The Central Bank of Jordan announced the National Strategy for Financial Inclusion (2023-2027), and the results of the financial inclusion survey for the year 2022.

The Central Bank stated that the results of the study will be a basic pillar on which to base the national objectives of the new national strategy for financial inclusion 2023-2027, the operational objectives of its main axes, and the formulation of clear action plans and measurable performance indicators, based on accurate data and information.

He added that the new strategy will provide a set of indicators classified according to the target groups, which include women, youth, the lowest 40% of the total adult population in terms of income level, refugees, in addition to small, medium and micro enterprises.

And he indicated that the national strategy for financial inclusion includes four basic pillars: comprehensive and responsible financing services, savings, insurance, and payment and transfer services. In addition to a set of priority enablers that enhance access and effective and sustainable use of financial services and products, including: financial consumer empowerment and market behaviour, financial technology and innovation, data and research, legal and legislative frameworks, coordination and institutional commitment.

The strategy will include the insurance sector to enhance its role in facing emergencies and meeting the necessities of a decent life, in addition to saving as one of the main pillars of the strategy, in order to work on developing savings products that help the financial consumer in proper financial planning to be able to improve the standard of living and use the available financial resources efficiently and responsibly.

Work will also be done to introduce the principles of green and sustainable financing in developing action plans with partners, in order to enhance the Kingdom’s endeavor to shift towards a green economy, and take into account the effects of climate change on the target segments.

Special attention will be given to women due to the existence of a gender gap in access to financial services and products, their pioneering role in society and the enhancement of their participation in achieving economic growth.

With regard to refugees, special attention will be given to this category, in compliance with the Jordanian role in supporting refugees, and affirming their basic right to use financial services and products that are appropriate to their circumstances and income levels.

The results of the financial inclusion survey

The results of the study showed that the previous national strategy for financial inclusion (2018-2020) succeeded in achieving its main objectives by raising the percentage of financial inclusion in the Kingdom from (33.1%) to (43.1%) – as measured by the percentage of adult ownership (15 years and over) of financial accounts. In formal financial institutions – and reducing the gender gap in the financial sector from (53) to (22) by 2022 in addition to achieving the qualitative and quantitative secondary goals, as the study showed that (14.4%) of adults obtained financing from an official financial institution in the year and (39.8) have sent or received digital payments in the past year.

As for savings, the study showed that (4.3%) of adults have saved in formal financial institutions, while (60.9%) of adults have some form of insurance.

The results of the Small, Medium and Micro Enterprises (MSMEs) Sector Survey also showed that (52.4%) have a financial account in official financial institutions, while (28.3) of these companies obtained financing from an official financial institution in the past year, and (15%) Some of them have invested in formal financial institutions through savings accounts or other investment vehicles.

As for digital payments and insurance, the study showed that (31.5%) of these companies sent or received digital payments in the past year, while the results showed that (32.5%) had some form of insurance.