Current global developments, challenges highlight importance of financial inclusion: AMF

Director General Chairman of the Board of the Arab Monetary Fund, AMF, Dr. Abdulrahman Al-Hamidy, stressed the importance and the vital role of financial inclusion in addressing the economic challenges affecting growth.

Such measures require a greater awareness among the Arab public about the necessity of using official financial systems and digital payment applications, to protect the health and safety of communities, he added.

He made this statement during a press conference held remotely on the occasion of the annual Arab Financial Inclusion Day on 27th April, held this year under the slogan, “Towards Building Financial Literacy that promotes Financial Inclusion.”

“Arab Financial Inclusion Day has gained more importance, in light of the outbreak of the novel coronavirus, COVID-19, around the world and its implications to the economies of countries, which requires cooperation among Arab countries to reinforce awareness about the necessity of using official financial systems, utilising digital payment systems, reducing dependency on cash, and avoiding physically going to financial institutions,” Al Hamidy said.

“Arab countries are required to keep pace with the activities of Arab Financial Inclusion Day by launching widespread virtual campaigns that encourage the use of digital payment systems, in line with the official efforts and measures undertaken by Arab governments to counter the effects of the novel coronavirus,” he further added.

He also stressed the importance of building financial literacy, which has become one of the main requirements of strengthening financial inclusion indexes, noting that financial culture is one of the key cornerstones of responsible financing that relies on the role of financial institutions and regulatory authorities, to ensure that financing provided to clients will help insure their prosperity and benefit the economy.

The growing interest of Arab policymakers in issues related to reinforcing financial inclusion and financial culture will help reduce poverty and unemployment and achieve social justice, he explained, noting that the youth unemployment rate in Arab countries is around 26 percent, which is about double the global rate.