Theme: Digitalization
The Remittance Innovation Toolkit developed by IFAD and Cenfri provides guidance on improving access to secure and swift remittance services through enhanced identity verification and customer due diligence (CDD) practices.
It enables regulators and remittance service providers to evaluate national regulatory frameworks, analyze risks and opportunities, and implement innovative solutions for challenges.
The toolkit builds on the Remittance Access Initiative which is active in seven African countries as part of the PRIME programme, co-financed by the European Union.
The report, produced by IFAD with contributions by the World Bank under the request of the GPFI, seeks to provide a compendium of best practices, showcasing the benefits of digital solutions in enhancing financial inclusion and reducing remittance costs. This collection of knowledge is intended to inform G20 member states, policymakers, and stakeholders about successful strategies in digital remittance adoption, serving as a valuable resource for guiding future endeavours in leveraging digitalization for remittance efficiency and accessibility.
A key finding of these diagnostics was that know-your-customer (KYC) and customer due diligence (CDD) procedures are key impediments in enabling remittance access by low-income and rural households.
Maximising the impact of remittances sent by low-income migrants in South Africa to their remittance-receiving families in Mozambique and Zimbabwe through a cost-effective and simplified KYC transactional account.
Enhancing the economic empowerment of Kenyan remittance senders in Germany and Uganda, and rural recipients through cost-effective digital channels and enabled access to financial services.
