Financial Inclusion and the Linkages to Stability, Integrity and Protection: Insights from the South African Experience

This report introduces and develops the concept that a proportionate approach to any financial inclusion measure (and specifically to its regulatory and supervisory design and implementation) should seek to optimize the financial inclusion (I), financial stability (S), financial integrity (I), and financial consumer protection (P), collectively knows as I-SIP, linkages: maximizing synergies and minimizing trade-offs and other negative outcomes. Based on analysis of South African experience, the report proposes a methodology for optimizing the I-SIP objectives.