Financing Africa: Through the Crisis and Beyond

This book documents trends in Africa's financial sector, progress in financial services provision, and state of the continent's financial services infrastructure and financial system efficiency. It takes stock of recent changes and reviews long term prospects for African finance. It provides analysis and recommendations for policymakers, development partners, and financial institutions. The African financial system has deepened and is providing financial services to a larger number of enterprises and households. New players, products, and technologies have helped broaden access to financial services. Competition and innovation increasingly dominate African financial systems. Finance in Africa still faces problems of scale, informality, volatility, and governance. Globalization, technology, and increasing regional integration may provide new opportunities for finance in Africa. Key messages from the book include:

• Competition is the most important driver of financial innovation that will help African financial systems deepen and broaden;
• There should be an increasing focus on financial services rather than on specific institutions;
• There is a need for increased attention on the users of financial services.