rights and licenses should be addressed to the Office of the Publisher, The World Bank, 1818 H Street NW, Washington, DC 20433, USA; fax: 202-522-2625; e-mail: pubrights@worldbank.org. Photo Credits: World Bank Photo Library and Shutterstock MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE D Table of Contents Acronyms and Abbreviations ............................................................................ III Acknowledgements..............................................................................................V Executive Summary .......................................................................................... VII Motivation ............................................................................................................. 1 Study Objectives and Scope ............................................................................... 5 Methodology ......................................................................................................... 7 Women in Agriculture User Segmentation and Financial Needs .................. 13 Defining the Population .......................................................................................... 13 Segmentation ......................................................................................................... 14 Financial Needs ....................................................................................................... 18 Barriers to Access and Active Use of Financial Services ..................................... 18 Demand Side Barriers ........................................................................................... 20 Supply-Side Barriers .............................................................................................. 22 Women as an Underserved Consumer Segment ................................................. 22 Regulatory and Enabling Environment Assessment ..................................... 23 Data Protection ...................................................................................................... 26 Regulatory Oversight & Coordination ............................................................... 27 Consumer Protection ............................................................................................ 28 Disclosure and Transparency ................................................................................ 29 Customer Redress .................................................................................................. 29 Protection Against Loss of Funds ......................................................................... 29 Interoperability/Interconnection ........................................................................... 29 Risk-Based Know-Your-Customer Requirements .............................................. 30 Technology Landscape ......................................................................................33 Overview of Trends in the Technology Landscape ............................................... 33 Alternative Credit Scoring .................................................................................... 36 Product Profiles .......................................................................................................37 Loan Disbursement and Collection ....................................................................... 43 Product Profiles ...................................................................................................... 44 Savings .................................................................................................................... 46 Product Profiles ...................................................................................................... 47 Insurance ................................................................................................................ 50 Product Profiles ...................................................................................................... 51 TABLE OF CONTENTS I Digitized Payments and Voucher Distribution ..................................................... 53 Product Profiles ...................................................................................................... 54 Agricultural Information and Advice .................................................................... 55 Product Profiles ....................................................................................................... 56 Recommendations .............................................................................................59  Scale Up Successful Initiatives to Digitize Group-Based Savings . Accounts Targeted to Women Farmers ...................................................................59 Invest in Marketing And Promotional Activities by Companies That Have  Succeeded in Offering Mobile Savings, Credit and Insurance Products But Are Not Targeting Women As a Key Customer Segment ............................................60 Invest in Design of Gender-Responsive Bundled and Customized Service Offerings That Meet the Financial Priorities and Lifecycle Needs of Women Farmers and Invest in Strategies to Promote Awareness, Trust and First Time Product Use .............................................................................................61  Invest to Drive the Use and Collection of Digitized Data to Expand Bank Offerings and Financing to Women in Agriculture Without Fixed Collateral .......62 Endnotes ............................................................................................................. 63 References .......................................................................................................... 69 Figures Figure 1: Time Use Surveys Broadly Indicate Women’s Time Spent on Agricultural Activities .............................................................................................. 2 Figure 2: Regional Gender Gap .................................................................................. 3 Figure 3: Heat Map ...................................................................................................... 8 Figure 4: Methodology ................................................................................................ 9 Figure 5: Sample 4P Marketing Mix – KCB M-PESA ........................................... 11 Figure 6: Consumer Research: Trading Privacy for Credit ............................... 26 Figure 7: Consumer Research .................................................................................. 30 Figure 8: Service Type Prevalence by Region and Globally ............................................ 33 Figure 9: Products in Region ........................................................................................................................ 34 Figure 10: Gender Integration Approaches ................................................................................... 60 Tables Table 1: Marketing Mix – 4Ps ................................................................................... 10 Table 2: Smallholder Farmer Categories ............................................................... 14 Table 3: Personas ........................................................................................................ 17 Table 4: Barriers to Women’s Financial Inclusion ................................................ 19 Table 5: Summary of AFI Member Gender Related Maya Declaration Targets ............................................................................................... 24 Table 6: How to Address Key Regulatory Issues ................................................. 25 Table 7: Selected Digital Services and Key Trends ................................................................. 34 MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE II Acronyms and Abbreviations AFI Alliance for Financial Inclusion CGAP Consultative Group to Assist the Poor DFS Digital Financial Services FAO Food and Agriculture Association of the United Nations G2P Government-to-person GIS Geographic Information System GPFI Global Partnership for Financial Inclusion GSMA Groupe Speciale Mobile Association KYC Know-Your-Customer MFI Microfinance Institution MNO Mobile Network Operator MSME Micro, Small or Medium Enterprise P2P Person-to-person SME Small or Medium Enterprise ACRONYMS AND ABBREVIATIONS III MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE IV Acknowledgments This report is a product of the World Bank and represents a joint effort of the Finance and Markets and Agriculture Global Practices. The report was prepared by Strategic Impact Advisors, LLC, a consulting firm that specializes in advancing economic development through integration of digital technologies including digital financial services. The project team was led by the firm’s CEO Shelley Spencer with research and analysis conducted by Mandana Nakhai, Program Manager, and Jordan Weinstock, Sr. Vice President. Thea Anderson provided peer review and expert input on the research approach and analysis. The report was conducted by a World Bank team led by Panos Varangis and team members Juan Buchenau, Toshiaki Ono, Rachel Sberro-Kessler, Rong Chen, Roy Parizat, and Asuka Okumura. The authors are grateful to Emilio Hernandez, Jamie Anderson, Max Mattern, Margarete Biallas for reviewing this paper. Our appreciation is extended to Aichin Lim Jones for design and production services. This publication was made possible thanks to funding from the Umbrella Facility for Gender Equality (UFGE) which is a multi-donor trust fund dedicated to strengthening awareness, knowledge, and capacity for gender- informed policy-making. ACKNOWLEDGMENTS V MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE VI Executive Summary Smallholder farmers, male and female, face a persistent and well-documented finance gap; they are often invisible to or deemed too risky by banks to serve and their financial needs do not align with the terms of most microfinance lending. They lack access to other relevant products and services as well: agricultural insurance is notoriously difficult to provide, savings accounts are often accessible only in distant urban bank branches and extension agents are unable to reach many rural areas to provide needed training and capacity building. Recently, digital financial services (DFS) have greatly expanded access to many of these products, largely through the mobile device channel, and implementers of agricultural development programs and funds are enthused about their potential to create change along whole agricultural value chains. Yet, women have less access to these innovations than men do, which means they are consistently losing out on the potential to grow their incomes and build secure agricultural livelihoods for themselves and their families. Female smallholder farmers are key contributors to agricultural and rural economies and livelihood systems. They hold important roles in all parts of agricultural value chains, from production and management of crops and livestock to harvesting and processing to selling and trading products in markets. Women not only expand the productivity of agricultural value chains, they also pass on more benefits of income related to farming to their households (including children) than men do. Women, in turn, rely heavily on agriculture as a source of employment in most developing countries. The evidence that women both drive agricultural production and rely on it for their livelihoods means that greater financial and informational service provision to women, especially through digital channels, could increase the efficiency and effectiveness of their labor. While the numerous barriers to women’s access to DFS are clear, clarifying the best methodologies by which to overcome these is both dependent on situational context and still subject to research and testing. This report provides the World Bank with the state of play of current and promising efforts that use mobile technology and digitized data to close the gap in access to finance for women in agriculture. It includes three components: 1) a review of the financial characteristics and needs of women in EXECUTIVE SUMMARY VII agriculture, based on an extensive literature review; promise as an onramp to financial inclusion, but 2) a stock taking of initiatives that use mobile hasn’t been widely implemented to date. technologies and digitized data for agricultural The report concludes with four recommendations finance and women’s financial inclusion; 3) an for the World Bank drawing from the analysis of analysis of gaps in existing initiatives that would gaps between the available services cataloged above increase access to DFS by women farmers, laborers and the needs of women in agriculture as defined and women-owned agricultural MSMEs. The by the literature review. The recommendations report also examines the regulatory environment identify approaches that Strategic Impact Advisors around DFS and ways that regulators are working concludes, based on the findings of this research, to increase responsible access to women. the World Bank could take in making an impactful The stock taking found that while there are many investment. These recommendations are to: DFS products targeted to or at least relevant to •  everage the strong role savings groups play L smallholder farmers, almost none are explicitly in rural women’s lives through digitization designed for use by female farmers. The report efforts that help groups increase efficiency analyzes findings in the categories of alternative and transparency and encourage women to, credit scoring, loan disbursement and collection, over time, build their own digital financial savings, insurance, payments, market pricing, profiles. This recommendation is based on market linkages and agricultural extension. findings around the importance of savings in The categories that were best represented in the women’s financial lives and the important role stock taking were agricultural extension services of NGOs, many of whom have been working (including pricing and market linkages) and with women’s savings groups for decades, in loan disbursement and collection. This finding is facilitating relationships between the groups, consistent with expectations, given the long history MNOs, and banks. of development banks, governments, and donors working to increase both extension services and • Select companies identified in this research as finance in rural areas. Digitization is opening new already successfully offering mobile savings, avenues for service providers, especially mobile insurance and credit products, but who network operators, to both gain new customers and have not targeted women as a key customer provide value to existing customers. segment, and provide assistance in their marketing and promotion to women. The The stock taking also demonstrated the emergence research demonstrated that many products have of areas that are either new to the digital channel or the right characteristics to meet the needs of are new innovations altogether. Alternative credit female farmers, but aren’t being promoted or scoring, which uses data from airtime transactions, advertised in ways that resonate with women or psychometric testing, social data and payment/ work to overcome cultural and social barriers e-commerce data, is a promising new way for to access. farmers without credit scores to demonstrate their risk profiles to lenders. Mobile microinsurance is • Invest in the design of new gender-responsive coming to the fore to provide a safety net to mobile bundled and customized service offerings subscribers, though insuring farmers’ crops and that meet the financial priorities and lifecycle other agricultural assets continues to be a challenge. needs of women farmers. The research showed Digital payments along the value chain is a topic that women have different financial needs at that the literature discusses frequently as holding different points in their lives, or in the cycles of MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE VIII the agricultural enterprises they are specifically • Drive the collection and use of digitized data to responsible for, and that these cycles might expand bank offerings and financing to women differ from men’s. At present, products are in agriculture. The trend in alternative credit designed around cycles most relevant to men. scoring holds promise for women, who, research Customer-centric service design can help make corroborates, frequently lack fixed collateral formal financial services products appealing to and financial histories they can present to women in agriculture. a lender. EXECUTIVE SUMMARY IX MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE X Motivation Rural and Agricultural Households Rely on Finance and Financial Tools to Prosper Smallholder farmers manage 80% of the farmland in sub-Saharan Africa and Asia and provide up to 80% of the food supply in these regions.1 Despite their demonstrated importance to food production and security, smallholder farmers continue to confront a shortfall in available financing.2 The Initiative for Smallholder Finance estimates demand for USD 200 billion in agricultural and nonagricultural finance by smallholder farmers in Latin America, sub- Saharan Africa, and South and Southeast Asia with a USD 150 billion gap in available finance.3 These estimates relate to credit as a source of financing and do not capture other financing strategies smallholder farmers use to meet their financial needs including personal, informal group savings or friends and families. CGAP’s smallholder farmer research, including national surveys and financial diaries, detail the mix of financial tools women smallholder farmers use including: bank accounts, accounts at non-bank financial institutions (such as MFIs), mobile money and local, informal sources (VSLAs, ROSCAs, money guards and mobile money).4 The Sustainable Development Goals (SDGs) and relevant indicators recognize the role that access to finance and digital technologies can play in achieving SDG No. 1 of No Poverty and SDG No. 5 of Gender Equality. Women Play Many Critical Roles in Agricultural Households and Economies Experiencing the Finance Gap Agriculture is typically the largest source of employment for women in developing economies, with great variation in how women participate in this sector across and within countries.6 The importance of women in agriculture relates both to their prevalence in food production and processing and in their unique roles within their households and communities. Women not only produce food for their communities, but also pass on the gains they accrue by operating or working for agricultural enterprises to their families and local economies. MOTIVATION 1 SDGs and Indicators Impacted by Increased Access of Women in Agriculture to Digitally Enabled Financial Services SDG Indicator 1.4 sets a target of ensuring that by 2030 all men and women, in particular the poor and the vulnerable, have equal rights to economic resources, as well as access to basic services, ownership and control over land and other forms of property, inheritance, natural resources, appropriate new technology and financial services, including microfinance.5 Indicator 5.a tracks reforms that give women equal rights to economic resources, as well as access to ownership and control over land and other forms of property, financial services, inheritance and natural resources, in accordance with national laws. Indicator 5.b tracks the use of enabling technology, in particular information and communications technology, to promote the empowerment of women and with the measure of individuals who own a mobile telephone, by sex in Indicator 5.b.1. Source: United Nations (UN) Economic Security Council. 2017. “Report of the Inter-agency and Expert Group on Sustainable Development Goal Indicators.” E/CN/3/2017/2, Annex 3: 2. Figure 1: Time Use Surveys Broadly Indicate Women’s Time Spent on Agricultural Activities 7 Gambia Cameroon India China Peru 30% 60-80% 32% 50% + 30% + Women make up 45% of the agricultural labor force, ranging from 20% in Latin America to up to 60% in parts of Africa and Asia.” 8 “ MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 2 Women Across the World, in Both Key Stats Rural and Urban Contexts, Remain Worldwide, men are 7 percentage points more Outside the Formal Financial Sector likely than women to own an account (either at a Even when finance is available, research shows financial institution or through a mobile money women are excluded from formal financial services provider). The gender gap in account ownership at higher rates than men. Globally, 1.1 billion in developing economies is 9 percentage points. women lack financial services accounts according Women worldwide are also more likely to be denied to the World Bank’s 2014 Global Findex. The access to formal credit and typically pay higher gender gap varies regionally, as shown in Figure 2. interest rates than men.10 Figure 2: Regional Gender Gap 37% 55% The gap is largest in South Asia, where only 37 55 percent of men; this gap is only one percent percent of women have an account compared with lower for mobile money accounts.9 CGAP Smallholder Farmer Survey Data on the Gender Gap in Financial Accounts The CGAP smallholder national surveys include sex disaggregated data that show the gender gap in mobile money use and low levels of bank account ownership by smallholder farmers:11 Bank account ownership by all farmers was low in all countries: Tanzania and Mozambique: 10% •  Cote d’Ivoire: 5% •  Uganda: 11% •  Bangladesh: 22% and 24% (including non-bank financial institutions) •  Mobile money ownership exceeds bank accounts among smallholder farmers but a signficant gap exists outside of Tanzania: Uganda: 36% mobile money accounts/17% women/26% men •  Cote d’Ivoire: 27% mobile money accounts: 17% women/33% men •  Tanzania: 61% mobile money accounts/55% women/58% men •  MOTIVATION 3 In the Face of These Challenges, analog financial services, these new digital channels Digital Technologies Have have so far reached more men than women. While Successfully Promoted Access to the number of digital distribution channels are growing, industry data shows services delivered Financial Services for Previously over the mobile channel, including financial Underserved Groups services, currently reach more men than women. Over the past decade, the expanded adoption of In 2015, GSMA estimated over 1.7 billion women digital technologies, accompanied by increasing in low- and middle-income countries did not own mobile network coverage has influenced initiatives a mobile phone.12 The World Bank’s 2014 Global to improve the prosperity of previously underserved Findex database shows that in low- and middle- consumers, including rural farmers, though access income countries, women are 36% less likely than to information and financial services. While men to have a mobile money account.13 financial and informational interventions for farmers have been part of long term agricultural The rural concentration of smallholder farmers development strategies, it is the translation of these in areas that may have limited mobile network once-analog programs (such as in-person extension connectivity restricts women farmers’ access to services, savings groups, etc.) to mobile technology digitally enabled financial services. In its analysis platforms that is ushering in the potential for a of data from the smallholder farmer diaries CGAP greater scaling up of dissemination and access. cites, as a common estimate, a rural mobile Digitized data, when available, also provides the connection penetration rate in Sub-saharan Africa analytical base for developing customer-centric at roughly one-third of a country’s overall rate and products and new forms of risk evaluation that can women’s