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Figure 5: % of youth aged 15-24 without an account at a financial institution

100%

93%

90%

80%

83%

80% 70%

64%

63%

67%

65%

60%

54%

51%

50%

44%

45%

40%

40%

39%

30%

30% 16%

20% 10%

4%

0% OECD

Latin America Europe & Sub-Saharan Middle East & Carribean Central Asia Africa

Adults

East Asia & Pacific

South Asia

World

Youth

Source: World Bank, Global Findex 2015

While challenging, these barriers can and have been overcome, however, as illustrated in case studies highlighted in this paper. In fact, when looking collectively at the five examples provided in this paper, the amount of cumulative savings that the children and youth involved in the SchoolBank projects have managed to save is impressive (â‚Ź2,937,650,000)32 contradicting the perception that children and youth do not want to save, nor do they have money or disposable income to save. The perception that youth are not interested in the financial system proves to be untrue simply by looking at the number of savings accounts which were opened by and still actively used by the children. The interest and ability to save is clear, especially when the access is combined with financial education and it is delivered by trained staff which has a childfriendly approach. Furthermore, the case studies exemplified in this paper show how regulatory barriers can be overcome provided there is a long term commitment to financial education and poverty reduction from the banks perspective as well as willingness to closely collaborate with other public institutions. Different organizations at international level have tried to address these issues, both by providing examples and case studies of specific success stories, or by contributing to, for example, the development of a business case for youth financial services.33 Despite progress made in within the realm of financial inclusion for youth, the highest barrier to youth financial inclusion remains to be the inability of financial institutions to recognize business opportunities in serving children and youth. Therefore, the youth financial services market still remains under-explored and underserved.

32

Self-reported number by the banks involved in the study CGAP business case: http://www.cgap.org/sites/default/files/Focus-Note-Business-Case-for-Youth-Savings-A-Framework-Jul-2014.pdf, CYFI business case and product development workshop, CYFI business case for governmental institutions 33

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2017 - SchoolBanking: unleashing the youth financial services market  

The paper summarizes the data collected from five WSBI members (Chile, Germany, Kenya,Malaysia and Thailand) which participate in SchoolBank...

2017 - SchoolBanking: unleashing the youth financial services market  

The paper summarizes the data collected from five WSBI members (Chile, Germany, Kenya,Malaysia and Thailand) which participate in SchoolBank...