Promoting Inclusive Markets and Financial Systems
The MasterCard Foundation
The MasterCard Foundation advances microfinance and youth learning to promote financial inclusion and prosperity. Through collaboration with committed partners in 48 countries, The MasterCard Foundation is helping people living in poverty to access opportunities to learn and prosper. An independent, private foundation based in Toronto, Canada, it was established through the generosity of MasterCard Worldwide at the time of the company’s initial public offering in 2006.
Building the Business Case for Youth Services: Insights of the Youthstart Programme
Many that work in the field of inclusive finance envision a world where financial service providers (FSPs) serve massive numbers of youth to ease their transition from childhood to adulthood and ultimately reduce their risks and facilitate achievement of their life needs and aspirations. In many developing countries there is a youth bulge that represents both a commercial and a developmental opportunity for FSPs and donors.
This paper assesses the effort needed to achieve the profitability of youth services, recommends how FSPs can improve the pathway towards profitability of youth services, and shows how the support of donors impacts the pathway towards profitability of youth services and fosters youth financial inclusion.
This paper serves as a starting point towards demonstrating that youth are a viable market that is rather similar to other segments of clients.
The paper is divided into the following three sections:
- The first section frames the study by describing the methodologies used, the FSPs selected and their youth programmes.
- The second section analyses the three pathways to profitability of youth services.
- The third section analyses the business case for serving youth.