Principles for Investors in Inclusive Finance

As investors or fund managers investing in inclusive finance, we have a duty to act in the long-term interests of our clients - private and institutional investors. While upholding our fiduciary responsibility, we will commit to adhering to and promoting the following principles.

1. Range of Services. We will actively support retail providers to innovate and expand the range of financial services available to low income people in order to help them reduce their vulnerability, build assets, manage cash-flow, and increase incomes.

Possible actions:

·         Encourage development and extension of the range of financial services available to low income populations. Extensions could include savings, loans, insurance, payment services, remittance facilities and pension plans;

·         Encourage providers to develop innovative products tailored to the needs of low income clients;

·          Encourage retail providers to expand their service offerings to more remote areas and more vulnerable populations.

2. Client Protection. We believe that client protection is crucial for low income clients. Therefore we will integrate client protection in our investment policies and practices.

Possible actions:

·         Publicly endorse the Client Protection Principles;

·         Incorporate the Client Protection Principles into investment policies, due diligence processes and  financing or shareholder agreements where possible;

·         Invest in retail providers that have endorsed the Client Protection Principles;

·          Encourage retail providers  to make the Client Protection Principles part of their operations;

·         Check progress on implementation of the Client Protection Principles through mandatory reporting and regular monitoring and evaluation;

·         Report on progress made in advancing the Client Protection Principles to investors and other stakeholders