LOCFUND | New project to strengthen financial inclusion and digital transformation
BIM, through the TSF (Technical Support Facility) of Locfund Next is proud to announce the signing of a technical cooperation agreement with IDB Lab for USD 500,000 to execute the project “Locfund Next: Financial Inclusion and Digital Transformation in Microfinance Institutions of America Latin America and the Caribbean ”.
The project will have a duration of 36 months and a scope of at least 17 countries in the region and its objective is to assist microfinance institutions clients of Locfund Next to offer essential services and products to vulnerable populations, immediately through the solutions digital.
The project focuses on key aspects of digital transformation such as: transactions between institutions and their clients, automation of internal processes and human resources, interaction with clients through alternative channels, use of data analysis tools for decision making key, etc.
During these three years, it is expected to provide technical assistance to 19 microfinance institutions clients of Locfund Next for their digital transformation, incorporate 150,000 new clients through digital channels and develop at least nine digital solutions for microfinance institutions, focused on operability and interaction with the clients. Other objectives on which the project places great emphasis have to do with increasing the number of women who adopt digital transformation processes in their microfinance institutions, training institution employees in digital transformation issues, and automating internal processes.
The current situation due to COVID-19 has made clear the importance and urgency of digital transformation in different areas, and the banking and financial sector, specifically that of microfinance institutions, is no exception. Digitization has become an essential requirement to continue operating, and that is where it seeks to provide efficient support to obtain tangible results.
The TSF already has years of experience managing multiple similar technical support components. In addition, for this occasion, Jorge Eguino, Specialist in Digital Transformation, has been added to the team to work together with microfinance institutions in their respective digitization processes.
With this financial inclusion and digital transformation project, both the IDB Lab and BIM, through the TSF of Locfund Next, reaffirm their commitment to support microfinance institutions in the region.