2017年-世界发展银行全球_Enhancing_Financial_Capability_and_Inclusion_in_Zambia___A_Demand-Side_Assessment_110页_2mb

Summary of the Financial Capability and Inclusion Survey in Zambia

Core Content

This report presents a demand-side assessment of financial capability and inclusion in Zambia, conducted by the World Bank Group's Finance & Markets Global Practice in collaboration with Étude Économique Conseil (EEC Canada). It provides an in-depth analysis of financial inclusion, capability, and consumer protection, aiming to support the development of a more inclusive and stable financial system.

Main Findings

Financial Inclusion

• 40% of surveyed Zambian adults have a formal account in a financial institution (bank, MFI, or e-money agent).
• 53% of high-income earners use formal accounts compared to 29% of low-income earners.
• 46% of urban adults use formal accounts versus 36% of rural adults.
• Financial inclusion has nearly doubled over the past ten years, from 21.3% in 2005 to 40.2% in 2016.
• Zambia's banking sector holds over 90% of the financial system's assets, and awareness of banks and national saving and credit institutions is high.
• Zambia ranks poorly compared to other lower-middle income countries in terms of financial inclusion, accessibility of commercial bank branches, and domestic credit availability.

Financial Capability

• On average, adults correctly answered 3.7 out of 7 financial literacy questions.
• 90% of adults can perform simple divisions, and 65% understand inflation, but only 28% can estimate compound interest.
• Adults are most familiar with banks and NSCIs (99%), money transfer operators (97%), and e-money agents (76%), but only 9% are familiar with brokerage houses.
• Key behaviors include living within one's means (87%), planning for unexpected expenses (67%), and controlled budgeting (51), but saving capacity and responsibility are lower (24% and 42%, respectively).

Financial Consumer Protection

• 13% of respondents experienced a conflict with a financial service provider in the past 3 years.
• Only 25% of them took action to resolve it, with 97% stopping using the service before contract expiration.
• Main reasons for not resolving conflicts include lack of familiarity with government agencies (85%), perception of providers as too powerful (64%), and lack of trust in authorities (29%).

Key Recommendations

Financial Inclusion

• Consider policies that encourage affordable access to basic financial services, including transaction accounts with low or no costs and cooperation with ZamPost.
• Promote tailored financial services for specific customer needs, especially for low-income individuals, by providing cheaper mobile phone access.
• Encourage development of MFIs and non-bank credit institutions to improve access to formal credit.
• Further develop insurance services, including agricultural and micro-insurance, to increase coverage and affordability.

Financial Capability

• Refresh and implement the National Strategy on Financial Education (NSFE) to address challenges identified in the survey.
• Develop a monitoring and evaluation framework to track progress in financial education implementation.
• Design and use diverse programs, such as mass media, text messages, and mobile-based delivery, to enhance financial knowledge and change behaviors.
• Integrate financial education into school curricula at all levels (primary, secondary, vocational, tertiary).

Consumer Protection

• Issue internal complaints handling requirements for financial institutions (FIs) to ensure fair and effective mechanisms.
• Create a dedicated section on the websites of main regulatory bodies to explain responsible lending, cooling-off periods, collection practices, and dormant account treatment.
• Deploy adequate supervisory tools to ensure compliance with consumer protection requirements, including Key Facts Statements (KFS) and complaints handling mechanisms.
• Establish an independent alternative dispute resolution mechanism, such as a financial ombudsman, to improve access to redress.

Conclusion

The survey highlights significant disparities in financial inclusion and capability across income, gender, and geographic groups. It emphasizes the need for targeted interventions, improved financial education, and stronger consumer protection mechanisms to enhance financial inclusion and stability in Zambia. The report serves as a diagnostic tool for policymakers to develop and implement effective strategies.