AFI’s working groups’ meet underway in Kathmandu

KATHMANDU: The meetings of two thematic working groups of Alliance for Financial Inclusion (AFI) began in Kathmandu on Tuesday. The eighth and 20th meetings of AFI's two working groups — Inclusive Green Finance Working Group (IGFWG) and SME Finance Working Group (SMEFWG) — began under the joint initiative of Nepal Rastra Bank (NRB) and AFI. More than 80 representatives of the central banks of 41 countries and other regulatory bodies in the financial sector are participating in the meeting. Central Bank of Nigeria Deputy Director Paul Oluikpe and Bank of Namibia Director Dr Emma Haiyambo presided at the meetings of IGFWG and SMEFWG respectively. In the opening session of the meeting, NRB Deputy Governor Neelam Dhungana Timsina pointed out that due to climate change, there is a risk to the social inclusion, economic prosperity and financial stability of the emerging and developing countries and stressed the need to make the related policy system strong and effective. She briefed the recent legal and policy arrangements adopted by the Government of Nepal and NRB for the promotion of green finance and small and medium enterprises (SMEs), and access to financial resources. She expressed her gratitude to AFI for providing grants and technical assistance for the formulation of 'Green Taxonomy' in Nepal. On that occasion, Alfred Hannig, AFI Executive Director, underscored the contribution of SMEs in creating employment and livelihood improvement in developing countries. He opined that concrete steps should be taken to minimise the impact of climate change in this area. He expressed his belief that the meeting will be fruitful in policy cooperation, exchange of technical assistance and enhancement of capacity development among the member organisations of AFI. Hannig further lauded NRB for the policy initiative taken for the promotion of green finance. He said NRB's effort was exemplary for other member institutions. According to NRB, joint meetings of both IGFWG and SMEFWG were held on the opening day and will also be held on the last day of the four-day programme. Participants at IGFWG meeting discussed financial inclusion as well as the environmental and social effects created due to climate change, the policy practices at the regional and international levels to address it and its impact. Likewise, the SMEFWG meeting discussed the contribution of SMEs to the global economy, gender equality and the current challenges in the sector. Various member organisations presented their work experiences regarding access to financial resources for SMEs and their contribution to the promotion of financial inclusion. According to NRB, representatives of member organisations of AFI are holding discussions about the policy practices and future directions that can be adopted to address the challenges created by climate change through SMEs/businesses. AGFWG was formed under AFI in 2019 with the aim of promoting green finance by addressing the uncomfortable situation created due to climate change. Likewise, SMEFWG has been operational since 2013 with the aim of supporting economic growth, sustainable development, job creation and poverty alleviation through the promotion of SMEs. AFI was established on January 1, 2008, with the common objective of promoting financial inclusion and expanding access to quality financial services at regional and international levels. This organization has been active in policy cooperation, technical assistance and knowledge exchange for the expansion of financial access and promotion of financial inclusion. The meetings will conclude on March 10, 2023. READ ALSO:

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