Global Partnership for Financial Inclusion (GPFI) is an inclusive platform for all G-20 countries, interested non-G20 countries and relevant stakeholders to carry forward work on financial inclusion, including implementation of the Financial Inclusion Action Plan, endorsed at the G20 Summit in South Korea.
At the G20 summit in South Korea, the leaders of the G20, recognizing financial inclusion as one of the main pillars of the global development agenda, endorsed a concrete Financial Inclusion Action Plan. Financial Inclusion was not only prominently included in the Leaders' Declaration, but was also highlighted as an important component under the Seoul Development Consensus and the financial sector reform agenda. Subsequently the leaders announced the establishment of the Global Partnership for Financial Inclusion (GPFI) to institutionalize and continue the work began by the Financial Inclusion Experts Group (FIEG) in 2010. The GPFI was officially launched on 10 December 2010 in Seoul, Korea.
The GPFI is the main implementing mechanism of the endorsed action plan by G20 leaders during the Seoul summit and functions as an inclusive platform for G20 countries, non-G20 countries, and relevant stakeholders for peer learning, knowledge sharing, policy advocacy and coordination. It will be a crucial contribution to strengthen coordination and collaboration between various national, regional and international stakeholders as asked for in Action Item 6. "Improve national, regional and international coordination", of the G-20 Financial Inclusion Action Plan. Spearheading the implementation were the three Key Implementing Partners: Alliance for Financial Inclusion (AFI), Consultative Group to Assist the Poor (CGAP), and International Finance Corporation (IFC). In January 2012, the World Bank joined the GPFI as a fourth implementing partner.
The GPFI’s efforts will include helping countries put into practice the Principles for Innovative Financial Inclusion, strengthening data for measuring financial inclusion, and developing methodologies for countries wishing to set targets.
Her Majesty Queen Máxima of the Netherlands is the Honorary Patron of the GPFI. She was invited to this role in June 2011 in her capacity as the UN Secretary-General’s Special Advocate for Inclusive Finance for Development (UNCDF). As Honorary Patron of the GPFI, her main task is to advocate for financial inclusion and promote GPFI’s work in the international arena. This includes advocating the importance of coherence among multilateral and international policy initiatives, as well as the importance of engaging relevant stakeholders. She also uses her considerable experience in the area of promoting financial inclusion to raise the profile of inclusive finance worldwide. Before the launch of the GPFI following the G20 Summit in Seoul, Queen Máxima was Honorary Chair of the G20 SME Finance Data Working Group.
The GPFI follows the successful structure of the G20 Financial Inclusion Experts Group (2009-2010) and maintains the G20 troika countries as the overall Co-Chairs.
The overall GPFI Co-Chairs ensure the continuity of the work of the GPFI under the G20 process and coordinate the work and outcomes between the sub-groups and the different G20 initiatives that are relevant to financial inclusion.
In addition, the GPFI Co-Chairs support some of the cross-cutting nature of the GPFI work, such as the outreach to private sector and non-G20 countries and organization of GPFI meetings including the first GPFI Forum. The GPFI Co-Chairs also have the overall responsibility of mobilizing adequate resources for the GPFI activities and reporting on the progress made to the G20 Leaders.
The Co-Chairs of the sub-groups have the leading role in providing strategic direction and implementation of the activities within the sub-group. The non-G20 partners operate in similar capacity as the Co-Chairs of the sub-group and actively participate in the implementation of the sub-group activities.
The overall GPFI Co-Chairs and Sub-group Co-Chairs make up the GPFI Coordinating Board to reach tentative agreement on the overall direction of the GPFI, the focus areas of the sub-groups, and the main deliverables towards the Leaders Summit. Agreement on the direction, focus and deliverables will be finalized after all the country representatives in the GPFI have had an opportunity to provide input and are comfortable with the plan for the GPFI. Achieving buy-in from the GPFI country membership is important to establish the legitimacy of work and build ownership of the results.
The co-chairs for the three GPFI sub-groups in 2012 are the following:
Sub-group 1: Korea, Indonesia, UK
Sub-group 2: Germany, Turkey, US
Sub-group 3: Australia, Mexico, South Africa