UNDERBANKED
The advent of fintech and a rise in smartphone usage is narrowing the chasm in respect of financial inclusion – but to what success , and at what cost ?
WRITTEN BY : ALEX CLERE
With many so-called ‘ Western countries ’ facing their own challenges right now – from high rates of inflation , riots and political unrest , to war on the continent of Europe – it ’ s easy to forget about the role that developed economies must play in contributing towards a fairer society .
Yet , at the same time , many developing countries are facing similar challenges – often leading to economic turmoil or the displacement of people . According to the United Nations , there is an “ inequality crisis ” that risks thwarting the economic progress of some of the world ’ s least developed countries .
A group of 46 countries , representing 14 % of the world ’ s population , face “ serious impediments directly hampering their ability to progress economically and graduate from the least developed country category ”, world leaders warned in March . In fact , such is the size of the wealth gap , by the end of this decade the top 1 % of the world ’ s richest people are expected to own two-thirds of the world ’ s wealth , with the bottom 50 % today owning just 2 %.
WHAT EFFECT HAS FINTECH HAD ON FINANCIAL INCLUSION ? Despite the obvious financial inequality that still exists , has the advent of fintech
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