Peer Learning Group | Savings Groups: Expanding Access to Financial Services for Refugees

In a recent state of practice report, The SEEP Network argues that Savings Groups can overcome some of the barriers to expand access to finance for refugees. Savings Groups do not require legal identification, collateral, or investments in infrastructure. They can be integrated with formal financial services and digital payment systems – but can operate independently as well. And they appeal to refugees as many are already familiar with informal savings and lending. In fact, informal savings mechanisms are the most prominent financial service provider in refugee communities, and emerging evidence suggests that Savings Groups perform just as well in refugee communities as in host country communities.  

Several challenges remain, however, before these efforts can reach scale. The mobility of refugees challenges some of the basic principles and operational norms of Savings Groups; legal barriers to employment and the isolation of refugee camps constrain livelihoods opportunities; increased levels of theft and insecurity can place members and group assets at risk; traditional group mobilization and training practices may not be sufficient to develop group solidarity amongst target populations comprised of multiple nationalities, ethnicities and languages, and without permanent residency; and evidence remains thin regarding the complex interactions between Savings Groups and humanitarian aid, including cash transfers, food aid and other in-kind support. 

What We Aim to Achieve

The Peer Learning Group aimed to mobilize knowledge that is actionable, empower members through a self-designed learning process and peer-to-peer support, and improve the potential to replicate and scale successful approaches to expanding access to financial services for refugees and internally displaced people.

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Facilitator

Sarah Ward, Senior Independent Consultant

Sarah is a post-conflict/post-disaster market systems specialist with more than 18 years technical experience adapting market development approaches to some of the world’s most challenging contexts. She is currently a senior independent consultant supporting economic resilience. Sarah served as the lead facilitator for SEEP’s Refugees and Savings Groups Peer Learning Group and has been a core contributor to many market resilience initiatives at the SEEP Network, including the Minimum Economic Recovery Standards. Sarah was recently the Technical Advisor for Enterprise Development at the International Rescue Committee as well as the Director of Market Development for Mercy Corps. She has lived for many years in West Africa in Guinea, Sierra Leone, Liberia, and Benin and worked extensively in counties across Africa, Asia and the Middle East.

Members

The Peer Learning Group was composed of senior representatives from humanitarian and financial sector development agencies across six countries, responsible for the design and implementation of financial inclusion programming for refugees.

Active Learning Period

The Peer Learning Group met in person in early June 2019 to define its learning agenda, workplan and outputs, and then held a monthly videoconference between April and November.

This initiative was facilitated by The SEEP Network as part of the Savings Groups Evidence and Learning Initiative — implemented in partnership with FSD Africa.