Luxembourg extends cooperation agreement with the Alliance for Financial Inclusion

Writer Laura Campan

On Monday 27 March, the Ministry of Finance and the Directorate for Development Cooperation and Humanitarian Affairs of the Ministry of Foreign and European Affairs signed the second phase of their agreement with the Alliance for Financial Inclusion’s (AFI) European Representative Office (ERO).

Yesterday, the Luxembourg House of Financial Technology (LHoFT) and its CEO Nasir Zubairi invited the press to a milestone event for financial inclusion. 

Minister of Finance Yuriko Backes and Minister for Development Cooperation and Humanitarian Affairs Franz Fayot extended their cooperation agreement with the AFI, represented by its Executive Director Dr. Alfred Hannig, to advance inclusive and sustainable policies and regulations in Eastern Europe, Central Asia, the Middle East, and North Africa.

Franz Fayot welcomed this cooperation and reminded the catalytic effect financial inclusion can have on equitable and sustainable development:

“Providing new opportunities for the financially excluded helps people improve their daily lives and thus builds economies that are more resilient. This ambition lies at the heart of our work and is an integral part of our effort to “leave no one behind”. 

Arguably the perfect opportunity for Yuriko Backes to sign a separate agreement to advance financial inclusion of vulnerable groups in Africa and the Arab Region via the second phase of AFI’s Multi-Donor Financial Inclusion Policy Implementation Facility (MD-PIF): 

“With this new support, AFI will be able to continue to foster cooperation with policymakers at European and international level in shared areas of priority such as gender-inclusive finance, inclusive green finance, and digital financial services”.

As for Dr. Alfred Hannig,

“This cooperation between Luxembourg and AFI testifies to the global convergence around financial inclusion in very concrete terms. Financial inclusion is not just a priority for many emerging and developing countries. Developed nations, like Luxembourg, recognize its relevance, especially in maintaining safe and sound financial systems and ensuring financial health for everybody”.

Although largely unknown to the general public, the AFI plays a key role in expanding and improving financial inclusion policies, through a cooperative model that embeds peer learning, knowledge exchange and peer transformation – with support from donors and partners such as the LHoFT.  

Dr. Alfred Hannig will soon tell us more about this great alliance in an exclusive interview.