Mauro Martini, our colleague at the International Fund for Agricultural Development (IFAD), wrote a great post last month on the African Postal Financial Services Initiative (APFSI), a partnership between IFAD, the World Bank, UNCDF, WSBI, and the UPU, with financial backing from the European Union.
The global average cost of sending remittances stands at about 7.4 per cent, which is still well short of the 5×5 objective adopted by the G8 Summit in L’Aquila (2009). However, in Sub-Saharan Africa, costs are much higher, with an average of 9.5 per cent in 2015. By leveraging postal networks in this region, we believe we can successfully lower the cost of remittances, as previous projects have shown.
The article describes the opportunity for Posts to extend access to remittances, cashless payments and secure affordable financial services to rural populations in Africa. It also presents some of the joint actions that the 5 institutions have been leading in 4 pilot countries (Benin, Ghana, Madagascar, and Senegal) in the framework of APFSI.
You can read the full post here.