IMF director urges ‘financial inclusion’ via digitalization
During her opening speech at the International Monetary Fund’s (IMF) seminar on financial inclusion in Marrakesh, Morocco, IMF Managing Director Kristalina Georgieva said digitalization is “the most important way” to scale up financial inclusion.
“It is digital that moves help to people, investment and ability of the economy to accelerate,” Georgieva said, citing digital cash transfers in the African nation of Togo put in place during the COVID-19 pandemic. She urged for comprehensive national strategies for financial inclusion but reminded the audience about the financial stability risks, which often correlate with digitalization.
Related: Retail CBDCs bring unknown ‘consequences’ to financial system — IMF director
The IMF has recently been active in its analysis of necessary crypto regulations. On Sept. 29, it proposed a crypto-risk assessment matrix (C-RAM) for countries to spot indicators and triggers of potential risks in the sector.
The IMF’s Synthesis paper — jointly prepared with the Bank for International Settlements (BIS) — was unanimously adopted by the “G20 Finance Ministers and Central Bank Governors Communique” in October.
The paper advocates for comprehensive oversight of crypto instead of a blanket ban. Its high-level recommendations include cross-border cooperation and information sharing between regulators, a demand for comprehensive governance and risk management frameworks for crypto companies, and a guarantee of access to relevant data provided by companies to the authorities.
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