South Africa Economic Update : Focus on Financial Inclusion

World Bank

South Africa Economic Update : Focus on Financial Inclusion

Autores

World Bank

Editor

Washington, DC

Descripción

Conditions in global financial markets have eased since mid-2012, reflecting improvements in fiscal sustainability and the establishment of mutual support mechanisms in the European Union (EU), even as the global economic recovery remains fragile and susceptible to downside risks. South Africa's growth slowed from 3.5 percent in 2011 to 2.5 percent in 2012, reflecting primarily the sluggish external environment and domestic labor strife. Growth declined in 8 of the 10 major subsectors. Researchers, policymakers, and other financial sector stakeholders are becoming more interested in the transformative power of financial inclusion. In South Africa, expanding access to financial services for individuals and small enterprises could reduce the country's persistent income inequality and stimulate growth. South Africa, as Africa's only G20 member and as one of the BRICS, plays an influential global role, and progress in financial inclusion could thus have an important demonstration effect. While formal financial institutions offer an array of financial services, this Update focuses on formal payments, savings, and credit. Financial inclusion is vital because of the role of financial services in helping individuals and firms withstand income shocks and smooth spending. A well-functioning financial system produces and processes information on investment opportunities and allocates capital based on these assessments; monitors individuals' and firms' performance after allocating capital; facilitates the trading, diversification, and management of risk; mobilizes and pools savings; and eases the exchange of goods, services, and financial instruments.