access to that connectivity at one-fourths aid in the extension of credit and insurance. Yet, like below that rate.14 MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 4 Study Objectives and Scope This report is designed to illuminate the state of play of current and promising efforts that use mobile technology and digitized data to close the gap in access to finance between men and women in agriculture. It provides insight into the financial characteristics of women in agriculture and their demand for financial services, takes stock of initiatives that use mobile technologies and digitized data for agricultural finance and women’s financial inclusion, and analyzes how to adapt current solutions to the specificities of female smallholder farmers, women wage laborers in agriculture and women-owned agricultural micro, small or medium enterprises (MSMEs). By investigating the constraints to women in agriculture’s access to digital finance, the research develops a profile of the characteristics of relevant and needed digital financial services (DFS) and information products. The report overlays these findings with the stock- taking to identify gaps in existing initiatives that would increase access to DFS by women farmers, laborers and women-owned agricultural MSMEs. It is equally important to define what is beyond the scope of this report. This report was commissioned to cast a wide net to capture the state of current product offerings and initiatives working to broaden the use of mobile and digital technologies to deliver financial services to women in agriculture in developing countries. The report does not attempt to provide a localized level of analysis or market specific reviews but rather to reference those studies to provide examples of differing contexts. Specific interventions will benefit from further segmentation of women in agriculture within a given context based on a broad range of factors including current mobile usage trends, crop selection, education levels and poverty. STUDY OBJECTIVES AND SCOPE 5 MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 6 Methodology The report relies on desk research and an extensive literature review that included key studies on DFS, DFS and women, innovative agricultural technologies, and financial inclusion initiatives. These studies provided context for the product profiles and facilitated the identification of broad trends and overarching challenges and barriers to the adoption and usage of DFS by women and women farmers. Definition of Financial Services and Financial Inclusion Financial Services: As used in this report financial services includes transactional services, including payments for agricultural goods and inputs and money transfers such as receipt of remittances, as well as more traditional financial services such as savings, credit and insurance. Financial Inclusion: A state in which everyone who can use them has access to a full suite of quality financial services, provided at affordable prices, in a convenient manner, with respect and dignity. Financial services are delivered by a range of providers, in a stable, competitive market to financially capable clients. Digital Financial Inclusion: Access to and ability to use at least one formal transactional account that can perform most, if not all, of payment needs; safely store value; and serve as a gateway to other financial services. We reviewed documentation from over 150 applications, products and deployments and captured key findings and key trends in a searchable database. Our database categorizes products and programs across the following categories: • Geography • Eight service/product types • Organization • Initiation date • Target market segment METHODOLOGY 7 As shown in Figure 3, we have organized our digital technology for agriculture, and digital company/program research into a heat map, which technology for women’s financial inclusion. highlights the relative concentration of products These discussions provided important details on and programs by geography and service type. specific deployments and in some cases yielded Supplementing the desk research were telephone disaggregated data on the use of products by women and face-to-face interviews with leaders at private and women farmers. companies, NGOs, and others on digital finance, Figure 3: Heat Map 11 7 7 2 1 22 4 6 9 4 17 6 3 6 4 Agricultural Extension Loan Disbursement Credit Scoring Savings 7 4 4 4 0 60 29 15 17 9 Insurance Figure 4, presents our overall methodology for the project. Figure 4: Methodology Gender/Agriculture User Segmentation Desk Research (Personas) Research Hypothesis Preliminary Analysis Adoption Barriers Product/Initiative DFS Desk Research Segmentation Product/Initiative Desk Research Product/Initiative Database Marketing Mix/ In-Depth Interviews 4Ps Analysis Product/Initiative Summaries Product/Initiative Key analysis steps Prioritization Recommendations MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 8 Key analysis elements of our methodology include: bring a product or service to market. The 4Ps is one way – probably the best-known way – of defining User Segmentation – To better align products the marketing mix, and was first expressed in 1960 and programs with specific market segments for by E. J. McCarthy.15 By analyzing the marketing purposes of this report we have divided women mix of the selected products and programs identified engaged in agriculture into four personas: in our desk research and testing how the 4Ps address • Smallholder Farmers – Female-headed the specific needs and attributes or our target households market segments (e.g., women, women farmers, • Smallholder Farmers – Partnered Women smallholder farmers) we can identify success stories as well as deficiencies that either led or can lead • Women Laborers to high levels of adoption and usage of financial • Women-owned agribusiness MSMEs services by our target segment or identify instances where the marketing mix was poorly aligned with The personas provide a framework to segment the needs of our target segment. financial needs and inform our analysis of specific products and programs. Deeper levels It should be noted that for purposes of this analysis, of segmentation of smallholder farmers can be the price component of the marketing mix is defined completed with country specific data such as the to include the specific pricing model employed by data collected in the CGAP smallholder surveys and the entity including factors such as subscription financial diaries. versus pay as you use, availability of pre-payment, availability of monthly payments versus one-time Identification of Adoption Barriers – Based on our payments and the use free and premium models. review of leading research, we have organized barriers to the adoption of usage of DFS by women The 4Ps are: Product (or Service), Place, Price and and women farmers into (1) demand-side, (2) Promotion supply-side, and (3) legal & regulatory barriers. In analyzing selected digital products and programs Marketing Mix/4Ps Analysis – The Marketing Mix we have developed specific questions associated is a general framework used to describe the different with each of the 4Ps to assist in our evaluation and kinds of choices organizations must make as they prioritization of products and initiatives. METHODOLOGY 9 Table 1: Marketing Mix – 4Ps 4Ps Research Questions Does the product satisfy the needs of the target segment? Is the product easy to use and easily understood given the education levels of the target segment? Product Does the product have prerequisites (e.g., identification, collateral, power, mobile handset)? Is there post sales customer support available? Is this support accessible? Does the price align with the perceived value of the product? Does the overall price align with the income levels of the target segment? Price Do the payment terms and payment structure (e.g., pricing model) align with the needs and cash flow realities of the target segment? Are there more cost effective alternatives? Is the product sold in areas easily accessible to the target segment? Place Is the sales channel trusted by the target segment? Is the sales channel available when needed by the segment? Do Above the Line marketing channels reach the target segment? Does the marketing message resonate with the target segment? Is the message coming from a trusted source? Promotion Does the product require high touch or low touch sales? Do Below the Line marketing channels and techniques align with target segment needs? Does the sales process include training? MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 10 Product/Initiative Summaries – We have developed intervention. Figure 5 provides a sample gap summaries for selected products/initiatives analysis. in each of the service areas identified in our Product/Initiative Prioritization – A variety of service/program segmentation. A key component screening and evaluation techniques are applied of the summary is how well the marketing mix to our product/initiative database and product (4Ps) for the product/program addresses specific profiles to identify leading candidates for more gender needs and identified gender barriers. The detailed evaluation and possible future intervention gap between an ideal marketing mix and the current activities by the World Bank. marketing mix helps pinpoint potential areas for Figure 5: Sample 4P Marketing Mix – Kcb M-Pesa Key Features • Transaction-based credit scoring algorithm • Registration via standard M-PESA account nstant approval with notification and funds • I appearing on mobile handset • Average loan $21 • Extremely low default rate Current position Future position with approprate interventions METHODOLOGY 11 MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 12 Women in Agriculture User Segmentation and Financial Needs Defining the Population The activities, expectations and qualities of women’s roles in agriculture are extremely heterogeneous and differ widely from place to place. While women have roles in all different parts of agricultural value chains and lifecycles, the specifics differ from place to place. “Taking account of the heterogeneity of [women’s] contribution is essential if policies and interventions are to be effective.”16 Effort has been made to segment women by their specific contributions to farm production, as a means of taking account of this heterogeneity. Such segmentation could be helpful to understanding how women’s financial needs differ from men’s, for example, if different crops require credit for inputs at different times of year. In some countries or regions, women do grow specific crops or focus on raising and managing livestock alone, making it easier to assess their roles in the farming household. But in many cases, especially in subsistence farming households, women produce food alongside men, and gender-disaggregated crop production statistics are difficult to discern.17 Cultural and social norms that make men’s farm activities more easily observable serve to further obscure women’s true contributions to farm income from precise measurement. Another framework through which to analyze women’s different contributions to agriculture and their resulting financial needs is through their relationship to relevant value chains. CGAP has categorized smallholder farmers as falling into the categories of tight, loose or noncommercial value chains with different income and finance needs.18 WOMEN IN AGRICULTURE USER SEGMENTATION AND FINANCIAL NEEDS 13 Table 2: Smallholder Farmer Categories Farmer Categorization Attributes Non–Commercial Farming for subsistence and survival; net buyers of food with few opportunities to sell surpluses in markets Commercial - Loose Value Chain Not selling into commercial chains, limited income, challenges in meeting day today expenses. Less visibility with retail credit providers, informal sales of crops without contracts, possible farmer association membership Commercial - Tight Value Chain Contracts with buyers, Value chain financing options, farmer association or cooperative membership Segmentation Smallholder Farmers In order to draw conclusions and make targeted – Female-headed recommendations on relevant initiatives to increase Households women’s access to financial services, this report Female-headed households are prevalent in active divides women in agriculture into four personas conflict zones and post-conflict areas; they also that are likely to be relevant in most regions, with occur in cases where either men or women have the understanding that all women will not fall neatly migrated for work, or simply in the case of divorce, within them. These personas are profiles derived separation or death of a husband. As the head of from our review of literature and segmentation household, this smallholder farmer likely bears the by others. They are not based on specific data but full weight of financial responsibility to support the rather are intended as a guide to assess the reach of household. current products of services to meet financial needs associated with characteristics in the personas. A review of studies on smallholder farmer households headed by men and women between 1990 and 2007 Women’s activities in agriculture will often fall demonstrate gaps based on gender in credit, fertilizer and into multiple personas. For example, women may capital utilization. These studies also noted that fewer contribute to farming in partnered households and extension workers visited female-headed households also work as wage laborers for farms outside their than male-headed households.20 This access gap may families’ control. In addition, women falling within lead to farming choices that are suboptimal as the these broadly filtered groups will have attributes sole head of household may “choose to produce which differentiate them from other women in subsistence crops despite their lower returns in order the persona which should be studied in designing to lower the risk of price shocks.”21 Female-headed market specific approaches which are beyond the households aren’t always poorer than male-headed scope of this global stock taking report. Reports households.22 While female-headed households analyzing data from CGAP’s smallholder farmer may be disadvantaged in some circumstances, it is surveys divide smallholder farmers further into six also possible that their lack of husbands opens the unique segments and provide a more granular level possibility of taking on roles and responsibilities of detail than included in this stock taking report.19 that might otherwise be out of the question. These MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 14 women may be particularly open to investing in a to the household’s income may be obscured. The new agricultural SME or in trying to add value to following segmentations developed by Panos an existing farm enterprise and in need of financial Varangis helps to further define the varied types services, such as commitment savings and insurance, of roles and financial needs women in agricultural that can help them meet family needs such as school households with husbands may possess.24 It also fees and medical care in emergencies. reflects the various behaviors and perceptions by both women and men to be addressed. Smallholder Farmers Contributors are involved in some subsistence – Partnered Women farming but are mostly consumed with childcare and household chores. Her decision-making abilities are Female smallholder farmers in partnered limited, she does not know much about how to start relationships (defined as husbands for purposes or run a commercial enterprise, and she has limited of this research) may have different financial mobility. Women who are contributors may not want lives than women heads of households, who are more financial responsibility, or may fear it would assumed to be sole decision makers and income strain her relationship with her husband. For example, providers.23 In this broad category women have Innovations for Poverty Action found that providing many different types of roles and responsibilities ATM cards in Kenya made women’s “savings more and relationships with agriculture. The gendered vulnerable to appropriation by their husbands or divisions of labor, responsibility and agency on other members of the household.”25 Products geared the farm enterprise can often be quite complex and toward family-wide wellbeing, such as commitment the visibility on women’s role and contribution savings or insurance, may be helpful in this case. Moving from Contributor to Collaborator Whether “contributors” are just that or whether they actually are collaborators may be a difficult distinction to parse. Women’s World Banking, in a cashflow analysis of rural households in Paraguay, Colombia and Peru, found that households, including both men and women, tended to strongly underestimate women’s actual economic contributions. Their study demonstrated that women themselves view some of their work on their family farms, such as providing farm labor, raising livestock or selling food as “helping” rather than generating income. Men’s income, on the other hand, was sometimes more obvious, when it came as one lump sum for a seasonal cash crop.26 Furthermore, some contributors might be collaborators provided greater access to resources. For example, Udry found that “plots controlled by women have significantly lower yields than similar plots within the household planted with the same crop in the same year, but controlled by men.”27 The reason for this gap was higher labor input (perhaps because the men did not have household duties to perform) and higher fertilizer usage on men’s plots. WOMEN IN AGRICULTURE USER SEGMENTATION AND FINANCIAL NEEDS 15 Collaborators mostly work on the farm that is jointly value agricultural commodity chains in sub-Saharan managed with her husband, but also have childcare Africa and Latin America.30 Interventions to increase and household duties. She has limited mobility and women’s employment in agriculture outside of may have interest in expanding her aspect of the production have focused on women’s cooperatives, business, or a separate business idea, but doesn’t with less attention on market women and dealers.31 have the resources to do so. Collaborators may have As a means of increasing women’s financial much more room to grow into new responsibilities inclusion, several recent initiatives have focused on and opportunities given the right financial tools, paying women wage earners in the garment industry that are socially appropriate and relevant, and that into financial accounts. For example, FHI360 along are advertised in places and through channels that with BSR recently published a manual for ready- women with limited mobility are likely to see. With made garment factories in Bangladesh on digitizing flexible, low-risk credit or additional information worker salary payments, with a focus on women on how to invest in better inputs, collaborators are as primary workers in that industry.32 The Better in a position to harness new tools for their families’ than Cash Alliance released a report in 2017 on benefit. the value of digitizing garment worker salaries in Main proprietors can fully make financial Bangladesh.33 Their findings could apply to paying decisions and may have control over their own women formally employed in agro-enterprises or asset-generating enterprise. She wants to use agro-processing. financial tools to grow her family’s business and income. Main proprietors may not need women- targeted digital financial and informational services. Women-owned They are likely to already know a bit about these Agribusiness MSMEs options and where to access them, and are likely Women are also entrepreneurs in the agricultural to be curious or enthusiastic about opportunities to space; they own agribusinesses of all types, make harness the to grow their businesses. financial decisions, and drive local food systems and economies. For example, USAID’s Feed the Future has documented a number of case studies Women of female entrepreneurs in agriculture, including Laborers a woman working as a mango producer group Women, partnered or not, may work in agriculture as marketing agent, an agronomy trainer in Haiti, an wage earners for employers. According to research owner of an agricultural inputs store in Zambia, a sponsored by USAID’s Feed the Future initiative, leader of a women’s farmer group in Bangladesh, “there are many opportunities to increase women’s and sellers of off-farm produced and processed economic empowerment outside of interventions goods in Honduras.34 In 2011, a G-20 report studied focused on production.”28 The IFC has documented the gap in financing for the estimated 8-10 million that women’s participation as laborers in industrial formal SMEs with full or partial female ownership agriculture is notably on the rise: the study reports in emerging markets.35 Comprised of entrepreneurs, that, women are seen to be increasingly engaged in this segment is assumed to be more focused on wage employment in large-scale industrial agriculture, growth and in need of capital and credit. Whether especially of non-traditional products meant for their goal is to scale up or simply to more effectively export.29 Indeed FAO’s analysis of data indicates that and efficiently manage their balance sheet, financial women dominate employment in many of the high- tools and services as well as informational services MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 16 could be beneficial. The United Nations Foundation and friends, a common source for borrowing, may lists as priority-level, proven interventions “credit and not meet the needs of this segment who would benefit business management training targeted to women- from qualifying for credit from more formal sources. owned small and medium enterprises (SMEs) While female agribusiness entrepreneurs are likely (versus subsistence-level enterprises); bundled to be resourceful and creative, they often still services, including capital, income generation training could use higher quality and more reliable sources and follow-up technical visits, for women-owned of agricultural information and advice. “Lacking micro firms operating at subsistence level.”36 Family information about technology improvements and Table 3: Personas Loan Disbursement Market Pricing Credit Scoring and Collection Agricultural Payments Extension Insurance Linkages Savings Personas Key Service Needs • Secure savings with restricted access Short-term credit products accessible •  through the phone based on digital data Smallholder Farmers - (e.g., consumption, payment patterns) Female Headed Households Digital farmer applications that provide •  market linkages and remote access to extension services Digital access to micro insurance products •  for medical and other emergency expenses Smallholder Farmers  ecure savings with restricted access • S - Partnered Women Short-term credit products accessible •  Contributors through the phone based on digital data (e.g., consumption, payment patterns)  ecure savings with restricted access • S Collaborators Short-term credit products accessible •  through the phone based on digital data (e.g., consumption, payment patterns)  ecure savings with restricted access • S Short-term credit products accessible •  through the phone based on digital data Main Proprietors (e.g., consumption, payment patterns) Digital farmer applications that provide •  market linkages and remote access to extension services Women Laborers  ecure savings product that automatically • S earmarks a portion of wages and savings Low cost payment product that enables •  P2P and bill payment Women Owners of  arketplace and applications that provide • M Agribusiness/MSME access to customers and suppliers Working capital credit products that •  support