FSD Zambia has welcomed a £21.95m 5-year commitment from UK Aid, part of a £320m package that will initiate an ambitious new phase of financial sector development across Africa.
The funding was announced in a statement released by FSD Zambia Communications Manager Eneyah Phiri ahead of the UK-Africa Investment Summit in London.
The £320m commitment provides funding for ambitious programmes that create financing solutions for the opportunities and challenges faced across Africa’s economies, from individual households and micro-enterprises to business and infrastructure investment.
UK International Development Secretary Alok Sharma said: “Africa’s substantial investment potential is clear, with many African countries outstripping global economic growth in recent decades. The UK is already the top financial exchange for Africa’s businesses, and we want investors to seize the exciting opportunities that Africa offers. These new initiatives, announced ahead of the UK-Africa Investment Summit, will make it easier, greener and more secure to invest in Africa, mobilising billions of pounds of sustainable investment to help end poverty.”
FSD Zambia will channel this commitment to, among other efforts to deepen financial inclusion in Zambia, build on the success of our work with Savings Groups that so far has contributed to the establishment of 7,900 groups with savings totalling almost ZMW100 million.
Evidence shows that Savings Groups enable both learning and economic empowerment for low-income households and individuals, especially in rural areas.
Furthermore, FSD Zambia will utilise these resources to expand support to the extension of appropriate Agriculture insurance to smallholder farmers in Zambia, particularly in light of climate change.
With these funds, FSD Zambia will also deepen work with the Ministry of General Education on introducing the Financial Education curriculum from grade 1 to 12. We believe this is a significant step towards growing a generation of financially capable Zambians.
Chair of the FSD Network Council and CEO of FSD Zambia, Betty Wilkinson commented on the commitment: “At FSD Zambia, we are excited to receive this key grant from UK Aid. As a Zambian organisation, we will use these resources responsibly to deepen financial inclusion, make money work to increase incomes and reduce poverty, and enable sustainable futures for the women, men, and children of our country”.