IFC UNHCR Joint Initiative - Financial Inclusion of Refugees and Migrants in Ecuador

Financial Inclusion of Refugees and Migrants in Ecuador

Financial Inclusion of Refugees and Migrants in Ecuador

Gap Assessment

This presentation, delivered by the International Finance Corporation (IFC) at a roundtable with key stakeholders, explored how the private financial sector could improve access to financial services for Ecuador’s 570,000 forcibly displaced persons (FDPs), predominantly Venezuelans and Colombians. The study highlighted that FDPs are often highly educated, digitally literate, and demonstrate a preference for using formal financial products, such as savings accounts and loans. Despite these strengths, systemic barriers, including irregular status and limited access to formal employment, hinder their inclusion in the financial system. The analysis revealed a significant market potential exceeding USD $2.6 billion, with specific demand for loans, and long-term saving products. Close to 82% of FDPs aim to settle long-term in Ecuador, underscoring the importance of catering to this market. Initiatives such as Banco Pichincha’s Sin Fronteras and Bono Migrante programs were showcased as examples of success. Recommendations included building confidence, ensuring product affordability, and leveraging innovative digital technologies to enhance access. The presentation concluded by urging financial institutions to adopt strategies that address regulatory barriers, increase awareness, and foster collaboration with local institutions to unlock the full potential of this underserved market.

Access the gap assessment