business expansion (e.g., inventory, crop purchases) High relevance Low relevance WOMEN IN AGRICULTURE USER SEGMENTATION AND FINANCIAL NEEDS 17 their correct application hinders women to upscale Barriers to Access and Active Use of agricultural production. The integration into Financial Services modern agricultural supply chains was shown to The financial inclusion gap and gap in financing significantly increase incomes.”32 Information is for smallholder farmers indicate that barriers are needed both at the input and production levels as hindering women farmers and those engaged in well as with marketing and business development. agricultural business as laborers or MSME owners. “Women face particular constraints marketing their The gap in financial inclusion and access to finance products due to factors such as isolation, lack of is not unique to women but exists among all knowledge, quality issues, and lack of bargaining smallholder farmers in developing countries. CGAP power.”38 collected sex disaggregated data on the financial Financial Needs behaviors and financial inclusion of smallholder In Table 3 we have mapped the financial and farmers in countries complemented by data from information services needs across our personas. While financial diaries. CGAP’s comparative analysis we recognize that the personas include some degree of of data collected on male and female smallholder variation we focused our analysis on broad needs and farmers in Mozambique and Tanzania identify commonalties within each persona. We then looked similarities and differences in women’s financial at the core attributes of the financial and information behavior in the two countries and within countries services and assessed how they met the needs of the with their male smallholder farmers.39 The data also persona. In each case, we have used the desk research allow analysis (beyond the scope of this report) on and our experience working with women and women the statistical significance on financial inclusion on a farmers to develop relative importance ratings for number of factors beyond gender, such as education each service. In developing the ratings we took into level, regularity of income, savings preferences, consideration cash flow patterns as well as aspirational literacy, and, income. In its analysis of demand- and goals. As an example, Smallholder Farmer – Female supply-side data from Mali and Côte d’Ivoire and Head of Household and Partnered have a cash flow follow on research, GMSA found a positive linear deficit just before harvest. In many countries this deficit correlation between education levels, occupation, is exacerbated by the fact that school fees are often also and mobile money usage, suggesting that education due at this time. The economic factors of these personas and occupation help to predict how likely one is to result in a strong need for short term credit products. become an active mobile money user.40 Our ratings also reflect aspirational goals of the This report takes stock of the barriers identified segment. Research indicates that Smallholder Farmer in prior research that inhibit women’s financial – Collaborators often want to expand their farms and inclusion and use of digital tools with the recognition introduce new crops and methods. Consequently, that the presence and depth of those barriers will we examined products such as commitment savings vary by country and regionally within a country. that would assist this segment to achieve their farm As noted in the World Bank’s 2017 edition of the improvement goals. Specific ratings were arrived at esourcebook for ICT and Agriculture, “overall, through a Delphi approach using an expert panel that there is still a need to address current gender provided specific ratings for each service category. The discrimination and to ensure gender sensitivity at ratings were consolidated and an average rating for all levels and within all institutions involved in each was entered into the table. mobile finance.”41 MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 18 Table 4: Barriers to Women’s Financial Inclusion Demand Side Barriers Supply Side Barriers Legal & Regulatory Barriers • L  ack of bargaining power •  Inappropriate product offerings  ccount opening requirements • A within the household • L  ack of gender-specific policies that disadvantage women • C  oncentration in lower-paying and practices for product Barriers to obtaining formal •  economic activities design and marketing identification • C  ompeting demands on nappropriate distribution • I Legal barriers to owning and •  women’s time related to channels inheriting property and other unpaid domestic work •  Lack of participation in collateral •  Lack of assets for collateral formalized farmer organizations Lack of gender-inclusive credit •  or receipt of extension services reporting systems Lack of formal identification •  (cooperatives/associations)  educed mobility due to time • R Lack of visibility to buyers as •  constraints or social norms producer • L  ower rates of cell phone Lack of access to market •  ownership among women information for pricing needed to access many digital products  omen-specific crops • W potentially result in lower yields (may not be cash crops)  ow levels of formal education • L that limit digital and financial literacy and numeracy. Demand Side Solutions Supply Side Solutions Legal Regulatory Solutions  romotional pricing of mobile • P  roduct offerings customized • P Tiered KYC and account •  devices SUPPLY SIDE for crop BARRIERS cycles and income LEGAL & REGULATORY BARRIERS requirements  romotional and literacy • P  arketing and literacy • M mproved land registries and • I campaigns to build users campaigns through channels use of intangible collateral and digital capacities women trust alternative credit scoring  igitally delivered services with • D ncreased recruitment of • I  ex-disaggregated and • S protected accounts women into organized farmer improved reporting of  iered KYC with lower • T groups transactional data to identification requirements • I ncreased delivery of market credit agencies • R  easonable fees for small information and pricing to transaction volume and value women farmers ncentivized transaction pricing • I to encourage and reward use  redit rating based on • C transaction histories • Blue text = Agricultural sector specific barriers Source: Innovations for Poverty Action and SIA Analysis WOMEN IN AGRICULTURE USER SEGMENTATION AND FINANCIAL NEEDS 19 A 2017 IPA-led evidence review of knowledge gaps and Mozambique suggests that women and men may in women’s economic empowerment identified face the same initial barriers to accessing finance a series of gender-based barriers to financial but that “these disadvantages seem to affect women inclusion. Though not specific to agriculture, the smallholders’ particular livelihood strategies by findings were still relevant. See Table 4 which limiting their ability to diversify income- generating describes the barriers identified in further detail. activities within the agricultural and nonagricultural sectors.”43 Demand Side Barriers Women Farmers Have Fewer Resources Low Levels of Education and Literacy Than Men Farmers to Serve as Collateral by Women Present Challenges in Use of and Produce Lower Yields Financial Services and DFS Smallholder farmers and women, in particular, The particular challenges women face in becoming have low levels of formal education which produce financially included, and whether they are unique lower levels of financial literacy, digital literacy, from those faced by men do depend on their and numeracy. In 2014, the global adult illiteracy environment and circumstances. FAO notes, rate was 15% (758 million adults) as reported in the however, that one generalization about women in Global Education Monitoring Report; 63% of adults agriculture is appropriate: “compared with their who are illiterate are women – a percentage that has male counterparts, female farmers in all regions been stagnant since 2000.44 In developing countries, control less land and livestock, make far less use 69% of men and 75% of women are financially of improved seed varieties and purchased inputs illiterate.45 In a review of reports analyzing data such as fertilizers, are much less likely to use credit from the Financial Inclusion Insights (FII) datasets, or insurance, have lower education levels and are literacy and numeracy were found to be key less likely to have access to extension services.”42 determinants of women’s use of DFS. The data show Research also indicates that women are likely to face a gap in women’s literacy ranging from a low of 7% more challenges, or to face them more severely - and (Bangladesh) to 25% (Pakistan) in the 7 countries to have less ability to cope with these barriers and where FII data were collected.46 overcome them. Research on farmers in Tanzania Findings from CGAP Small Holder Farmer Surveys Consistently Show Women Farmers are Less Likely to Attend School than Male Smallholder Farmers  ganda: 47% of women smallholder farmers have never attended school compared to 12% of the • U male smallholder farmers.  ozambique: 45% of female household heads who are smallholder farmers have no formal • M education compared to 30 percent of men.  anzania: twice as many female smallholder farmers than male smallholder farmers have never • T attended school. Côte d’Ivoire: 76% of women in female-headed smallholder farmer households have not attended school •  Source: http://www.cgap.org/sites/default/files/CGAP_Smallholder_Household%20Survey_MZO_Technical%20Paper_ENGLISH_final.pdf; http://www.cgap.org/ sites/default/files/Working%20Paper_CGAP%20Smallholder%20Household%20Survey_UGA_April%202016.compressed.pdf; http://www.cgap.org/sites/default/ files/Working-Paper-Smallholder-Survey-Tanzania-May-2016.pdf; http://www.cgap.org/sites/default/files/Working-Paper-Smallholder-National-Survey- Bangladesh-May-2017.pdf; http://microdata.worldbank.org/index.php/catalog/2789) MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 20 Women Face Time Constraints and Adverse Social Norms May Inhibit Women’s Expectations to Perform Unpaid Labor Mobility and Agency, in Many Cases, from That Men Do Not Generating and Amassing Resources Time – often referred to as time poverty – is a A major factor influencing gender-divergent rates major constraint to women’s greater investment of DFS usage is social norms. Cultural and social in agricultural development activities. “Women norms that limit women’s mobility, decision making are generally less able than men to participate in authority and ownership of resources (including economic opportunities because they face a work mobile phones) often contribute to the barriers burden that men do not. In most societies, women women face in accessing financial services. They are responsible for most of the household and child- may influence both the supply side and demand sides; rearing activities as well rearing of small livestock, financial service providers are often hesitant to invest although norms differ by culture and over time. in products and services more relevant to women This additional work burden is unpaid and limits because of unconscious or consciously held beliefs women’s capacity to engage in income-earning that women “may not need, want or be able to use activities, which often require a minimum fixed financial services.”48 Or they lack a true understanding time before being profitable.”47 of the business case for female client segments. “Bright Spots In Gender Parity” GSMA’s 2017 study on mobile money use in Mali and Côte d’Ivoire found women have lower levels than men of mobile phone ownership and awareness of mobile money but also that when women have a mobile money account, they are as likely as men to try the service and become regular users.52 Among the 26 countries of focus for the Brookings Financial and Digital Inclusion Project (FDIP) scorecard, six countries (the Dominican Republic, Indonesia, the Philippines, Mexico, South Africa, and Vietnam) exhibited either gender parity or a greater percentage of women than men using formal financial institution accounts, according to the World Bank’s 2014 Global Findex.53 Like Analog Financial Services, These New a mobile phone.49 The World Bank’s 2014 Global Digital Channels Have So Far Reached More Findex database shows that in low- and middle- Men Than Women income countries, women are 36% less likely than While the number of digital distribution channels men to have a mobile money account.50 Analysis are growing, industry data shows services delivered of gender-disaggregated data highlights rich and over the mobile channel, including financial complex nuances of where gender parity may exist services, currently reach more men than women. and where men and women’s access to and use of In 2015, GSMA estimated over 1.7 billion females analog and digitally-delivered financial services in low- and middle-income countries did not own diverge.51 WOMEN IN AGRICULTURE USER SEGMENTATION AND FINANCIAL NEEDS 21 Supply-Side Barriers factors that led them to conclude that “it is even more difficult to serve financially excluded women The Initiative for Smallholder Finance’s 2016 than the generally excluded population.”57 analysis of smallholder farmer finance divided sources of credit for smallholder farmers into the Digital technology is empowering alternative categories of: (1) Formal Financial Institutions sources of funding including crowd sourcing and (commercial and state banks and MFIs), (2) Value peer-to-peer lending supplied by individuals or Chain Actors (buyer and input providers), and institutions physically remote from the borrower. In (3) Informal and Community Based-Financial its benchmarking report on online alternative finance, Institutions.54 Not all providers are interested in the Cambridge Center for Alternative Finance (CAF) serving smallholder farmers and the business and Energy 4 Impact measured the size and growth case of financing is one that, without subsidy, has of crowdfunding and peer-to-peer lending markets remained challenging. Gaps in financing for each of in 46 countries in Africa and the 12 in the Middle the farmer categories exist across the credit supplier East capturing an estimated 80% of the visible online type with some regional differences including a alternative finance market in Africa.58 The report higher reliance on informal/community-based found the highest level of participation by women in financing in Southeast Asia and sub-Saharan Africa crowd-sourced funding with consumer peer-to-peer with more lending by formal financial institutions lending coming in third followed by peer-to-peer in Latin America.55 business lending. Platforms such as zdisha, provide peer-to-peer lending platforms that can be used to seek In its recent review of ICT tools for agriculture, the loans for projects for any purpose, including funding World Bank noted a current need to address gender for farmer inputs and agriculture activities.59 The CAF discrimination and to ensure gender sensitivity at all benchmarking data show that agriculture is not a levels and within all institutions involved in mobile dominate sector in Africa or the Middle East but rather finance. The report found that DFS providers peer-to-peer lending is concentrated in the leisure, have not yet made substantive efforts to conduct hospitality, retail and wholesale sectors and peer-to- market research and adapt products, services, and peer consumer lending to sole-traders or individuals, marketing strategies to meet the needs of women most commonly is used for real estate and housing, farmers especially in rural areas.56 community, and retail and wholesale projects.60 There is a growing recognition that the intentional Legal/Regulatory Barriers to women’s access to design of financial products to meet client finance are discussed in the following section along preferences and needs is essential to increasing with efforts to create enabling environments for women’s access. Recent trends in DFS innovation financial inclusion. point toward a future of tailored, customer-centric products and services, delivered through localized Women as an Underserved access points and capable of meeting the diverse Consumer Segment financial needs of women farmers. The trends are In northeastern Uganda, Mercy Corps found 81% encouraging but will require ongoing commitment of female headed-households and 55% of female to achieve the depth, scale and usage rates that will spouses were the primary financial decision makers close the gender gap in women’s financial inclusion. on agriculture and health purchases.61 However, A financial diary study completed by Bankable services and products on the local market were Frontiers Associates in India, Kenya and Mexico geared towards male clients. explored the specific cultural, social and economic MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 22 Regulatory and Enabling Environment Assessment The use of the digital technology and the mobile channel for delivery of financial services and access to credit has expanded the areas of regulatory interest and the number regulators focused on ensuring the services provided are “responsible” DFS. As the types of entities facilitating financial transactions have expanded beyond banks and regulated financial institutions to MNOs and third party providers, policymakers are searching for a balance of the right mix of regulation to protect consumers, while promoting product delivery and service innovation. Governments focused on closing the financial inclusion gap in their own countries have developed national financial inclusion strategies, including those that promote the use of digital technologies. Some include targeted strategies to monitor and close the gap in financial inclusion between men and women. The Alliance for Financial Inclusion (AFI), an independent, member network of central banks and other financial regulatory institutions from more than 90 developing countries, has led a drive since 2011 to get governments to commit to progress on financial inclusion by joining its Maya Declaration.62 AFI reports that a third of its members had identified specific gender-based initiatives related to women’s financial inclusion, as shown in Table 5. REGULATORY AND ENABLING ENVIRONMENT ASSESSMENT 23 Table 5: Summary of Afi Member Gender Related Maya Declaration Targets Expected Institution Target Completion Use Case Central Bank Prepare a preliminary report on the state of financial inclusion in In progress Dec 2017 of Egypt Egypt with the focus on supply side before the end of 2017 with a view to preparing progressively more comprehensive report each year thereafter. Gender disaggregated data will be reported by the end of 2020. Reserve Bank Increase access to formal financial services from 64% to 85% (by In progress 9 Aug 2016 of Fiji 130,000) of the adult population, of which 50% are women. Enhance data measurement and analysis by collecting In progress Unspecified disaggregated data on gender, age, and ethnicity by the year 2020. Central Bank Reduce the gender gap from 53% to 35% by 2020 with decrease of In progress Dec 2020 of Jordon 10% annually. Bank Negara Establish database on account ownership based on gender by In progress Dec 2016 Malaysia end-2016. Bank of Papua Reach 1 million more unbanked, low-income people in Papua New In progress Unspecified New Guinea Guinea, 50% of whom will be women. Central bank of the Enable an additional 70,000 (of which 30,000 are women) unbanked Completed Jan 2015 Solomon Islands and under-served citizens to have access to financial services by year 2015. National reserve Develop and improve access to finance by 20% over the next 5 In progress Jan 2020 Bank of Tonga years, focusing on: (1) SMEs in the agricultural, fisheries and tourism sectors, and (2) SMEs for women and youth. Reserve Bank To enable the availability and accessibility of the relevant financial In progress Dec 2016 of Vanuatu services to at least 76,000 unbanked Ni-Vanuatu (at least 38,000 to be women) by December 2016, through a nationally coordinated effort, in partnership with a range of service providers and relevant government institutions, offering a broad range of relevant and cost effective financial services. Putting in place policies to support access to SMEs targeting 30% In progress 13 Jun 2016 of women. Bank of Zambia Entrench Gender Mainstreaming within the Bank and financial sector In progress Mar 2017 so as to contribute to gender equality in Zambia. Reserve Bank Collect and maintain disaggregated financial inclusion data (women, In progress Unspecified of Zimbabwe SMEs, youth, small-scale agriculture and rural population). Source: Alliance for Financial Inclusion MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 24 In 2016, AFI members adopted The Denarau Action In 2010, the G-20 formed the Global Partnership Plan, which identifies measures AFI members can for Financial Inclusion (GPFI) to carry forward take to increase women’s access to quality and the G-20’s work on financial inclusion, including affordable financial services globally and close implementation of the G20 Financial Inclusion the financial inclusion gender gap.63 The Denarau Action Plan. GPFI has contributed significantly Action Plan promotes the development and in thought leadership of structuring enabling implementation of smart policies and regulations by regulatory environments, including promoting members of the AFI Network to create an enabling financial inclusion through digital innovations. environment that accelerates women’s financial GPFI’s work includes research with the Better than inclusion, including: Cash Alliance on how DFS can advance women’s economic empowerment, development of ten high- • setting specific financial inclusion objectives and level principles on financial consumer protection, targets for women’s financial inclusion within eight high-level principles for digital financial both the framework of the Maya Declaration and inclusion and a 2017 report on ensuring financial their national financial inclusion strategies education and consumer protection for all in the • leveraging DFS and other innovative technologies digital age.64 to accelerate progress toward women’s This collective interest in advancing financial financial inclusion inclusion through digital technologies has led to • highlighting the role of appropriate financial compilation of guidelines, principles and codes of infrastructure, such as interoperable payment conduct on how to address key regulatory issues as systems, credit bureaus and electronic collateral show in Table 6. registries, in enabling women’s financial inclusion. Table 6: How to Address Key Regulatory Issues Organization Advocating for Governing Principles for Digital Financial Services Global Partnership for Alliance for International Financial Inclusion GPFI Financial European Union GSMA Telecommunications (Gpfi) Inclusion Union (ITU) High-level Principles High- Level Guideline Note Directive (EU) Mobile Money Security on Financial Principles for Digital on Consumer 2016/680 of Operator Code Aspects of Consumer Protection Financial Inclusion Protection in the European of Conduct DFS Mobile Financial Parliament and of Services the Council Issue Data Protection X X X X X Regulatory X X Oversight & X Coordination Consumer Protection X X X X Interoperability/ Interconnection Risk-Based Know Your Customer X X Competition Policies X X Source: SIA Analysis REGULATORY AND ENABLING ENVIRONMENT ASSESSMENT 25 The regulatory issues identified are discussed in availability of formal, convenient, unsecured, short- more detail in the following sections. term, small-dollar credit. Omidyar noted its research findings were consistent with CGAP’s work with First Data Protection Access in Tanzania, where consumers reported their The path to women’s access to a multitude of need for a loan superseded their concerns for privacy.65 financial services, and especially credit and insurance, Use of personalized, digitized data raises regulatory will accelerate with the creation and analysis of issues of data ownership, privacy and theft that are digital trails of data, including mobile call detail drawing increasing regulatory attention. CGAP, in records, payment and loan transaction history, and its research in Tanzania with First Access, noted that for women in agriculture, farm or business-level consumers’ willingness to trade privacy for credit details. Women’s high use of informal services in increases the importance of developing standards emerging markets gives them low levels of visibility for obtaining informed consent and providing data by formal providers, hindering credit scoring, risk protection and incorporating those standards up rating for insurance and understanding of relevant front in product development.66 There is a strong financial service approaches. In addition, women’s call for data privacy and protection standards and roles in partnered households may provide them some digital financial service regulators have limited visibility to financial institutions serving the begun to incorporate standards of informed consent household. Therefore, generating, and using the data in their regulations.67 There is also a growing trails of these women is likely to produce a net benefit. movement to allow users of services to opt out In research conducted on consumers in Kenya and of data collection. The GSMA Code of Conduct Columbia, Omidyar Network found that emerging- for Mobile Money Providers includes a principle market consumers were willing to trade privacy calling for providers to follow good data privacy of certain data for what they deemed the high value practices when collecting, processing, and/or Figure 6: Consumer Research: Trading Privacy for Credit Omidyar’s consumer research in Kenya and Columbia found that to improve their chances of getting a loan or a larger loan: 7 out of 10 6 out of 10 Would share information on mobile phone use Would share information on social media activity 7 out of 10 6 out of 10 Would share information on Bank account use Would share information on web browsing history Source: Arjuna Costa, Anamitra Deb, and Michael Kubzansky. “Big Data, Small Credit.” Omidyar Network. MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 26 transmitting customers’ personal data. The GSMA have opportunities to exercise meaningful choice principle includes a subprinciple on user choice and control over their personal information and and control calling on mobile money providers to consent to any changes that materially affect the ensure customers are informed of their rights and privacy of their personal information.68 Consumer Protection Regulation Review In 2016 the Evans School of Public Policy and Governance at the University of Washington (the “Evans School”) completed a literature review of on consumer protection institutions and regulatory documents for digital financial services (particularly mobile money) in 22 developing countries. 