The MasterCard Foundation and IFC release new handbook on managing risk for digital financial services

Published on

September 12, 2016

As ongoing Lab research on the business case for digitally-enabled smallholder finance is demonstrating, cutting edge approaches to rural and agricultural finance rely on varying degrees of digitalization to reach more customers, and reduce costs and risks of serving smallholders.  However, when the the product deployed is itself digital, as in the case of digital financial services (DFS), there are new risks to manage. This newly released handbook presents a risk management framework for DFS.

[Download the full handbook here
As financial inclusion efforts continue to expand through digital financial services, IFC and The MasterCard Foundation have produced a practical handbook for financial industry practitioners, ranging from microfinance institutions to banks, mobile network operators, and payments service providers that are implementing digital financial services.


The report is broken into four sections describing (1)  the context of risk management and DFS risk management, (2) the types of risk DFS providers face, (3) a step-by-step guide for implementing risk management tools, and (4) lessons learned from IFC clients in Africa. In addition, as mentioned in the report's forward, the tools chapter provides a full risk database with a glossary that can be used as a reference guide when developing a risk management strategy for your institution


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About the Author(s)

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Producer of highlighted study

http://www.mastercardfdn.org/

The Mastercard Foundation seeks a world where everyone has the opportunity to learn and prosper. All people, no matter their starting point in life, should have an equal chance to succeed. MCF believes that with access to education, financial services, and skills training, people can have that chance. The foundation focuses on helping economically disadvantaged young people in Sub-Saharan Africa find opportunities to move themselves, their families and their communities out of poverty to a better life.

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