National Financial Inclusion Strategy (NFIS) 2017 - 2022.

The National Financial Inclusion Strategy (NFIS) is a comprehensive document spanning five years. Its purpose is to expedite financial inclusion in Zambia by outlining a series of specific, well-defined, and sequenced actions for diverse stakeholders. The overarching aim is to establish a framework fostering the development of a stable, resilient, competitive, and inclusive financial sector. This sector is envisioned to play a vital role in contributing to economic growth and facilitating widespread wealth creation. The specific objectives outlined in the Strategy are organized within a framework that integrates strategies aimed at improving access, enhancing usage, and elevating the quality of the financial sector. These efforts are directed towards raising the standard of living for all Zambians. At the core of the Strategy is the Vision to attain universal access and usage of a diverse range of quality and affordable financial services catering to the needs of both individuals and enterprises. This Vision underscores the commitment to ensuring that every segment of Zambian society, irrespective of social or economic status, gender, or educational level, has access to fundamental financial services. The Strategy envisions a platform for low-income populations equipped with mechanisms for borrowing, saving, investing, and making payments. Furthermore, it empowers individuals to plan for the future, effectively manage their finances, and safeguard their loved ones and possessions from unforeseen disasters or crises.
To address the existing gaps in the sector, this NFIS outlines a synchronized and sequenced series of actions to be implemented by both the public and private sectors by the year 2022. The successful execution of these actions aims to achieve the following outcomes: (i) an overall surge in financial inclusion, encompassing both formal and informal sectors, from 59% to 80%, with formal financial inclusion increasing from 38% to 70%; (ii) improved physical accessibility to high-quality financial delivery channels, such as branches, agents, and automated teller machines (ATMs); (iii) the introduction of innovative and diverse financial products and services designed to meet customer needs, resulting in a rise in the percentage of adults with at least one transaction account from 36% to 70%; (iv) enhanced outreach and adoption of digital financial services; (v) increased availability of affordable financing options for SMEs, smallholder farmers, and agricultural entities, leading to a reduction in the number of SMEs citing access to finance as a major constraint from 27% to 20%; and (vi) improved consumer protection and heightened financial capabilities of consumers, reflected in an increase in the percentage of adults with high levels of awareness regarding financial products from 36% to 50%.
The Steering Committee for the National Financial Inclusion Strategy will offer comprehensive policy guidance for formulating and executing the strategy, serving as a high-level platform to fulfill Zambia's financial inclusion objectives and vision. This committee will operate as the principal governing body, overseeing and coordinating the implementation of Zambia's National Financial Inclusion Strategy. A well-resourced, well-coordinated, and widely accepted monitoring and evaluation (M&E) system is essential to gauge progress toward Zambia's financial inclusion goals. The key objectives of the NFIS M&E system include tracking the implementation of NFIS measures, ensuring they are on course; measuring impact-level and intermediate-level financial inclusion outcomes through a strong data infrastructure; and coordinating and offering technical support for evaluations of strategically significant financial inclusion initiatives.