18 were found to have regulations mandating security policies for DFS providers to reduce the risk •  of loss of funds or data, 12 countries have data security requirements, •  9 countries limit sharing of consumer data with third parties, •  6 countries have standards for accessing consumer funds or data, and •  9 countries limit sharing of consumer data with third parties.69 •  In reality, collection of data also can be siloed for in the 143 economies with credit reporting •  use by the organization collecting the data and institutions covering more than 5% of the viewed as proprietary and withheld even from the population, 14 have minimum loan thresholds customer who owns the data. For example, many higher than 1% of income per capita that may mobile operators are unwilling to share customer not capture women.71 call detail records and information on payments including mobile money transactions and utility Regulatory Oversight & bills, or to report this data to credit rating agencies. Coordination The World Bank’s Women, Business and the Law Women in agriculture will benefit from the increased project measures women’s access to credit in part digitized delivery of financial services that can scale on whether there is a credit rating agency in the into rural areas through a range of business models country.70 These credit rating agencies depend on and entities. Digitization has increased the type of the contribution of data, including on low-value entities engaged in financial service delivery. Beyond loans that may currently fall below reporting banks and other traditionally regulated financial thresholds and from retailers and utilities such as institutions, such as MFIs, financial services are MNOs and electric companies. The data collected now delivered by MNOs, third party agents and for the Women Business and the Law 2016 report through new fintech offerings that enable peer-to- showed: peer lending, such as Kiva, and though very nascent – digital currencies and smart contracts for tracing • of the 173 economies covered, 30 do not have agriculture outputs. The regulatory jurisdiction for a public credit registry or private credit bureau these service types can span multiple regulators and that covers more than 5% of the population. typically includes: REGULATORY AND ENABLING ENVIRONMENT ASSESSMENT 27 Financial services regulators – typically central •  payments, including social welfare payments that banks who license banks and regulate DFS may be targeted to women.72 along with providing prudential regulation and There is a general call to be entity-agnostic in the regulating market conduct to protect consumers, licensing of DFS providers as an approach to creating • Telecommunications regulators who license an enabling regulatory framework.73 GPFI’s High- radio spectrum to MNOs and regulate the use, Level Principles for Digital Financial Services call access and pricing of mobile services, and for a policy environment and regulatory framework that reflects a proportionate and enabling approach • Competition authorities who address anti- to regulation. GPFI describes a proportionate competitive behavior by market actors by approach as involving “... the balancing of risks and enforcing the country’s competition laws. benefits against costs of regulation and supervision In most countries, the financial services regulator to the regulator, the supervisor and to the regulated has taken the lead in adopting regulations for and supervised institutions.”74 Empirical research DFS, which may include regulations on e-money has shown that where mobile money has succeeded, as well as agency banking. Ministries of finance most of the countries did not require a bank to be also have engaged in shaping agendas for financial involved other than to holds funds, had minimal inclusion and play an important role in the growing restrictions on licensing, minimal restrictions on movement to digitize government-to-person agents and light know your customer requirements.75 Regulatory Oversight & Coordination In Indonesia, there are separate regulations for e-money services and agency banking. •  In 2016, Uganda amended its Financial Institutions Act to allow banks to offer banking services •  through agents and compete with mobile money providers.  igeria’s Guidelines on Mobile Money Services identify two models for the implementation of mobile • N money services. These include the bank-led model and the non-bank led model. The non-bank led model stipulates that the lead initiator shall be a duly licensed corporate organization other than a deposit money bank or a telecommunications company. The existence of multiple regulators requires encourage governments to engage in cross-agency an intentional level of coordination to avoid collaboration as a means to ensuring the basic unnecessary overlap and support cohesive infrastructure exists for digital financial inclusion, regulations that enable innovation in the delivery including telecommunications and power.77 of financial services. GPFI’s principles advocate that governments ensure a clear delineation of Consumer Protection responsibilities among regulators for the legal Globally, women often have less experience and regulatory framework relevant to DFS and interacting with financial service providers and for digital financial inclusion in general.76 To may face disadvantages or discrimination in the expand the DFS ecosystem, GPFI’s principles marketplace. Therefore, it is critical they understand MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 28 the products they are accessing to build trust in the should be educated about using and remembering services. Regulations and service provider policies their PINs, knowing the correct amount of money that provide consumer protection help build trust to be received during transactions, and what to do if by promoting transparency in terms of a service something goes wrong.”79 offering so consumers can make an informed choice A 2016 review of consumer protection regulations and resolve disputes. Consumer protection issues in 22 countries found: around DFS revolve around three main areas: 10 of the 22 countries researched have •  (1) disclosure and transparency of terms and regulations mandating specific mechanisms for conditions of services, including price, consumers to report complaints, (2) customer service and redress, and • 8 of the 22 countries have regulations requiring (3) protection of funds from risk of loss. the complaint channels be free, Disclosure and Transparency • 13 countries regulations specify maximum Regulators with jurisdiction over financial service response times, and delivery typically require pricing transparency • 15 countries have regulations specifying through display of pricing and terms of service alternative dispute resolution channels in case at agent locations, online posting of fees. Service consumers are not satisfied with provider providers may also provide notice of pricing mechanisms.80 through push notifications before a transaction. To further understanding, government disclosure Protection Against Loss of Funds guidelines may require that the terms and pricing be As in traditional banking services, prudential available in plain language or provided in localized regulation of institutions to protect against loss of languages. The Evans School’s 2016 review found funds is important. In a finance market where funds 18 of the 22 countries it reviewed have regulations are stored digitally, the DFS provider holds the that mandate transparent communication of costs balance of funds for its users. If the provider is not for DFS with six requiring regulator reviews of a bank subject to banking regulation that includes product terms and conditions.78 capital and reserve requirements, questions arise on the safeguarding of the value attached to the digitally Customer Redress stored funds and treatment of interest on the funds Consumers’ recourse to resolve service issues is balance. The regulatory approaches to protection of especially important in financial services delivery funds typically include 1:1 requirements for funds to women who may be first time users or skeptical to be held in pooled bank accounts with safeguards of technology and its ability to safely store or to protect risk of loss from both investment and transfer value and conduct transactions in real time. claims by creditors. Customer redress typically begins at the service provider level but can be escalated to the regulator. Interoperability/Interconnection Governments are including in DFS regulation Interoperability of mobile money and the broader requirements that consumers have access to set of DFS is becoming a feature of many maturing recourse mechanisms to resolve disputes, whether DFS markets. Systems that are interoperable related to incomplete or incorrect transactions, loss broaden consumer choice of service provider. This is of funds due to agent fraud, stolen identity, etc. particularly relevant for women in agriculture who GPFI notes that “female consumers in particular may reside in rural areas and receive remittances REGULATORY AND ENABLING ENVIRONMENT ASSESSMENT 29 or payments from others as an important source Risk-Based Know-Your-Customer of income. Regulatory concerns exist around the Requirements timing and approach to interoperability so as to not Financial service providers, regardless of type, interfere with scaling of and investment in services are required to conduct customer due diligence in service offerings or reach. As with systems and confirmation of identities prior to account integrations generally, digital networks can have opening. Similarly, access to credit requires two levels of interoperability: documentation of identity. Women’s lack of access Technical or systems interoperability, i.e. 1.  to legal identity documents poses a barrier to technical ability for different systems to work meeting these requirements and therefore access together through agreed upon standards or system to formal accounts as documented by the World integration through a third party. Bank Women’s, Business and Law 2016 Report. 2. Commercial interoperability/interconnection, Married women in certain countries may face i.e. the presence of agreements or established as more acute challenge in legal identity. In ten principles between the commercial operators on economies included in the Women’s Business and the business side of the systems (e.g. settlement the Law database, married women need to provide of fees, allocation of risk, transaction reversal, additional documents to get a national ID card. customer care, etc.). Some refer to this second layer as interconnection. Figure 7: Consumer Research Interoperability arises at multiple layers in the Women are less likely to borrow from a financial delivery of financial services over the mobile institution where processes for getting national ID cards differ by gender. channel. The scope of interoperability in DFS can be defined broadly to include the entire payment and Borrowed from a financial institution, female financial services sector (including mobile money (% age 15+) systems operated by MNOs) and more narrowly to 11% just include interoperability between the subset of mobile money operators’ mobile wallets (m-wallets YES without linkage to the banking sector) or agents.81 Increasingly, m-wallets are interoperable with banks allowing the push and pull of funds between the m-wallets and bank accounts.82 Mobile money 5% wallet interoperability has proven to be more elusive but is becoming recognized as valuable and is being NO pursued in multiple ways. Can a married woman apply for a national ID card in the same way as a married man? Source: World Bank Women’s, Business and the Law, page 10 MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 30 Achievements in Interoperability In Tanzania, mobile money operators reached an agreement on m-wallet to m-wallet interoperability. Their agreement does not extend to integration with the formal banking sector. IFC acted as a neutral, third party facilitator. In Peru, a more universal approach has been adopted with the launch of a new universal payments platform, BiM, under common ownership of banks and other stakeholders including MNOs. In Uganda, third party aggregators have provided the interoperability to address the end users’ need to send payments to subscribers on different mobile money systems. Aggregators integrate their payments software platform with the systems of the mobile money operators by accessing their application program interfaces (APIs). Payments are initiated through the aggregator and routed through the serving mobile money operator to which the payee subscribes. Governments are seeking to lower the barrier of proportionate KYC and customer due diligence identity through initiatives on national ID systems, processes enable financial service providers to such as India’s Aadhaar program83, and through meet identification requirements for customers tiered or progressive know-your-customer (“KYC”) who seek to open low-value or otherwise low-risk requirements that apply a risk-based approach to accounts while reducing access barriers to financial regulation that lowers the documentation threshold services.85 When AFI surveyed its members, 40% for lower level accounts as approved by the Financial recognized flexible KYC norms (and alternative Action Task Force.84 The Brookings Institute noted collateral mechanisms) play a role in advancing in its digital financial inclusion scorecard, that risk- women’s financial inclusion. Tiered KYC Mexico allows tiered KYC procedures with different “levels” of accounts requiring different documentation requirements and transaction limits. This tiered KYC has been associated with facilitating greater access to financial accounts for low-income individuals. In the Philippines, potential customers for Globe and SMART mobile money have the option of presenting a company-issued ID, among many other types of IDs. The Central Bank of Nigeria adopted a three-tiered KYC approach in 2013 for banks and financial institutions as part of its financial inclusion strategy. REGULATORY AND ENABLING ENVIRONMENT ASSESSMENT 31 MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 32 Technology Landscape Overview of Trends in the Technology Landscape Digital technologies are advancing access to finance across the globe and helping to close the financial inclusion gap. The inclusion of mobile money accounts in the World Bank’s 2014 Global Findex is attributed in part for narrowing the financial inclusion gap from 2.5 to 2billion. Where brick and mortar branches of banks, insurance companies, lenders, and other financial services are unlikely to ever be built, the penetration of mobile services has allowed MNOs and new, entrepreneurial providers to step in with new types of services that potentially lower the costs of serving smallholders enough that a business case exists. Our desk research draws from research on financial and agriculture support services across eight service areas. While not exhaustive, our sample of 150+ initiatives provides a window into current product and service offerings. While 62 of the products targeted smallholder farmers, only one had a specific target to reach women smallholder farmers. Other programs such as savings groups have a focus on women but were not designated specifically for women farmers. Figure 8: Service Type Prevalence by Region and Globally 150 112.5 75 37.5 0 East Africa West Africa Rest of Africa South Asia Rest of Asia Latin America Total n Agricultural Extension n Loan Disbursement n Credit Scoring n Savings Insurance n  TECHNOLOGY LANDSCAPE 33 Figure 9: Products in Region World Regions Eastern Africa ASIA Western Africa Global Southern Africa North America, Latin America and the Caribbean South America MIDDLE EAST Middle Africa EUROPE African Continent 0 10 20 30 40 50 60 70 Products in Region In each of these service areas we identified, digital trends as shown in Table 7 and described in further technologies are contributing to product and service detail in the sections that follow. Table 7: Selected Digital Services and Key Trends Selected Digital Key Trends Services Credit Scoring  inancial service providers and new third party providers are developing, using, and may market • F their own credit scoring algorithms based on data collected without access to credit bureaus ncrease in the availability of payment and consumption data from digital transactions and • I mobile phone enabled development of innovative credit scores  rowth in mobile money subscriptions greatly expands the number of individuals with credit scores • G • New credit scoring mechanisms are reducing the cost of lending by enabling automated lending Loan ncrease in the use of digital channels to disburse loans and collect payments • I Disbursement  igital disbursement enables financial service providers to deliver instant credit to individuals • D and Collection and small businesses and provide short-term, micro-credit products  igital loan payment/collection reduces costs for both the financial institution and the borrower • D and reduces late payments Savings  • Many regulators are allowing non-bank financial institutions to offer interest bearing savings accounts with mobile wallets  • Banks are using branchless banking agents and digital technology to extend their reach into rural areas MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 34 Table 7: Selected Digital Services and Key Trends (Continued) Selected Digital Key Trends Services  iered KYC requirements for digital accounts expand the addressable market for lower value • T Savings savings products  GOs are facilitating the integration of digital technology to mirror the processes and features • N of Village Savings and Loan Accounts (VSLAs) and link the groups to formal accounts  • Commitment savings products using defined purposes and defined durations are being developed and tested Insurance Micro insurance product premiums may be paid using airtime •   igital distribution channels reduce the cost of issuance and payments and enable expansion • D of micro insurance products  • Mobile money service providers are partnering with insurance companies and offering a range of insurance products (e.g., life insurance, health insurance, burial insurance)  igitized agricultural data is expanding the market for crop insurance by reducing costs (e.g., • D indexed crop insurance) Payments  igital payment products including mobile money, bill payment, and card-based products • D continue to expand with a growing push for interoperability  overnment to person (G2P) payments are moving away from cash and check to digital • G channels  hile Person to Person (P2P) payments remain the dominant use of mobile money, consumer • W to business payments, particularly utilities are also moving toward digital  • Digital payments generate transaction data and are being used to create formal financial identities Market Pricing  overnment and private sector entities are collecting and disseminating agricultural price • G information digitally  • Entities are using geographic information to micro target and tailor information to farmers to maximize revenue in crop sales and provide equal access to market pricing information Various business models are being explored (e.g., free, subscription, pay as you go) •  Linkages  • G overnment and private sector entities are providing digitized information on transportation sources, availability of farm products, availability of farm inputs, and location of buyers through digital marketplaces Growing trend to link farmers with sellers of specific products through digital market places •  Agricultural • Government, buyers, agriculture input suppliers and NGOs are supplementing Extension agricultural extension programs with digital content to improve farming practices and productivity  • G eographic information is being used to micro target farmers with localized content including localized weather information • Two-way communications enables farmers to request content and inquiry about specific crop related issues such as disease management or fertilization TECHNOLOGY LANDSCAPE 35 In the sections that follow, we provide an overview This method of credit scoring uses information that of the service category, recent developments and a wide range of farmers at different income levels findings from our database developed for this project may be able to provide to develop a credit profile, through desk research. We then highlight several including data from mobile prepaid sources, such products and analyze them using the marketing mix