Swiss Agency for Development and Cooperation (SDC) Policy for Financial Sector Development

1. Swiss Agency for Development and Cooperation (SDC) • Policy for Financial Sector Development • Financial Sector PolicySignificance and PurposeStrategic Elements and Instruments • SDC's Financial Sector Portfolio (focus on partners) • Tasks of the Thematic Division Employment in the field of Financial Sector Development (FSD)

2. Financial Sector PolicySignificance and Purpose • Area of concentration • Operational guidelines (strategic elements; good practicesgoverning our work in the sector) • Regular reviews and adaptation

3. Financial Sector PolicyStrategic Elements • Target group oriented Poor households’ and MSMEs’ access to financial services; rural areas • Financial and institutional viability • Levels of cooperationFinancial institutionsNetworksFinancial sector "infrastructure"Policy and regulationComplementary work in other sectors (SME-P, Rural Development)

4. Financial Sector PolicyStrategic Elements(continued) • Savings, credit, money transfer etc. • Adapted, customer oriented services • Framework conditions and "banking" on local initiative • Outreach and "down-reach"

5. Financial Sector PolicyPromotional Instruments • Institutional development/capacity building (ID/CB)HRD, OD, Governance; "Infrastructure"; Training Institutions • Product development; innovationsSavings products; Insurances; LeasingTechnological innovations (IT) • Securing an equity base • Credit lines, guarantees

6. Financial Sector PolicyPromotional Instruments(continued) • Linkages (with ID/CD; Guarantees, between formal and informal financial sector actors) • Consolidating experiences/lessonsStudies and networking • Policy dialogue and support for reform

7. PortfolioPartners (direct; indirect) • Informal groups: S+C-groups (through NGOs, Foundations, Public promotion institutions) Bolivia; Tanzania; SHGs in India; S+C groups in Nepaletc. • Savings- and Credit CooperativesEcuador, Central America, West-African countries • NGOsBangladesh, Pakistan, Bolivia, Central America etc. • Banks; Non-Bank Financial InstitutionsBangladesh, India; Bolivia; Eastern Europe

8. PortfolioPartners (direct; indirect) • Development Funds and Development BanksNabard India; BAD West Africa • Promotional institutionsBankers Institute for Rural Development in India;Networks, Associations: Bolivia; Pakistan, India etc."Projects": Bolivia; Pakistan; Eastern Europe • Central Banks; Ministries of FinanceBolivia; Pakistan

9. PortfolioInternational cooperation and global partners • CGAP – Consultative Group to Assist the Poor • WWB – Women's World Banking • Donors' Committee on Financial Sector Development • FIG – Fonds International de Garantie • Studies

10. Division Employment and IncomeRoles and Tasks • Policy and StrategyInstitutionalAt country level • Advise, support operational and multilateral divisions • Networking and facilitation • Learning, including South-South / East-East Exchanges

11. Division Employment and IncomeThemes we have been working on • Savings • Equity participation • Rural finance • Leasing • Equity participation • SME finance • Performance assessment • Enhancing PMET practices, including Rating, Social Performance Indicators • Remittances, Leasing, Capital participation, Social Performance etc.