Challenges

The objective of the project was to provide innovative services and products that extend formal remittance channels to poor and rural people throughout Ghana in ways that make the services more affordable and accessible. The two objectives were:
▪ Develop and/or establish innovative services that extend formal remittance channels to poor and
rural peoplethroughout Ghana in ways that make the services more affordable and accessible
▪ Develop and promote innovative remittance-backed financial products (such as deposit and
savings accounts, insurance, and forms of investment) that are affordable and accessible to poor
and rural Ghanaians

Primary target

Which group does your product/service primarily target?

Description of Innovation

The six grantees developed micro-savings, micro-credit, micro-insurance and pensions products. The RGF was designed as a challenge fund that sought to address the operational constraints hampering the development of new remittance-related services and products.

Results

Average price for sending remittances reduced from 7.8% to 2.32% (average of the 6 grantees).
403'000 new active mobile money agents.
1'768 bank branches.
4 new services and 4 new products were offered.
about 18% of customers using remittances for productive services.

The project resulted in decreased costs for sending/receiving remittances, provided new services and products and supported productive use of remittances.