as airtime transactions, psychometric testing, social method of the 4Ps, with a specific gender lens, to data and payment/e-commerce data.87 Smallholder isolate where the products fit the needs of women in farmer surveys conducted by CGAP show that agriculture and where they may need to be modified smallholder farmers primary source of credit is or customized to be relevant. informal sources and in some cases, such as in Mozambique, for women informal sources are their Alternative Credit Scoring only sources of credit.88 The success of alternative Alternative credit scoring is a new area getting credit scoring hinges on companies’ ability to access much attention in the DFS technology space, with and parse available big data to accurately predict start-ups focused particularly on farmers cropping creditworthiness; experimentation with algorithms up worldwide. Our database includes 48 credit is ongoing in this space.89 Entrepreneurial Finance scoring products with over a third offered in East Lab found that psychometric data is slightly more Africa, followed by products offered globally and predictive than mobile data, both of which are then in Asia. While an area of growing interest significantly more predictive than online data (such and speculation in the industry, the raw number as social media profiles).90 of offerings still seems small because alternative credit scoring relies on cutting-edge innovations In addition to providing new data, the use of in data analytics, so it is a generally new industry. sophisticated analytics and big data sets to assess The service providers in this space are mostly third the creditworthiness of “thin-file” customers can party providers and fintech lenders, but MNOs and dramatically reduce the cost of lending. CGAP, banks have also entered this space to a small degree utilizing McKinsey and Co. analysis, reported that as well. CGAP research in 2015 reported there are “digital data analytics can reduce the marginal costs 36 companies operating in this space in emerging of providing a $200 loan in Tanzania by more than markets alone.86 40 percent.”91 MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 36 Product Profiles Product Profile: Tala Players and Development: A private company, Tala was founded and is headquartered in Los Angeles, California. It has raised $44.44 million in six rounds of investment from 44 investors. Purpose: Tala is a mobile technology and data analysis company that uses alternative credit scoring to lend to the emerging middle class in developing countries, or those who make between $2 and $20 per day. It’s currently available in Kenya, Tanzania and the Philippines. Customers can apply for and receive short-term loans via Tala’s smartphone app. Price: Most loans carry a 5% interest rate. Product: Offers 30-day working capital loans through their smartphone-based app. Once the Tala app has been downloaded onto an Android device, the company is able to use data including from SMS records, contacts, location and more, to determine creditworthiness, through its proprietary algorithm. Instead of using an MNO’s proprietary transaction data, any data available on the customer’s smartphone is available for analysis. Their loans range from between $10-$200, the average loan size is $60 and is disbursed and repaid with mobile money. Promotion: Initially, promotion was carried out through digital marketing. Now, it is mainly expanding through word of mouth. The app has been downloaded on over 1.5 million smartphones in Kenya. Place: Tala’s app can be found in the app store on any Android phone in the countries it has rolled out in. Challenges and Opportunities for Women:  pproximately 40% of borrowers are women. Anecdotal evidence indicates that women are using the product as an • A opportunity to expand MSME enterprises.  he requirement of having a smartphone presents a challenge for women in rural agriculture whose phone ownership • T lags those in urban centers or if they own or have access to a mobile phone it is a feature phone.  he 30-day loan cycle may not be ideal for certain agricultural purposes with longer periods between planting and • T harvest.  owever, the digital/remote quality of this loan may reduce the discrimination women and borrowers engaged in • H agriculture often face in securing working capital lending from traditional sources. Gender Assessment Gender Focus Key Features  roduct is application based and relies on mobile broadband • P and access to a smartphone. Credit scoring algorithm relies on phone activity based data. Product could be improved by subsidizing handsets and could be offered in other markets • Price is consistent with similar lending products Distribution is via mobile network operator application store. • Although downloaded 1.5 million times, this approach limits distribution to women farmers • Promotion currently focuses on MSMEs with limited below the line marketing. Effort to directly engage women farmers and Current position MSMEs could expand product distribution Future position with approprate interventions Sources: https://www.crunchbase.com/organization/inventure#/entity https://www.fastcompany.com/3039583/inventure TECHNOLOGY LANDSCAPE 37 Product Profile: KCB M-PESA Players and Development: Kenya Commercial Bank and M-PESA have developed an instant loan product. Purpose: The product enables customers to receive loans using their mobile phones. Customer loan limits are calculated using a credit scoring algorithm based on the amount of savings that the customer has, the customer’s usage of M-PESA, and their savings on other KCB platforms. Price: Through this program, credit is offered with a flexible repayment period (1 to 6 months) at an interest rate of <2% per month. Product: The product consists of an instant short-term lending product that is requested, delivered, and repaid via the mobile phone. Loan sizes range from USD 1.00 to USD 10,000 depending on the individual’s credit score. Since its inception in March 2015, KCB-M-PESA has issued USD 165 million worth of credit to 7.8 million customers with an average loan size of USD 21.00. Promotion: The loan is promoted primarily through KCB channels with some co-branding and co-marketing with M-PESA. There is no specific women-oriented or agriculturally-oriented marketing campaigns. Place: Registration takes place at M-PESA agent outlets or KCB branches with the bulk of the registrations occurring with M-PESA. Loan disbursement and loan repayment are via the M-PESA mobile money platform. Challenges and Opportunities for Women: Current product does not include scoring elements and repayment schedules specific to agriculture. •   roduct awareness by women may be limited and the value proposition of the product could be better tailored to • P women farmer financial requirements. Gender Assessment Gender Focus Key Features  uccessful product that has achieved scale. Product could • S be modified to address specific farmer needs. Scoring algorithm could be adjusted to better evaluate farmer credit worthiness  rices are reasonable and do not explicitly inhibit use by • P women but repayment schedule could better align with farmer cycles  road distribution of M-PESA agent network translates to • B ready access for women  otential to explicitly target women through a • P Current position comprehensive marketing campaign that encourages participation and highlights the benefit of developing a Future position with approprate interventions lending and repayment history Source: KCB website. MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 38 Product Profile: Entrepreneurial Finance Lab (EFL) Players and Development: EFL is a technology company that uses psychometric and other data to build predictive algorithms that provide innovative credit scores designed to reduce the likelihood of default. EFL offers financial institutions a cost-effective mechanism to screen a large number of applicants and make better lending decisions. EFL is active in 27 countries and is designed to adapt to different cultures revealing insights across all business segments and types of borrowers. Purpose: EFL seeks to use new sources of digital data to enable financial service providers to access and serve new and underserved market segments through innovative Credit Scoring techniques. Price: No information available. Product: The psychometric credit score helps financial institutions better understand individual risk across multiple services •  – consumer lending, business lending, unsecured loans, credit cards and term loans. EFL enhances a lender’s existing underwriting process by adding an additional metric of creditworthiness. •  t provides a lending application front-end that is completed and submitted by potential borrowers with financial • I institutions receiving the results. Promotion: EFL is a third-party provider that markets directly to financial institutions and other organizations that offer loans and credit to customers. It enters markets on a country by country basis and also markets to regulators. They employ a license service model similar to Sales Force or SAP and rely on a sophisticated sales force. Place: Direct sales channels targeting specific organizations. Challenges and Opportunities for Women: • Credit scoring algorithm could reduce lending bias against women.  artnering with financial institutions that have a strategic interest in serving women and women farmers could • P improve access to finance for the target segment. Gender Assessment Gender Focus Key Features  roduct reduces risk to financial institutions and enables • P them to make better lending decisions which could increase loans to women and women farmers – Dependent on the focus of the financial institution – Could incentivize EFL to work with financial institution with strategic focus to serve more women and women farmers Price information not available and needs to be validated •   irect sales channel to banks and financial institutions – • D Sales channel to end users is dependent on partnerships. Partnering with the appropriate institution could benefit women and women farmers  romotion of the use of credit scoring dependent on partner • P financial institution. Focused effort to engage EFI credit scoring model with appropriate financial institution and then market credit scoring lending scheme to women farmers could be effective TECHNOLOGY LANDSCAPE 39 Product Profile: FarmDrive Players and Development: Founded by University of Nairobi students Rita Kimani and Peris Bosire, Farm Drive leverages the SafariCom and M-Pesa platform to develop borrower profiles and credit scores for smallholder farmers. Purpose: FarmDrive collects relevant data about smallholder farmers and uses algorithms to create a profile and credit score that is used by financial institutions to make lending decisions. The information about the farmer is also used to develop and send limited agricultural extension information designed to improve farm efficiency. Price: Farmers who use the platform are required to pay a three percent transaction fee of the total loan that they receive through FarmDrive. Partnering financial institutions are charged a fee of one dollar for every farmer profile that they access. Product: FarmDrive is a tool that leverages mobile technology and data analytics to obtain relevant information on the operations of smallholder farmers. Through the use of short messaging services or a mobile app, farmers record their activities, effectively tracking their expenses and revenues. The gathered information is then used to generate exhaustive credit profiles used to assess the credit worthiness of a farmer. This information allows financial institutions partnered with FarmDrive to make lending decisions. Loans are disbursed and repaid through the M-PESA platform. Insurance is bundled with the loan. Promotion: FarmDrive currently relies on pilot programs and NGO projects as the initial mechanism for promoting and testing the product. No large scale promotion strategy was available. Place: Direct engagement with smallholder farmers through NGO and donor programs. Challenges and Opportunities for Women:  wareness of the product is limited and lower IT illiteracy of women farmers remains a challenge despite the • A availability of the platform in multiple languages and the basic nature of the application. Used by NGOs to support beneficiaries providing an option to target women farmers. •  Gender Assessment Gender Focus Key Features  roduct is well aligned with the needs of women farmers • P and bundles insurance and agricultural information with a credit product  o cost unless loan is received model is aligned with • N financial situation of women farmers  • D igital access is convenient for women farmers – Leverages the M-PESA agent network  eliance on farmer specific programs to inform and engage • R customers could be leveraged to focus on women farmers – Scaling the product remains an issue and a comprehensive Current position marketing campaign could be effective Future position with approprate interventions MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 40 Product Profile: Lenddo Players and Development: Lenddo is a technology company that builds predictive algorithms that use a wide range of data points, including social media data, to develop innovative credit scores to improve the lending process. Operating in 20 countries, Lenddo offers to third parties, such as banks, lending institutions, utilities companies and credit card companies worldwide to reduce risk, increase portfolio size, improve customer service and verify applicants. Purpose: Lenddo seeks to use new sources of digital data to enable financial service providers to access and serve new and underserved market segments through innovative credit scoring and social verification techniques. Price: No information available. Product: Lenddo offers credit scoring and identity verification to financial institutions, utilities, and credit card companies. Promotion: Lenddo is a third-party provider that markets directly to financial institutions and other organizations that offer loans and credit to customers. The company markets on a country by country basis and also markets to regulators. It employs a license service model similar to Sales Force or SAP and relies on a sophisticated sales force. Place: Direct sales channels targeting specific organizations. Challenges and Opportunities for Women: Credit scoring algorithm could reduce lending bias against women farmers with less regular and lower incomes. •   artnering with financial institutions that have a strategic interest in serving women and women farmers could • P improve access to finance for the target segment. Gender Assessment Gender Focus Key Features  roduct reduces risk to financial institutions and enables • P them to make better lending decisions which could increase loans to women and women farmers – Dependent on the focus of the financial institution – Could incentivize Lenddo to work with financial institutions with strategic focus to serve more women and women farmers Price information not available and needs to be validated •   irect sales channel to banks and financial institutions • D – Sales channel to end users dependent on partnerships  romotion of the use of credit scoring dependent on • P Current position partner financial institution. Potential to market service Future position with approprate interventions to women focused lending institutions TECHNOLOGY LANDSCAPE 41 Product Profile: M-Shwari Players and Development: M-Shwari, launched in November 2012 through a strategic partnership between Commercial Bank of Africa and M-PESA, is a savings and credit product that can only be accessed through the M-PESA platform. Purpose: The M-Shwari product bundles interest bearing savings and instant credit with the payment features of a mobile wallet. Funds transfer between the M-Shwari account and the M-PESA mobile wallet are free of charge. The product is designed for the average Kenya and enables both savings for the future and funds for emergencies or other short-term needs; 54% of M-Shwari customers have no other bank account. Price: Account opening and deposits are free of charge with savings interest rates ranging from 2 – 5%. •  Transfers between an M-PESA mobile wallet and an M-Shwari account is free of charge. •  30-day loans have an initiation fee of 7.5% initiation fee. Loans can be rolled over for an additional 7.5% fee. •  There is no interest on an M-Shwari loan. •  Product: M-Shwari is a credit and savings product that pays interest on deposits. It uses credit scoring algorithms to evaluate and approve short-term loans. Account access is strictly through the M-PESA platform and uses that platform for loan disbursement and loan repayment. Funds transfer between M-PESA and M-Shwari is through a menu feature on the handset and is free of charge. Promotion: M-Shwari is marketed through both M-PESA and CBA channels with the M-PESA agent network being a primary source of new customers. Traditional marketing channels are used including television, radio and outdoor. Below the line marketing activities are more limited. Periodically, M-Shwari engages in various promotions such as the tell a friend promotion whereby existing account holders received airtime value for recommending a new account holder. Place: M-Shwari leverages the M-PESA brand and M-Pesa agent network. The M-PESA menu has a register for M-Shwari feature built in. Challenges and Opportunities for Women: • Provides easy access to an account and credit without gender bias. Requires an M-PESA account which is well known and trusted by Kenyan women. • • Product awareness and understanding may be lower in women and with women in rural areas. Gender Assessment Gender Focus Key Features  roduct bundle is well suited for the needs of women • P farmers meeting both the savings and credit need  ricing model encourages savings and transfers for • P payments. Prices short-term credit relatively high  ales channel is through M-PESA agent network and • S online through the M-PESA menu. Product access is through the M-PESA platform  otential to explicitly target women through a • P comprehensive marketing campaign that could include higher airtime bonuses for recruiting women and Current position women farmers Future position with approprate interventions MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 42 Loan Disbursement and Collection database, the largest number is offered in East Africa followed by services in Asia. The service While brick and mortar microfinance institutions have providers in loan disbursement and collection been successful in reaching rural areas that banks range widely from fintech lenders to MNOs to have never found profitable to penetrate, mobile loan banks, third party providers, MFIs and NGOs. The disbursement and collection now allows for even database demonstrates fintech lenders and third greater access to credit for the unbanked in places party providers tend to also provide alternative where there is a well-established mobile money credit scoring services, but these services are also ecosystem. Rather than needing access to a formal sometimes offered by MNOs as well. Banks may financial account, mobile credit customers need only make use of alternative credit scores in disbursing a mobile money account and a mobile phone. loans, but are not leaders in offering this service. Mobile loan disbursement and collection is made Loan disbursement and collection was also possible by reach of the mobile phone and payment frequently paired with savings products. systems. The benefit to the consumer is the rapid According to GSMA, there were 52 live mobile nature with which credit is available and the ease of money-enabled credit services in 2016, an increase receiving the loan and paying it back remotely. This from seven in 2011.92 CGAP notes that MNO- may be particularly valuable for women with limited partnered-with-bank-led mobile loans are typically mobility or high demands on their time. VSLAs smaller and have shorter repayment periods than seeking to digitize savings groups may find the traditional consumer or microfinance loans. Interest mobile loan features provide a valuable means into rates tend to be higher for mobile loans, but this is to group-backed borrowing in a more convenient way. balance the higher cost and risk of servicing so many Digitally enabled loan disbursement and collection small loans.93 Mobile credit is also on offer by some is the largest financial service type represented microfinance institutions and an emerging group of in our database, which is in accordance with pay as you go product offerings (such as home solar expectations, given the historical focus on credit kits). The latter are becoming some of the largest of the financial inclusion space. Of the 57 digital recipients of mobile money bill payments.94 loan disbursement and collections services in our Gsma State of the Industry Report According to the GSMA State of the Industry report, mobile credit is most commonly found in sub- Saharan Africa, because the mobile money infrastructure in many countries there is more developed. GSMA’s report notes that the Commercial Bank of Africa disbursed US $495 million in loans in Kenya through M-Shwari in 2015, which offers an interest-bearing account and the possibility of accessing 30-day loans in real time. M-Pawa is a similar product in Tanzania, and as of 2016 it had 4.8 million accounts and had disbursed US $17.9 million, reportedly mostly to women or youth.95 TECHNOLOGY LANDSCAPE 43 Product Profiles Product Profile: Kilimo Booster Players and Development: Musoni Kenya (MFI) partnered with Grameen Foundation on design of the product, while MasterCard Center for Inclusive Growth funded the partnership. Musoni served as an ideal partner because its group lending made credit more available to those without collateral and it was willing to dedicate human resources to the product development process. Grameen Foundation led a human-centered design process, helping Musoni identify the four key reasons Kenyan smallholder farmers seek credit and segmenting farmers into different risk categories. Purpose: Bespoke agricultural loan for farmers in Kenya who were previously unable to borrow from MFIs or couldn’t get beneficial terms (working capital, asset financing for farm equipment, venture finance for new farming activities). Price: Group (flat interest rate): 22% per annum ; Individual (flat) interest rate: 18% per annum Other fees: 3% one-off payment for loan processing for the borrowed amount, RTGS transfer of 500 for loans above 140,000. USD $5 for loans higher than USD $1,610 Product: Loan repayment schedule is flexible and is determined on an individual basis, with a 6-month grace period allowing •  farmers to harvest before having to repay Loans can be disbursed within 72 hours in the case of a shock, such as a weather event •  Includes life insurance and may include crop insurance in the future •  Musoni, a fully cashless MFI, provides financial education and support to farmers throughout the lending period •  3-12 month loan terms, loan sizes from KES 5,000 – 350,000 (about USD $58 - $4,022) •  Promotion: The product was originally rolled out as a pilot in two Musoni branches. It has since been extended to all Musoni branches. Incentives for increasing group sizes include rewarding well-performing groups that reached a minimum size, communicated to the group via SMS. Place: Loans are disbursed and repaid using mobile money (M-PESA), making it easier for those who live far from Musoni branches or have less mobility to access the credit product. Challenges and Opportunities for Women: • Variety of products for different agricultural activities and risk levels that can match to women farmers’ risk tolerance. • Flexible repayment plans and grace periods that can accommodative different crop growth cycles of women farmers. • Option to be part of group lending and then transition to individual later particularly benefits women farmers who can’t get access to credit individually until they establish a credit history. • Includes support and education opportunities for women in agriculture who have low literacy levels. Gender Assessment Gender Focus Key Features  roduct is well aligned with needs of rural farmers and • P benefits from inputs from Grameen. Non-collateral based lending is ideal for women borrowers Price is consistent with similar lending products •   istribution channels leverage the M-PESA platform and • D are easily accessible to women. Musoni branches are trusted but can do more to reach out to women farmers.  