Palabras clave

ACCESS INDICATORS, ACCESS TO CREDIT, ACCESS TO FINANCE, ACCESS TO FINANCIAL SERVICES, ACCESS TO FINANCING, ACCOUNT HOLDERS, ACCOUNT OWNERSHIP, ADMINISTRATIVE COSTS, ADVANCED ECONOMIES, AGRICULTURAL FINANCE, ATM NETWORKS, BALANCE SHEET, BALANCE SHEETS, BANK ACCOUNT, BANK ACCOUNTS, BANK BRANCH, BANK BRANCHES, BANK CHARGES, BANK FEES, BANK LENDING, BANKING SERVICES, BANKING SUPERVISION, BANKS, BARRIERS TO ENTRY, BIG BANKS, BOND MARKET, BUSINESS ACTIVITY, BUSINESS CONFIDENCE, BUSINESS ENTERPRISES, BUSINESS OPPORTUNITIES, CAPITAL ADEQUACY, CAPITAL FLOW, CAPITAL FLOWS, CAPITAL FORMATION, CAPITAL MARKETS, CAPITAL REQUIREMENT, CAPITAL REQUIREMENTS, CAPITAL STOCK, CASH DEPOSIT, CASH FLOW, CASH TRANSFERS, CASH WITHDRAWALS, CHAMBER OF COMMERCE, CO-OPERATIVE BANKS, COLLATERAL, COMMERCIAL BANK, COMMERCIAL BANKERS, COMMERCIAL BANKING, COMMERCIAL BANKS, CONSUMER CONFIDENCE, CONSUMER CREDIT, CONSUMER GOODS, CONSUMER PRICE INDEX, CONSUMER PROTECTION, COOPERATIVE BANK, COOPERATIVE BANKING, COOPERATIVE BANKS, COOPERATIVES, COST PRESSURES, CREDIT ASSOCIATIONS, CREDIT BUREAUS, CREDIT CARD, CREDIT COOPERATIVE, CREDIT COOPERATIVES, CREDIT DEFAULT, CREDIT DEFAULT SWAP, CREDIT FACILITIES, CREDIT FACILITY, CREDIT GUARANTEES, CREDIT HISTORY, CREDIT INFORMATION, CREDIT MARKET, CREDIT PROVIDERS, CREDIT RATING, CREDIT RISK, CREDIT SCORING, CREDIT UNION, CREDITS, CURRENT ACCOUNT, DEBIT CARDS, DEBT, DEBT SERVICE, DEPOSIT, DEPOSITS, DEVELOPING COUNTRIES, DISCLOSURE REQUIREMENTS, DISPOSABLE INCOME, DIVERSIFICATION, DOCUMENTATION REQUIREMENTS, DOWN MARKET, EARNINGS, ECONOMIC ACTIVITY, ECONOMIC DEVELOPMENTS, ECONOMIC GROWTH, ELECTRONIC PAYMENT, ELECTRONIC PAYMENTS, EMPLOYEE, EMPLOYMENT STATUS, EMPLOYMENT STATUSES, ENTERPRISE CREDIT, EQUITIES, EQUITY INVESTMENTS, EXCHANGE RATE, EXCHANGE RATES, EXPENDITURE, EXPORT EARNINGS, FINANCES, FINANCIAL ACCOUNT, FINANCIAL ACCOUNTS, FINANCIAL EDUCATION, FINANCIAL INSTITUTIONS, FINANCIAL INSTRUMENTS, FINANCIAL INTERMEDIARIES, FINANCIAL MARKET, FINANCIAL MARKETS, FINANCIAL NEEDS, FINANCIAL REGULATION, FINANCIAL SERVICE, FINANCIAL SERVICE PROVIDERS, FINANCIAL SERVICES, FINANCIAL SYSTEM, FINANCIAL SYSTEMS, FISCAL DEFICIT, FISCAL POLICY, FIXED ASSETS, FIXED CAPITAL, FIXED COSTS, FOREIGN DIRECT INVESTMENT, FORMAL BANK, FORMAL BANKING, FORMAL ECONOMY, FORMAL FINANCIAL INSTITUTION, FORMAL FINANCIAL INSTITUTIONS, FORMAL FINANCIAL SERVICES, GENDER, GEOGRAPHIC ACCESS, GOVERNMENT BOND, GOVERNMENT BOND YIELD, GOVERNMENT BONDS, GOVERNMENT INTERVENTION, GROWTH OPPORTUNITIES, HOUSEHOLD DEBT, HOUSEHOLDS, HOUSING FINANCE, HUMAN CAPITAL, INDEBTEDNESS, INEQUALITIES, INEQUALITY, INFLATION, INFORMAL BORROWING, INFORMAL CREDIT, INFORMAL LENDER, INFORMAL SAVINGS, INFORMATION ASYMMETRY, INFORMATION ON INVESTMENT, INFORMATION TECHNOLOGY, INTEREST RATE, INTEREST RATES, INTERNATIONAL BANK, INVESTMENT OPPORTUNITIES, JOB CREATION, LABOR FORCE PARTICIPATION, LABOR FORCE SURVEYS, LABOR MARKET, LABOR MARKETS, LACK OF COLLATERAL, LENDERS, LIMITED ACCESS, LOAN, LOAN DELINQUENCY, LOW INTEREST RATES, MARKET ECONOMIES, MERCHANT, MICROFINANCE, MICROFINANCE INSTITUTION, MICROFINANCE INSTITUTIONS, MONETARY POLICY, MONEY TRANSFERS, MORTGAGE, MORTGAGE LOAN, NEW BUSINESS, OPEN MARKET, OUTREACH, OVERDRAFT, PARTIAL CREDIT, PAYDAY LOANS, PAYMENT SERVICES, PAYMENT SYSTEM, PENETRATION RATE, POINT-OF-SALE, POST OFFICES, PRIVATE CAPITAL, PRIVATE INVESTMENT, PROFITABILITY, PROPERTY MARKETS, PUBLIC INVESTMENT, PUBLIC POLICY, PURCHASING POWER, PURCHASING POWER PARITY, REAL ESTATE, RECEIPTS, RECESSION, REPAYMENT, RETAIL BANKING, RISK PERCEPTIONS, SAVINGS PRODUCTS, SAVINGS RATE, SMALL BUSINESS, SMALL BUSINESSES, SMALL ENTERPRISE, SMALL ENTERPRISES, SOCIAL DEVELOPMENT, SOCIAL SECURITY, STOCK MARKETS, TERM CREDIT, UNEMPLOYMENT, UNEQUAL ACCESS, UNION, URBAN AREAS, WHOLESALE FUNDING