romotion does not target women and does not attempt • P to promote a specific value proposition for women Current position Future position with approprate interventions Source: http://www.grameenfoundation.org/resource/kilimo-booster-musoni-launches-agricultural-loan-kenya%E2%80%99s-smallholder-farmers MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 44 Product Profile: VisionFund Tanzania Mass Customized Loan Product for Farmers Players and Development: VisionFund Tanzania using a funding award from a NetHope-Visa Innovation Grant, developed a customized application for loan officers to collect customized data for loan customization. The application was developed for VisionFund by the Software Group and MicroPlanet. Purpose: Launched in 2017, the product uses a customized application that runs on a mobile tablet to collect information from farmers that can then be used to customize the loan terms to match the farmers’ financial flows. The tool includes a credit analysis methodology and subsequent tablet based app. VisionFund Tanzania will perform data analytics and reporting across it entire loan portfolio to identify trends in loan performance, additional social performance and client data. This data analytics and reporting process will be used in the ongoing management of VisionFund Tanzania. Price: The Mass Loan Customization Tool is a tool for VisionFund’s loan processing use. No pricing has been established for customers beyond standard VisionFund pricing. Product: The application will allow a loan officer to quickly asses a farmer’s need and structure of a loan based on the data •  input into the tablet.  he tablet module prompts loan officers to ask questions about the individual’s crop, acreage, maintenance systems, • T planting and harvesting schedules, as well as family life. Taking community variances into consideration as well, the module is then able to customize the payment plan to fit with the planting/harvesting season. Promotion: Currently being piloted in Tanzania with a percentage of VisionFund’s existing loan portfolio. Place: Localized data collection from farmers with loan officers visiting and inputting data into a mobile tablet. Challenges and Opportunities for Women: Customized data will allow tailored loan terms that better fit their agricultural and family lives. •  Credit analysis based on crop characteristics could increase the potential for loan qualification. •  Gender Assessment Gender Focus Key Features  ew product that would benefit from targeted product • N development specific to women farmers. (e.g., lending product could take into consideration timing of school fees)  rices are reasonable and do not explicitly inhibit use • P by women  igitally enabled loan officers are an effective channel • D but could be combined with other approaches to better reach scale. Number of women officers should be explored and potentially increased  • Potential to explicitly target women through a Current position comprehensive marketing campaign Future position with approprate interventions Source: Conversations with NetHope and VisionFund. TECHNOLOGY LANDSCAPE 45 Savings There were 42 products that included a form of savings in the database. Our database reveals Digitally-enabled savings accounts either alone or linked efforts by Aga Khan Development Network, with other products may offer a compelling solution CARE, Oxfam, and PACT (the savings category for all personas of women farmers. CGAP’s financial demonstrated a strong NGO interest) along with diaries with smallholder farmers in Tanzania and banks and MNOs. Many digital savings products Mozambique reveal that women save more consistently appear to be a partnership effort between two if not and in higher amounts then men despite having lower three of those categories of providers. There has levels of income. The financial diaries with smallholder been movement among NGOs seeking to improve farmers in these two countries, document that women the livelihoods of women to move savings groups rely more on savings to cope with net income dynamics through digital channels into formal accounts. (i.e. negative net income periods) while men rely more on credit.96 In addition savings designed as Between 2014 and 2015, the percentage of mobile commitment savings may provide valuable protection money accounts with a positive balance increased for women against family or community pressure to by 16 points, to 69%. The average balance of active share or use the funds for other purposes. The United accounts also increased significantly during that Nations Foundation upgraded the role of individual time frame.101 These statistics point to a perception savings in contributing to women’s empowerment to by customers that the mobile money account is, in proven for all women with the exception of very poor fact, a trustworthy place to store value. women, for which savings needs to be bundled with Additional common types of savings products other interventions to be effective.97 Consumers can include: either use their mobile money account itself as a storage mechanism or as a “gateway to other dedicated mobile • Remittance products that link directly, and savings instruments.”98 In many cases, consumers who digitally, to savings accounts, allow important have an account at a licensed deposit-taking institution sources of income for many low-income can transfer value to their savings from a mobile money households to be cordoned off rather than account. Or, mobile money users can access dedicated cashed out and spent immediately. savings accounts linked to their digital wallet. M-Shwari Commitment savings accounts, which freeze •  in Kenya and Econet in Zimbabwe include savings funds until a particular date that is associated features backed by an MNO and bank partnership, with a type of need, such as buying seasonal whereas MiCash in Papua New Guinea and mcash in inputs or paying school fees, provide a safe Uganda are all bank-led mobile savings products linked place for money away from the pressures of to a specific mobile money service.99 family or community members. Informal savings groups have proven to be a powerful • Mobile layaway products employ a traditional tool for women to save and are accessible to women concept that allows those with inconsistent or farmers. Yale researchers conducted three randomized, infrequent cash inflow to purchase needed farm controlled trials of the VSLA program implemented by inputs, while making repayments remotely. CARE and its partners in Ghana, Malawi, and Uganda over a period of 22–30 months. They found that the In 2016, there were 26 dedicated mobile savings “growth in financial intermediation resulting from the services in 16 countries.102 Women’s World program led to improved microenterprise outcomes Banking also has been working with commercial and women’s empowerment. The positive impact on banks to develop product and marketing approaches female empowerment stands in contrast to the results that reach women. Through women agents (Beta of six of seven randomized trials on microcredit.”100 Friends) in Nigeria, Diamond Bank is marketing a MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 46 savings product targeted at market entrepreneurs/ accounts are linked to a BETA Kwik loan that offers traders, especially for women who save regularly. 30 day loans up to N50, 000 with no collateral. Women account holders can deposit any amount, Customers receive an SMS they are eligible for a withdraw cash via the use of mobile phone and loan which is processed through a BETA Friend access to multiple channels (Branch, ATM, BETA mobile agent. Friends – Sales and Service Agents). Savings Product Profiles Product Profile: Aga Khan Foundation (AKF) Digitized Savings Groups, CARE’s Banking on Change & Oxfam’s Savings for Change + Mobile Players and Development: AKF worked with a number of partners to launch a pilot in Tanzania to digitize some of the many rural savings groups it has had a hand in establishing over the past decades. With funding from the Financial Sector Deepening Trust, AKF worked with Bankable Frontiers Associates and payments aggregator Selcom to develop the technology platform (DSG) and roll it out to a group of savings groups participating in the pilot. Banking on Change is a partnership between CARE, Plan and Barclays, which has been implemented in eleven countries and leverages existing village savings and loans associations (VSLAs). Barclays employees engaged directly with savings groups to understand better their financial strengths and limitations, while Plan and CARE informed Barclays understanding of their financial needs. Barclays developed linked digital savings accounts for groups in Ghana, Kenya, Tanzania and Uganda, whereas previously the bank had accepted only individual accounts. Savings for Change + Mobile is a program of Oxfam’s Savings for Change program that supports the creation and capacity building of savings groups of women. Using a grant from the Cisco Foundation, Oxfam piloted with mature savings groups in the Savings for Change program depositing funds in an Orange Money account. In Zimbabwe, mobile money provider EcoCash, enables subscribers to use its savings product to create a pooled money EcoCash Savings Club online. Once established each club member receives a SMS notification of transactions occurring in the group account. Every withdrawal must be approved by the club’s administrator. Purpose: The digitization of existing informal savings groups is seen as a way to add safety and security to an already successful model and increase access to financial services by allowing the group and ultimately individual women group members to open accounts at formal financial institutions. Price: A user fee of $5 is required to access the AKF Digitized Savings Group platform. Product:  he DSG platform, managed by the aggregator Selcom, allows participants to form virtual groups and organize • T group meetings. Individuals use their own mobile money provider (Tigo Cash, Airtel Money, MTN) to deposit money into the online platform. Selcom holds an e-money license, so is able to hold the money until all transactions have cleared at the end of the day, at which point the value goes to Diamond Trust Bank. Just as with non-digital savings groups, members receive funds from the pool on a rotating basis and any interest accrued is paid out to the group at certain times in the year.  arclays links mature savings groups to specially designed group savings accounts and provides women with • B financial literacy training. While not all groups were linked digitally, a specific mobile platform was developed to assist those far from a Barclays branch in using the service. Orange money accounts were used to hold deposits from the Oxfam supported Savings for Change Group. •  PACT has developed a mobile app for android phones it is piloting with savings groups in Tanzania. •  TECHNOLOGY LANDSCAPE 47 Promotion: The promotion of the digitized savings group has been, at this time, limited to groups chosen by AKF. However, due to the success of the pilot, which launched in 2016, AKF plans to turn to expanding this opportunity to more groups in Tanzania and in other countries where AKF has facilitated savings groups. CARE and Oxfam both work with savings groups as the foundation for their initiatives and seek to support those groups in adopting digital technology as a pathway to account ownership. Place: All the programs were rolled out as pilots through the respective NGO’s existing relationships with savings groups. Challenges and Opportunities for Women:  sing digital channels to link group accounts to formal savings allows women maintain the many benefits of • U participating in a group savings model, while developing a digital profile and visibility that could form an onramp to more financial services in the future.  omen farmers who have access to NGO facilitated VSLAs have access to payouts that may enable the purchase • W lifestock as shown in Oxfam’s Saving for Change Program in Mali.103  ith Banking on Change, 40% of members had opened an individual account within a year of the groups being linked • W to the bank digitally. Also, when groups opened bank accounts this dramatically affected the rate of savings. Gender Assessment Key Features Gender Focus  igitizing VSLAs is a proven way to move informal savings • D into formal accounts. Current product is effective, but addition of commitment savings product and direct graduation to individual accounts would benefit women  rice is consistent with similar products and appropriate • P for the target segment  urrent channel requires direct interaction by NGOs • C with VSLAs. Developing a more scalable approach would benefit more women  efining and promoting digital VSLA value proposition, • D particularly the value of digital financial identity would Current position increase the number of VSLAs adopting this approach Future position with approprate interventions Sources: http://www.akdn.org/our-agencies/aga-khan-foundation/rural-development/accessfinancial-services/akf-digital-saving-groups https://www.home.barclays/content/dam/barclayspublic/docs/Citizenship/banking-on-change.pdf https://www.oxfamamerica.org/static/media/files/SFC_Mobile_Banking_Pilot_Learning_Review_-_Final_Report_November_2015.pdf MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 48 Product Profile: AMRET Mobile Tellers and Family+ Players and Development: AMRET is a microfinance institution (MFI) in Cambodia licensed to do lending and take deposits. In early 2013, Amret received a grant from the World Bank Group’s AgriFin facility to implement its first mobile financial services project, with the aim of providing smallholders with more convenient access to an even broader array of product offerings. In 2016, AMRET received a grant from UNCDF’s SHIFT program for its Family+ product. This product designed for Cambodian women offers a low cost remittance service by linking various savings accounts between the sender and recipient, and provides cash-in and cash-out doorstep services. Purpose: The mobile teller provides Door-2-Door account registration, savings collection, and cash withdrawal service with SMS receipts. The mobile tellers go out to clients in rural areas where clients are not able to travel to a branch. As a second phase to the initiative, AMRET is seeking to move customers to a self-serve model as their comfort with technology increases. Price: Remittances under Family +: Low cost, annual fee Interest rate Agrifin new loan product is on average 0.10% lower than comparable micro-loans Goal+ savings account interest rate rises with longer term commitment of funds (from 4.5-7% if in USD) Product: Amret offers agriculture focused Agrifin loans products •   oan repayment schedule is flexible and based on customized score cards for crops in line with farmers’ seasonal • L cash inflows  oal+ individual savings account provides for contractual and plan deposits. Small deposits are made each month • G based on a monthly saving plan. Promotion: The first implementation phase of the mobile tellers plan was completed in September 2016, with 216 mobile tellers operating across 124 branches. As of the end of 2016, the savings balance was 21029 million (KHR) held across 45,476 client accounts. Place: Mobile tellers travel to customers’ door for account registration and savings collection. Challenges and Opportunities for Women:  oor-2-Door service provides access to savings and loans by women whose mobility may be restricted based on • D their agricultural responsibilities.  ow cost remittances to receive money in from others which can be used by women in agriculture to purchase • L inputs or supplement their income. Tailored agricultural loans with flexible terms that match crop cycles. •   ommitment savings allow segregation of funds and pays higher interest for longer term commitments that can • C accommodate women’s use of agriculture proceeds for financial priorities such as school fees and healthcare. Gender Assessment Gender Focus Key Features  roduct bundle is well suited for the needs of women • P farmers and cover a wide range of financial needs  rices are reasonable and do not explicitly inhibit use • P by women  oor to door mobile tellers are an effective channel • D and resonate with women. This approach should be combined with other mechanisms in an attempt to better reach scale Potential to explicitly target women through a • comprehensive marketing campaign Current position Future position with approprate interventions Sources: https://www.amret.com.kh https://www.agrifinfacility.org/sites/agrifinfacility.org/files/vberisha/51/Amret_Project%20Results%20and%20Lessons_.pdf TECHNOLOGY LANDSCAPE 49 Insurance are paid on more flexible timelines with mobile money), and 3) freemium (customers subscribe to Insurance products, including health, life and a loyalty-based plan and get more coverage with a agricultural insurance, are important tools for fee).106 building resilience, especially for highly vulnerable groups. Yet, insuring low-income individuals with Mobile insurance offerings in 2015 still heavily volatile livelihoods is notably costly. Microinsurance favored life insurance (51% of offerings), with is specifically targeted at low-income consumers, health insurance comprising 22% of the market and includes features and characteristics that make and agricultural insurance at only 7%.107 The it accessible and affordable for those with fewer unpredictability of agriculture as a livelihood is resources and more risk.104 New microinsurance a key factor in demand for such insurance, but it applications allow insurers to provide electronic is notably difficult to provide. Limitations on the policy application, approval, and registration to spread of agricultural insurance are caused by the rural residents, and mobile money provides the informal nature of many small farm enterprises and opportunity to pay premiums and receive payouts high monitoring costs. Weather-indexed insurance, digitally. These efficiencies have drastically rather than indemnity-based insurance, is more reduced the amount of time it will take to insure feasible for suppliers and farmers in low-income large numbers of people at scale, even with small countries.108 The availability of remote monitoring amounts of coverage (micro insurance).105 and sensing technologies to evaluate risk and damage and of mobile technology that reduces the Insurance represented a relatively low percentage need for in-person distribution and payment has of the total number of products in our database that reduced premiums to an affordable level for many had a financial services component indicating that poor farmers. That said, agricultural insurance while there may be a growing number of mobile continues to lag behind other types of mobile- and digital insurance products, growth in this enabled insurance.109 sector has not necessarily kept pace with growth in other exciting areas, such as mobile credit or Key Stats credit scoring. The database contains 21 insurance • There were 106 live mobile-enabled insurance offering; MNOs and third party providers were the services available in 31 emerging markets in main insurance providers. 2016, a 38% increase since 2011. Research indicates there are three main commercial • 52.7 million policies had been issued by 2016, models for mobile insurance, 1) loyalty (airtime nearly doubling from 2015. Seven services customers who keep a certain account balance or alone issued more than one million policies use a certain amount of airtime qualify), 2) premium each.110 (a more traditional model but wherein premiums MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 50 Product Profiles Product Profile: World Cover Players and Development: World Cover is a private company based in New York City. It has raised a large seed funding round of equity investment from several large venture capital firms. Purpose: World Cover offers a digitally-enabled insurance product for smallholder farmers in Ghana. Its main product offering is crop insurance that covers farmers against the significant risk of drought in Ghana’s arid northern region. The insurance product is underwritten by outside investors, or peers, who want to diversify their investment portfolios, and these individuals receive a portion of the premiums paid by farmers. World Cover is particularly focused on rural, poor farmers. Price: Unknown Product:  ses satellites to monitor rainfall and drought conditions so that payments are triggered automatically under • U certain drought conditions.  ses village agents with tablets to dispense payouts and take premiums from farmers without cell phones, as many • U farmers lack access to their own phone. Farmers with phones may pay or receive payment through mobile money. 160,000 customers are receiving agricultural extension services through voice messages in local languages. •   ommunity liaisons are enlisted to serve as a phone access point for both extension service messaging and • C transactions related to the insurance product. Promotion: World Cover employs field-level agents who conduct group marketing meetings with villagers, and who follow up with women farmers who may have missed meetings because they had duties to attend to at home. Place: Product registration takes place in villages through direct interaction with agents. Challenges and Opportunities for Women:  orld Cover has intentionally worked to include in its offerings crops that are specifically grown by women in the • W northern region of Ghana, where it is working (such as groundnuts). The company found that by intentionally mentioning women-specific crops in marketing meetings, women’s uptake increased.  ecause of gender-differentiated crop management in this region, women and men in the same households have • B been seen to each have individual World Cover accounts. nsurance is known to be an important on-ramp to access to credit and could provide women farmers visibility for • I credit scoring. Gender Assessment Gender Focus Key Features  • Insurance product is well aligned with needs of women farmers in Ghana and is specific to crops typically grown by women farmers. Linkage to ag extension information expands the utility for women farmers. Slight adjustments should be considered that enable the insurance product to also serve as a credit mechanism No price data is available but assume prices are in line •  with similar index insurance products Use of high touch sales agents is effective and ideal •  for women farmers. However, approach limits ability to scale. Digital outreach or partnership with entities (e.g., MNO retail outlets, mobile money agents) could improve Current position product reach Future position with approprate interventions Promotion could be expanded beyond direct sales. Also •  efforts could be made to include funding of handsets to encourage direct payments and disbursements TECHNOLOGY LANDSCAPE 51 Product Profile: EcoFarmer (Zimbabwe) Players and Development: EcoFarmer is Econet’s four year old agricultural insurance and information product that relies on the Econet and Ecocash platforms to deliver a range of services to the farming sector. Econet has partnered with the Ministry of Agriculture, Seed Co. as well as development organizations such as UNICEF and USAID to enhance extension service content and to support subscriber recruitment. Purpose: EcoFarmer bundles agricultural information and extension servicers with a micro insurance product to provide a comprehensive service package to farmers. The product uses Ministry of Agriculture information along with real time weather data to deliver content directly to subscriber’s mobile devices. Price: Many EcoFarmer content based services are free to general subscribers including SMS-based agricultural tips and sponsored product and price information. Registered farmers get more tailored information and pay a $1.50 per month fee for the content Insured farmers purchase micro insurance for crop failure due to drought or excessive rain is the core revenue generating product. Fees range from $2.50 to $10.00 per farm season and per 10 kg bag of Seed Co. seeds planted with claim amounts at ten times the premium ($25.00 - $100.00) Product: SMS agricultural content including: •  Daily weather data from a weather station linked •  • F  ree weekly crop data to your field. •  Free monthly market pricing requests Farming and market tips •  • Crop information  Free daily rainfall advice •  • Credit rating  Free weekly best farming prices •  •  Free adverts and marketing links Access to agricultural experts via a call center. •  • Financial linkages  MicroInsurance. •  Promotion: Marketing strategy focuses on convincing farmers to evolve from generally registered (free subscription) to fully registered (insurance purchasing) subscribers. Econet uses cross promotional techniques coordinated through standard Econet products and EcoCash products. Naturally, promotional activities focus on key agricultural regions of Zimbabwe. They use both above the line and below the line advertising and leverage their extensive agent and retail network. Place: General farmers can register remotely via a short code. Registered farmers and Insured farmers must provide information and register at Econet/EcoCash agent or retail locations. Claim vouchers can be redeemed at these same outlets. Content is delivered via SMS and via call centers. Challenges and Opportunities for Women: • Provides an opportunity for direct delivery of customized crop information that may overcome women’s lower access to information and membership in farmer groups. • Promotional messages may be more geared toward male farmers given that they are often responsible for input purchases. •Handset penetration may be another barrier to broader adoption by women farmers. • Household responsibility for insurance purchases and for primary crop production often lies with male heads of household. Gender Assessment Gender Focus Key Features roduct bundles a variety of “free” subscription fee • P extension services as a package with a for fee insurance product. Product bundle could be better aligned with women’s needs and include EcoCash products such as payments and saving. These could potentially be linked to health insurance and school fee insurance Prices are reasonable and do not explicitly inhibit use •  by women ver air registration for basic service and formal • O registration at Econet retail locations meet the needs of women and are consistent with the high uptake of women for Econet and EcoCash products Current position  • P otential to explicitly target women through a Future position with approprate interventions comprehensive marketing campaign MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 52 Digitized Payments And Voucher Pakistan registered 15,000 dairy farmers with SIM Distribution cards alongside Nestle Pakistan. And Vodafone in Kenya launched the Connected Farmer Alliance, Digital payments are the most basic building a platform that leverages M-Pesa and Agri VAS to block upon which other DFS services are offered. facilitate communication and payments between Digital payments are typically offered through smallholder farmers and agribusinesses.112 mobile money but also occasionally through cards or vouchers. Both serve to increase the efficiency However, digitizing agricultural value chains of and lower the cost of all different types of remains difficult, given the necessity of having a transactions, including receipt of income or well-developed mobile money ecosystem and a payments to suppliers. While payments are implicit host of participating actors along the value chain. aspects of nearly all the other services discussed, as For this reason, outgrower schemes and other in loan repayment or insurance premium payments, organized value chains represent the best possibility they are increasingly recognized as having value on for digitizing value chains at this time, as players their own as an onramp to greater financial inclusion, are already organized into formal relationships. because they direct low-income consumers’ money This area is one that appears to be gaining visibility. into a digital account, and have especially high There are 27 database records that include a value value when bundled with other useful services. chain payments offering. NGOs, MNOs and third party providers were all seen to be involved in Currently, mobile money continues to be used value chain payments in the database. primarily for P2P transfers and there is limited use of mobile money for agriculture payments. In Mobile money payments are highly dependent on research with cocoa farmers in Côte d’Ivoire and the presence of an agent network for cash-in and Ghana farmers only 54.8% of the farmers surveyed cash-out services. Organizations, like UNCDF are expressed a willingness to receive a mobile money supporting efforts to test whether having women payment for their crop; this percentage was below mobile money agents can close the gender gap 50% in Côte d’Ivoire. Farmers’ top reported in mobile money accounts and increase women’s concerns with receiving mobile money payments active use. The Grameen Foundation has worked centered around issues of mobile money agent to develop women as banking agents in the access, liquidity, proximity and availability. The Philippines by creating an independent network cocoa farmers’ level of interest in mobile money of female financial agents who work out of their use increases, however, if digitizing payments neighborhood sari-sari (variety) shops. The all- could lead to services that would increase their female network now includes 862 trained agents, ability to purchase farm inputs and access credit. who provide digital financial services to more Additional use cases also add relevance, such as the than 66,000 low-income clients.113 Female agents new requirement to pay school fees using mobile have anecdotally been shown to increase women’s money in Côte d’Ivoire.111 comfort with using financial services in public. Digitizing agricultural value chain payments Key Stats represents a sizable opportunity for MNOs to • While most agricultural payments continue to acquire new customers, given the numbers of be carried out in cash in developing economies, smallholder farmers in most developing countries. the largest percentage of such payments that In a number of more formal value chains around are paid directly into accounts are made in sub- the world, MNOs and large agribusinesses are Saharan Africa.114 working together to digitize value chains, down • As of August 2016, there were 295 live mobile to small-scale farmers. For example, Easypaisa in money services in 97 countries.115 TECHNOLOGY LANDSCAPE 53 Product Profiles Product Profile: Esoko/Tulaa Players and Development: Esoko is a social business founded in 2005 to bring information services to farmers. One of its first projects was using SMS messages to deliver farmers information over the MTN mobile network in Uganda. In a recent reorganization, Esoko restructured its businesses, establishing a new mobile commerce business for farmers. Purpose: Tulaa now operates Esoko’s business that enables farmers to access inputs, finance, information and markets in a virtual marketplace. The solution uses mobile technology and mobile money to enable farmers to save and borrow to purchase inputs, receive tailored agronomic advice, and market their crops at harvest time. The product uses a mobile wallet through which smallholders can save and borrow towards the purchase of discounted inputs. Tulaa also hosts a virtual marketplace which brings together input suppliers, financial institutions and farmers in a virtual marketplace and has plans to enable direct purchasing from farmers. Price: Not available Product: Integrated service focused on providing information, financing and marketplace for smallholder farmers. •  Lay away plan allows for dedicated savings as well as access to finance. •  Use of mobile wallet and mobile solutions are an integral part of product design. •  Promotion: Tulaa markets its services to (1) financial institutions seeking to lend to smallholder farmers, (2) input suppliers seeking to Increase sales to smallholder farmers, aggregate demand for inputs and build brand and customer loyalty and (3) agroprocessors and buyers seeking to outsource input supply, make fast and secure payments to suppliers and build suppliers. Place: Relies on mobile network technologies for access and use. Challenges and Opportunities for Women:  rovides remote access to market information and connection to buyers that can benefit women with limited • P mobility and time poverty.  undled service offering can provide women farmers with sources of financing connected to crop sales and build a • B performance history.  ayaway plans help with savings for input purchase and platform provides access point to financial institutions • L which will appeal to women farmers who prefer to rely on savings rather than credit. Gender Assessment Gender Focus Key Features  roduct bundle is well suited for the needs of women • P farmers and covers a wide range of financial needs Provides remote access to buyers and finance •   ayaway plan provides way to store cash for agriculture • L use only • Price information not available and needs to be validated  • S ales channel is through participating financial institutions and input suppliers – These may not be ideal for women – Consider additional channels that are more often frequented by women farmers Current position  • Potential to explicitly target women through a Future position with approprate interventions comprehensive marketing campaign Source: https://www.esoko.com/tulaa/ MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 54 Agricultural Information and Advice Market linkage Connection to market information and advice and Market Linkages refer to information flows knowledge services is especially important for intended to either a) generate trading and female-headed smallholder farmer households marketing opportunities by facilitating connections and any other commercial farmers. A research and communication among different users study found that increasing farm size, membership (i.e. producers, suppliers, buyers/refiners, and in farmers’ associations, access to extension transporters) or b) improve supply chain systems services and access to credit could increase farm and processes by strengthening data recording, output and reduce poverty for female-headed management, and dissemination capabilities. rural households.116 Two important market linkages are trading and marketing to more efficiently match farmer output Our database listed 135 products that included with wholesaler demand and supply chain systems agricultural information and advice, indicating and processes applications. An advantage of these this is an important category. Of the three service services is that they help to create farmer profiles. types listed below, our database showed that most Of the information services included in our database products offering agricultural information and market linkages were the most common with a advice focus on market linkages, closely followed predominance of products in East Africa followed by agricultural extension service. There are not as by Asia. many market pricing services on the market yet. The service types within agricultural information Agricultural extension services and advice that have been moving from analog to Agriculture Extension Services refers to information digital channels include: specifically designed to support production capacity Market pricing services and livelihoods among farmers and other rural residents. The information available can consist of Market pricing refers to information flows that farming techniques and trends, weather forecasts, provide users with prices for select agricultural pest or crop disease advice, and seed or other input commodities and other inputs (e.g. fertilizer). management techniques. In the most basic offering, Depending on the level of sophistication of the communication between application provider and application, pricing information moves in one end user is one-way with prepared tips or alerts direction, from the application provider to user, transmitted via mobile channel in the form of voice, and is generally disseminated at set intervals (e.g. SMS, or video clips depending on the sophistication once a week). In more sophisticated applications, of the mobile device available to the end user. If users are able to select which commodities and the end user has access to a desktop, laptop, or input prices they receive information on and submit touch screen with Internet, they can receive this those requests according to when they need access information via email and video clips. In some to that information. Market pricing information is instances, these basic offerings will also allow users sourced either from available data – provided in to query static information from a dedicated database. most cases by government institutions – or directly More sophisticated applications are able to deliver collected from specific markets. Users can access spatial or location-specific information to users but this information via mobile device in voice (pre- require integration with remote sensing instruments recorded messages) or text format (either SMS and geographic information systems (GIS). or USSD) or via Internet on a desktop, laptop, or The agriculture extension services reviewed for our touch screen device. Our desk review showed the desk research were most common in East Africa highest concentration of market pricing services in followed by Asia. East Africa followed by Asia. TECHNOLOGY LANDSCAPE 55 Product Profiles Product Profile: Akorion Players and Development: Akorion is a private company based in Kampala, Uganda. It was developed through a Feed the Future/USAID program. Purpose: Akorion has developed a proprietary value chain digitization platform, EzyAgric. It delivers directly to farmers information about available input suppliers and prices, and allows direct input ordering. It also allows farmers to see prices for their goods offered by buyers and for buyers to understand available supply. Finally, Akorion develops digital profiles on farmers, including maps of their plots, demographic data, production data, input demand, and product supply, and then allows farmers to bring these profiles to financial service providers and insurance companies. It has so far digitized 42,000 farmer profiles. Price: Akorion’s revenue comes from charging a fee for profiling and selling services to farmers, such as agricultural extension and soil testing, and distributing hermetic storage. Product:  illage agents collect data through a smartphone application to compile farmers’ profiles and map their land with • V GPS. The agents also push out agricultural extension and weather information to farmers through their phones. •   zyAgric is a platform available online and via smartphone that brings the smallholder profiles together with financial • E institutions, input companies and insurance providers. Promotion: Farmers find out about the service either through the agents or through the value chain they are associated with. Place: Akorion’s services are accessed by farmers through 485 Village Agents equipped with smartphones. Challenges and Opportunities for Women:  igital profiling allows women farmers to have a record of their farm activities and gain access to financial services; • D anecdotal evidence indicates that many women are able to take control of ordering the best inputs for their plots, with better agricultural information and input supply connection.  any of Akorion’s digitization initiatives are with formal value chain associations, which may leave women out if • M women’s farm activities tend to be more informal. 40% of Village Agents are women, potentially assisting with recruitment of female farmers. •  Gender Assessment Gender Focus Key Features  armer data could be adapted to create a credit score • F that would directly benefit women farmers  ee for specific services model may not be ideal for • F women who may prefer a subscription model  urrent channel brings trusted agents directly to the • C farmer. More research is needed to determine if women farmers react better to women agents roduct benefits are somewhat complex. Targeted • P outreach toward women and potentially combining with nutrition program could increase uptake by women Current position Future position with approprate interventions MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 56 Product Profile: RUDI Sandesha Vyavhar (RSV) Players and Development: Developed for the Rural Distribution Network (RUDI) in Gujarat, India, an agricultural cooperative, along with the Self Employed Women’s Association of India (SEWA). RUDI is a cooperative that procures agricultural products, adds value through processing and packaging, and utilizing a network of rural RUDI saleswomen to distribute the products at an affordable price. The Cherie Blair Foundation for Women, Vodafone Foundation and Ekgaon Technologies were involved in coordinating the approach and developing and refining the software platform. Purpose: RSV is a mobile order management and communications system that allows RUDI saleswomen to place orders remotely rather than at a processing center, track inventory and better manage their RUDI enterprises via a mobile device. The product helps women cut down significantly on time spent placing orders and know in advance what inventory is available at the processing center, to better match ordering to customer demand. Price: N/A Product:  SV is a mobile application available for simple feature phones that RUDI saleswomen use to remotely place orders • R for new stock, get updates from the broader supply chain, including prices, and track customer orders.  he application was developed as a bespoke model for the needs of this specific supply chain, within a large • T agricultural cooperative. Promotion: The product was rolled out to RUDI saleswomen throughout only this specific supply chain. Place: Women access the application on basic feature phones. Challenges and Opportunities for Women:  ince the pilot was launched in 2013, over 1,300 women working with the agricultural cooperative increased their • S incomes, some by three times.  he pilot also provides for entrepreneurial women an onramp to experience with and knowledge of how to use of • T mobile technologies in agricultural value chains, given the low-income profile of many of the pilot participants. Gender Assessment Gender Focus Key Features roduct is specifically designed for women and • P addresses order management and sales management needs rice information not available and needs to be • P validated  ccess is via a feature phone and RUDI employs a • A sales channel consisting of women. Model could be expanded to include other channels besides direct sales in order to increase scale otential to promote additional sales by offering • P Current position current subscribers commissions for registering new Future position with approprate interventions customers Sources: https://www.vodafone.com/content/dam/sustainability/2014/pdf/transformational-solutions/vodafone_women.pdf http://www.cherieblairfoundation.org/2014/07/30/spices-and-sms-how-mobile-phones-transform-the-lives-of-women/ http://www.livemint.com/Industry/f43NTa005rhooP21DG5TuJ/A-mobilebased-rural-distribution-network.html TECHNOLOGY LANDSCAPE 57 Product Profile: Mlouma Players and Development: MLouma is a virtual agricultural hub that publishes real-time information on the price, location and availability of farm products. Farmers and buyers receive updates via the internet, SMS notifications or through a call center. Mlouma has partnered with Orange in Senegal and has made the application available through SMS, SMS API and the Orange MyStore. Purpose: Mlouma provides Senegalese farmers with access to up to date agricultural market information via a range of convenient channels. It also provides an opportunity for farmers to post information regarding their crop (e.g., quantity, location, harvest time). The goal is to reduce the information asymmetry between buyers and sellers and make the agricultural sector more efficient. Price: Mlouma uses a subscription model whereby customers sign up from one week to one year of service. Product: Mlouma is an information based service that provides information and linkages between agricultural buyers and sellers. Promotion: Mlouma is active on social media and is leveraging the Orange relationship to expand its user base via the mobile channel. It also aligns with donor agricultural programs and the Ministry of Agriculture in Senegal. Place: Registration is online or through a mobile device. Product delivery is through the web or mobile device. Challenges and Opportunities for Women: Willingness to pay for market information may be a hurdle for women farmers. •  Delivery channel enables women farmers to get information wherever and whenever. •  Awareness of the product may be lower among women farmers. •  Gender Assessment Gender Focus Key Features  alue proposition for the product may need to be • V directly presented and explained to women farmers  ubscription model with flexible lengths may work well • S with women farmers  obile channel for sign up and service delivery should • M work well with the portion of women farmers familiar with mobile services  roduct awareness and understanding the value of • P market linkages may require focused education and a more hands on promotion approach Current position Future position with approprate interventions MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 58 Recommendations In this section, we provide recommendations for further investment by the World Bank. The recommendations are based on our analysis of the financial services needs of women in agriculture across the four personas compared against the current state of product and financial service offering across eight service types: credit scoring, loan disbursement and collections, saving, insurance, payments market pricing, linkages and agriculture extension. The four recommendations are reflective of our review of the marketing mix in each service category through a gender lens and suggest key segments of focus: • Focusing on improving access to the women in the first two personas: female-headed and partnered women in smallholder households given the concentration of women farmers in this category • Investing in targeted promotion to women of products that have scaled • Investing in scaling initiatives and products targeted to women Scale Up Successful Initiatives to Digitize Group-Based Savings Accounts Targeted to Women Farmers Women’s participation in local savings groups improves women’s livelihoods and produces better outcomes for women than the microcredit offerings of MFIs. Efforts by NGOs to transition these groups to digital accounts (at the group level) using mobile wallets that link to bank accounts has been shown in pilots in Africa to increase group investment and savings. When beneficial and sought by group members the digital migration of the group account can also provide a pathway to individual account ownership by group members. NGOs are a key facilitator in forging the relationships between MNO and banks and provide needed training and capacity building to women’s savings groups during the transition. NGOs often also develop the business case for expanding MNO agent networks to reach these savings groups. The rural reach and liquidity capacity of mobile money agents is an ongoing challenge in building a digital ecosystem that reliably meets the needs of rural farmers. Aggregation of farmer demand and use of mobile money services for daily transactions can help build the business case for service investment and delivery beyond urban and RECOMMENDATIONS 59 per-urban areas. NGO intermediation for savings I  nvest in Marketing and groups can also include negotiating transaction Promotional Activities by fees, and advocating for each group member to Companies That Have Succeeded have access to a mobile sub-wallet for transparency in Offering Mobile Savings, Credit on any and all deposits and withdrawals from the and Insurance Products But Are group account. NGOs capacity building programs can play a role digital literacy – for female group Not Targeting Women As a Key members and often for the FSP that may also be Customer Segment new to DFS. The desk research conducted for this report revealed that women in agriculture are not identified as Suggested Intervention: a separate consumer segment in marketing and What: Invest in scaling efforts to link savings promotional efforts for many agriculture products groups to bank accounts through mobile wallets. and for financial services. Furthermore, financial Help these efforts move beyond piloting by services are not designed with women’s unique single organizations to promote broader use and user experience needs in mind, such as service development of group savings accounts that can access points that are culturally appropriate. lead to individual account ownership. Increasingly, products that target agricultural Who: Funding for technical programs of NGOs, communities and have terms that are more such as Oxfam, CARE, Grameen, MEDA, CRS, Mercy Corps, Pact, and Agha Khan to facilitate Figure 10: Gender Integration savings groups opening accounts at deposit-taking MFIs or banks that are accessed through mobile Approaches wallets. Invest in MNOs that commit to providing adequate network coverage and agent networks to DO NO HARM meet the needs of savings groups for mobile wallet Minimizes risks by monitoring unintended adverse effects access and cash-in/cash-out. Identify product service elements that enable the identification and tracking of individual member participation to GENDER AWARE provide a path to individual account ownership and Articulates a limited gender integration the compiling of digital data for alternative credit approach rating/scoring. Uses sex-disaggregated data Where: Sub-Saharan Africa GENDER RESPONSIVE Addresses women’s and men’s needs in interventions that target both groups WOMEN-TARGETED Interventions that focus only on women Source: DCED MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 60 customer-centric, such as loan terms that match Who: Technical assistance to MNOs with banking seasonality, are being developed and introduced. and insurance partners: Safaricom, Vodafone, Tigo, In addition, the growth of mobile money offerings and Airtel in mature DFS markets. The level of has increased awareness of mobile money activity and innovation is significant in these markets, products among rural segments. Marketing efforts with investment flowing into financial services designed to reach women through channels they and data platforms that feed products deliveries to trust and that emphasize services relevant to them mobile money users. These mature markets with a could increase women’s use of already available solid product base provide a good testing group for products. This includes gender integration into the role of focused promotional marketing activities market segmentation, beyond access and usage of targeted to women in agriculture. mobile phones. Potential constraints to consider Where: Kenya, Tanzania or Ghana include differences in travel patterns, time-use, and terms defining public interactions, income schedules, asset levels, bargaining power, and I  nvest In Design of Gender- access to informational services. Responsive Bundled and Customized Suggested Intervention: Service Offerings That Meet the Financial Priorities and Lifecycle What: Invest in providing technical assistance Needs of Women Farmers and Invest on marketing and promotion strategies to leading MNOs to increase women’s use of mobile money- in Strategies to Promote Awareness, powered financial services products. In the desk Trust and First Time Product Use review, Kenya and Tanzania had the highest number Gender-disaggregated data provides interesting of product offerings but the promotion of these insights into financial behaviors of women. As products to women is weak. Tailored marketing for customer-centric products are being developed, loan women in agriculture could increase understanding terms, costs of account and products that allow for and uptake. In April 2017, Women’s World Banking income smoothing – such as commitment savings announced a partnership with a MNO in Pakistan accounts – can make formal financial services and Ideas42 to help JazzCash target the women’s products appealing to women in agriculture. market. Women’s World Banking and the Global This includes adapting the design, marketing and Banking Alliance for Women have been working distribution of offerings through a gender-lens. This with banks to understand the untapped market of may also include adjusting the physical accessibility financial service products for women and to develop of services, promoting products based on different marketing strategies that resonate with them. This benefits valued by women and men; carrying type of customer-centric marketing and promotion products that consider gender-differentiated needs; is possible with the increasing availability of gender and tailoring payment plans or financial products to disaggregated data with a clear gender integration varying asset levels or income/repayment/savings approach. This allows the use of a gender lens in schedules. market analyses to fully understand differences in Suggested Intervention: participation, constraints and opportunities between women and men, as well as critical intervention What: Multi-purpose wallets enable women points to create gender-equitable outcomes. engaged in agriculture to send and receive payments, save, manage funds to meet their expenses and access credit to meet their agriculture and non- RECOMMENDATIONS 61 agriculture needs. They are more likely to present enables automated lending that reduces the costs of a value proposition than single services. Human- underwriting loans and can shift distribution and centered design research can provide insights into collection costs lower. Data collection practices the product features and design interface that will vary, with some providers unwilling to share appeal to women in agriculture. customer data for outside use. This data could be reported to credit registries for broader use by retail Who: Engage a human-centered design firm, lenders. Supporting these types of credit scoring agriculture extension providers and a MNO or programs should improve access to credit for financial service provider to design a mobile wallet women. with multiple sub-wallets for women smallholder farmers and test its use and relevance for scale. Suggested Intervention: Work in collaboration with NGOs that engage with What: Expand collection and use of individual farmer groups in providing extension or information level data for credit scoring/rating or risk rating for services such as Esoko in Ghana and Uganda, insurance from mobile phone use, including but not Grameen’s Community Knowledge Workers in limited to payments, or more geographic and crop- Uganda and the Philippines, CARE’s Farmer specific farming data. Business School, Technoserve, USAID Feed the Future Programs partners. Generate co-investment Who: Invest in expansion to the agriculture market and participation by a leading MNO, or in countries by third party credit scoring companies, such as with open APIs, MFI or banks to launch the wallet. Lenddo, who provide credit scoring to banks and MFIs, and companies that lend directly such as Where: Côte d’Ivoire, Ghana, Rwanda, Tanzania, Tala. These products require smartphone data for Uganda analysis so work best in markets like Indonesia where smartphone penetration is higher and the  nvest to Drive the Use and I gender gap in phone ownership does not exist. With Collection of Digitized Data the price of smartphones continuing to decline, this to Expand Bank Offerings and early work could prove a model for other markets. Invest in scaling farmer specific credit rating Financing to Women in Agriculture applications that use digitized data from individual Without Fixed Collateral farmers, including those developed by VisionFund, Credit scoring trends are moving the basis of Grameen Foundation and Akorion, to accelerate the lending away from traditional forms of collateral move to customized lending. such as land to rely on individualized transaction and consumption data that can be used to create Where: Indonesia, Philippines, Mexico, a credit profile. In addition, digital credit scoring Colombia, Tanzania, Uganda MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 62 Endnotes 1. Food and Agricultural Organization of the United Nations (FAO). 2012. “Smallholders and Family Farmers.” 2. Peck, Robert, Chisten and Jamie Anderson. 2013. “Segmentation of Smallholder Households: Meeting the Range of Financial Needs in Agricultural Families.” CGAP. Focus Note No. 85. 3. This demand and supply estimates exclude China, Central Asia and the Middle East and North Africa, due in part to limited data availability. Wendle, Jason and Matt Shakhovsky. 2016. “Inflection Point: Unlocking growth in the era of smallholder finance.” Dalberg Global Development Advisors, 16. 4. Anderson, Jamie. 2015. “Mozambique-CGAP Smallholder Household Survey 2015, Building the evidence base on the agricultural and financial lives of smallholder households.” World Bank; Anderson, Jamie, Colleen Learch and Scott Gardner. 2016. “National Survey and Segmentation of Smallholder Households in Uganda.” CGAP.; Anderson, Jamie, Collins Marita and David Musiime. 2016. “National Survey and Segmentation of Smallholder Households in Tanzania.” CGAP and Anderson, Jamie. 2016. “Cote d’Ivoire - CGAP Smallholder Household Survey 2016, Building the Evidence Base on the Agricultural and Financial Lives of Smallholder Households.” World Bank. 5. Ibid. 6. Doss, Cheryl. 2011. “The Role of Women in Agriculture.” ESA Working Paper No. 11-02: 7. 7. Ibid: 5. 8. FAO. 2016. “Women hold the key to building a world free from hunger and poverty.” http://www.fao.org/news/story/en/item/460267/icode/ 9. The World Bank Group (World Bank) and GPFI. 2015. “Digital Financial Solutions to Advance Women’s Economic Participation.” http://www. worldbank.org/en/programs/globalfindex ENDNOTES 63 Consultative Group to Assist the Poor (CGAP). 10.  State, Southeast Nigeria.” Global Journal of n.d. “Women and Financial Inclusion.” Agricultural Research Vol.1, No.2.: 48-57. http://www.cgap.org/topics/women-and- 21. Ibid: 15. financial-inclusion 22. FAO 2011. “The State of Food and Agriculture: Anderson 2015.; Anderson, Learch and 11.  Women in Agriculture – Closing the Gender Gardner 2016; Anderson, Marita and Musiime Gap.” 2016; Anderson 2016. The World Bank’s Women and the Law Index 23.  12. GSMA. 2015. “Bridging the gender gap: tracks several differences in rights of married Mobile access and usage in low-and middle- women. In 2016 the databased shows that income countries.”: 6. in ten economies, married women need to 13. World Bank. 2014. Global Findex. http://www. provide additional documentation to get a worldbank.org/en/programs/globalfindex national ID card—a requirement that may be required to meet KYC standards for opening 14. Anderson, Marita and Musiime 2016: 8. a financial account. Available from: http:// 15. McCarthy, E.J. 1960. “Basic Marketing: A wbl.worldbank.org/~/media/WBG/WBL/ Managerial Approach.” Madison, Wisconsin: Documents/Reports/2016/Women-Business- R.D. Irwin. and-the-Law-2016.pdf 16. Doss 2011: 13. Varangis, Panos. n.d.“Access to Finance 24.  17. Ibid. for Women in Agricultural Dependent Households.” http://pubdocs.worldbank.org/ 18. Peck, C and J Anderson 2013. en/239071450386092259/Session-4-Access- 19. Anderson “Ivory Coast” 2016: 63.; Anderson, to-Finance-for-Women-in-Agriculture-Panos- Marita and Musiime 2016; Anderson Varangis.pdf “Mozambique” 2016. Innovations for Poverty Action. n.d. 25.  20.  wa Githinji, Mwangi, Charalampos “Transaction Costs, Bargaining Power, and Konstantinidis and Andrew Barenberg. 2011. Savings Account Use in Kenya.” Study “Small and as Productive: Female Headed Summary: 2. http://www.poverty-action.org/ Households and the Inverse Relationship study/transaction-costs-bargaining-power-and- between Land Size and Output in Kenya.” savings-account-use Economics Department Working Paper Series: Women’s World Banking. n.d. “Making 26.  139. Henri-Ukoha and others found that “income, Women’s Work Visible: Finance for rural farm size, farming experience, membership women.” http://www.fgda.org/dati/Content of co-operative organisation, access to credit, Manager/files/Documenti_microfinanza/ level of education, extension contact and extent M a k i n g - Wo m e n s - Wo r k - Vi s i b l e - R u r a l - of commercialization of farm produce were Finance.pdf determinants of food security among female headed households under Individual land Udry, C. 2000. “Gender, Agricultural 27.  tenure system in the households.” See: Henri- Production, and the Theory of the Household.” Ukoha, A and others. 2013. “Determinants Of Readings in Development Microeconomics: Food Security in Female-Headed Households 104. Involved In Individual Tenure System in Abia MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 64 Clugston, Claire and Jenn Williamson. 28.  2017. “Women smallholders in the financial 2016. “Women’s Roles in Non-Productive inclusion agenda: facing the gender and rural Agriculture: A Literature Review of Promising gap.”: 15. Practices.” LEO Report: 38. Minischetti, Elisa. 2017. “Connected Women: 40.  International Finance Corporation (IFC) 29.  Mapping the mobile money gender gap: Umbrella Facility for Gender Equality. Insights from Cote d’Ivoire and Mali.” GSMA: 2016.“The Business Case for Women’s 5, 50. Employment in Agribusiness.” http://www. World Bank. 2017. ICT in Agriculture: 41.  ifc.org/wps/wcm/connect/5fd23be4-e410- Connecting Smallholders to Knowledge, 4 a 6 2 - b 3 8 f - 7 5 0 d 6 9 6 a 9 9 0 e / Wo m e n _ i n _ Networks, and Institutions. Updated Edition. Agribusiness_Report+03.06.17cs-covers. Washington, DC. World Bank: 86. pdf?MOD=AJPERES 42. FAO 2011: 8. 30. Doss 2011. 43. Hernandez and others 2017: 15. 31. USAID 2016: 38. 44. Benavot, Aaron and others. Global Education 32. Haque, Majidul M.D. 2017. “Digitizing Worker Monitoring Report 2016. UNESCO. Paris, Salary Payments: A Manual for Ready-made France. Garment Factories.” FHI360. 45. World Bank and GPFI 2015. 33. Better than Cash Alliance. 2017. “Digitizing Wage Payments in Bangladesh’s Garment Biscaye, Pierre and others. 2015. “Gender 46.  Production Sector.” in DFS- Summary of FII Report Findings.” Evans School of Policy Analysis and Research, Mercer, Morgan and Lindsay Jones-Renaud. 34.  University of Washington.:12. 2016. “Cultivating Women’s Empowerment: Stories from the Feed the Future.” USAID. 47. Doss 2011: 16. 35. IFC. 2011. “Strengthening Access to Finance 48. Hernandez and others 2017: 2. for Women-Owned SMEs in Developing 49. GSMA. 2015. “Bridging the gender gap: Countries.” Mobile access and usage in low- and middle- 36.  Buvinić, Mayra, Rebecca Furst-Nichols, income countries.”: 12. and Emily Courey-Pryor. n.d. “A Roadmap 50. World Bank. 2014. Global Findex. http://www. for Promoting Women’s Economic worldbank.org/en/programs/globalfindex Empowerment.” UN Foundation: 50. Hernandez and others 2017.; Zollmann, Julie 51.  Swinnen, 2007 as quoted in Holger Seebens. 37.  and Caitlin Sanford. 2016. “A Buck Short: 2011. “Intra-household bargaining, gender What Financial Diaries tell us about building roles in agriculture and how to promote welfare financial services that matter to low-income enhancing changes.” FAO. ESA Working Paper women.” Omidyar Network: 2. and Minischetti No. 11-10.: 10. 2017. 38. Clugston and Williamson 2016: 2. 52. Minischetti 2017: 5. Hernandez, Emilio, Riccardo Ciacci, Yasmin 39.  53. World Bank 2014. Bin Humam, Niclas Benni, and Susan Kaaria. 54. Wendle and Shakhovsky 2016. ENDNOTES 65 55. Ibid. In March 2017, AFI published results from it 13 63.  country survey on policy frameworks to guide 56. World Bank 2017. or promote financial inclusion for MSMEs 57. Zollman and Sanford 2016. owned by women and women entrepreneurs. 58.  Cambridge Center for Alternative Finance. The survey revealed five countries — 2017. “The Africa and Middle East Alternative Bangladesh, Costa Rica, Ghana, Indonesia Finance Benchmarking Report.” University of and Mexico —have specific frameworks Cambridge Judge Business School. to promote financial inclusion for women- owned MSMEs and women entrepreneurs 59. Zdisha. 2017. https://www.zidisha.org approved by the financial regulator or other 60. Cambridge Center for Alternative Finance government agency. In Fiji, Palestine and 2017: 25. Samoa, women’s financial inclusion is a policy priority; however, specific policies were not Mercy Corps. 2015. “Power of the 61.  yet in place. See: “Survey Report on SME Purse: Making the Business Case for Finance Polices for Micro, Small, and Medium Women as Consumers in Uganda.” Enterprises (MSMEs) Owned by Women https://www.mercycorps.org/sites/default/ and Women Entrepreneurs”, Available from: files/Mercy%20Corps%20Power%20of%20 http://www.afi global.org/sites/default/files/ the%20Purse.pdf publications/2017-03/AFI_smef_Survey.pdf The Maya Declaration was issued by AFI 62.  Organization for Economic Co-operation and 64.  in 2011 seeking commitment to financial Development. 2017. “Report on ensuring inclusion by its members in five areas: (1) financial education and consumer protection creating an enabling environment for cost for all in the digital age.” G20/OECD INFE effective access to financial services that makes Report. full use of appropriate innovative technology and substantially lowers the unit cost of 65. Arjuna Costa, Anamitra Deb, and Michael financial services; (2) implementing sound Kubzansky. 2016. “Big Data, Small Credit.” and proportional regulatory frameworks that Omidyar Network: 22. achieves financial inclusion, financial stability, Mazer, Rafe, Jessica Carta and Michelle 66.  and financial integrity; (3) recognizing Kaffenberger. 2014. “Informed Consent: consumer protection and empowerment; How Do We Make it Work for Mobile Credit (4) collecting and analyzing comprehensive Scoring?” CGAP. data to track the changing profile of financial inclusion and produce comparable indicators See: “Know-Your-Customer: Quick Reference 67.  in the network; (5) supporting access to Guide” by PWC. This includes data on the finance for small and medium enterprises. status of data protection laws in 96 countries. As of 2016, five AFI members had issued Accessible from: https://www.pwc.com/gx/ Maya Declaration commitments. See: en/financial-services/publications/assets/pwc- “Celebrating Five Years of Advancing Global anti-money-laundering-2016.pdf Financial Inclusion.” Accessible from: See: GSMA Code of Conduct, pg. 10. Fifteen 68.  http://www.afi-global.org/sites/default/files/ Mobile Money Providers have endorsed the publications/2016-08/2016%20Maya%20 GSMA Code of conduct including Airtel, Progress%20Report-2.pdf Avea, Axiata, Econet Wireless Zimbabwe, MOBILE TECHNOLOGIES AND DIGITIZED DATA TO PROMOTE ACCESS TO FINANCE FOR WOMEN IN AGRICULTURE 66 Etisalat, Globe Philippines (G-Xchange), 2016. “Digital Financial Services: Regulating Millicom, MTN, Ooredoo, Orange, Safaricom, for Financial Inclusion.” GDDFI Discussion Telenor, Telma, Vodafone and Zain. Paper. Accessible from: https://www.gsma.com/ 76. GPFI 2016: 12. mobilefordevelopment/programmes/mobile- money/policy-and-regulation/code-of-conduct 77. Ibid: 4. 69.  Aylward, Caitlin, Pierre Biscaye, Brian 78. Aylward and others 2016: 1. Hutchinson, Rowena Sace and C. Leigh 79. World Bank and GPFI 2015: 37. Anderson. 2016. “DFS Consumer Protection Regulations.” Evans School of Public Policy 80. Aylward and others 2016: 1. and Governance. EPAR Technical Report In 2012, CGAP identified 3 layers of 81.  #324.: 1. interoperability in mobile money at the 70.  Founded in 2009, the World Bank’s Women, platform, agent and consumer levels. See Kabir Business and the Law collects unique data on Kumar and Michael Tarazi. Available from: laws and regulations constraining women’s http://www.cgap.org/blog/interoperability- entrepreneurship and employment in 173 branchless-banking-and-mobile-money-0 economies. http://wbl.worldbank.org/ 82. International Telecommunication Union 2016: 71. World Bank. 2016. “Women, Business and the 48. Law 2016: Getting to Equal.”: 17. 83. Unique Identification Authority of India. 72.  The Better than Cash Alliance was formed Available from: https://uidai.gov.in/ in 2012 to accelerate the transition from cash PriceWaterhouseCoopers publishes a quick 84.  to digital payments globally and has worked guide to countries’ KYC requirements that extensively with its 60 members, including details whether the countries’ requirements are ministries of finance, to support the digitization risk based, whether a minimum threshold exists of government payments. for customer due diligence and whether the 73.  Butler, Kevin, Leon Perlman, Paul Makin, country has data protection laws. In 2016, the Henry Gerwitz, Patrick Traynor, Yury Grin, Guide included 96 countries. Available from: Evgeniy Bondarenko, and Richard Miller. https://www.pwc.com/gx/en/financial- 2017. “Security Aspects of DFS.” International services/publications/assets/pwc-anti-money- Telecommunications Union. Focus Group laundering-2016.pdf Technical Report. Villasenor, John, Darrell West, and Robin 85.  74.  GPFI. 2016. “G20 High-Level Principles Lewis. 2015. “The 2015 Brookings Financial for Digital Financial Inclusion.”: 11. https:// and Digital Inclusion Project Report.” The www.gpfi.org/publications/g20-high-level- Brookings Institution. principles-digital-financial-inclusion Chen, Gregory, and Xavier Faz. 2015. “The 86.  75.  Evans, David and Alexis Pirchio. 2015. Potential of Digital Data: How Far Can It “‘An Empirical Examination of Why Mobile Advance Financial Inclusion?” CGAP. Focus Money Schemes Ignite in Some Developing Note 100: 1. Countries but Flounder in Most” as quoted 87. McEvoy, Michael. 2013. “Enabling financial in: International Telecommunication Union. inclusion through ‘alternative data.’” MasterCard Advisors. ENDNOTES 67 88. Hernandez and others 2017: 21. 105. GSMA. 2015. “Mobile Insurance, Savings and Credit Report.” 89. Chen and Faz 2015. 106. Ibid: 8. Entrepreneurial Finance Lab. 2015. “Alternative 90.  Credit Scoring in Emerging Markets.” 107. 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