Reading today’s headlines, it’s easy to get caught up in the many challenges faced by vulnerable communities globally. Farmers are seeing their crops and livestock washed away by floods, extreme heat makes it hard to work mid-day, small business owners are struggling to meet their customers’ needs in the face of fluctuating prices, and parents are unsure of how to keep their families safe and make ends meet.

These challenges are deeply concerning. Yet, I also find optimism in the powerful stories of people and entrepreneurs around the world who are making the most of digital technology to access the financial services they need to grow their businesses and strengthen their resilience.

New data released by The World Bank in its Global Findex in July showed that 75 percent of adults in low- and middle-income countries (LMICs) now have access to a formal financial account. That’s an increase of 80 percent over a decade — progress that was largely driven by digital technology.

Access to an account is the first step toward higher-value financial services like insurance, savings, and responsible credit — tools that are essential for improving livelihoods and building financial resilience. Data from the Findex also shows how access to these tools is growing: 40 percent of adults in LMICs are now formally saving money, a 16-percentage point increase from 2021.

With your support, Accion continues to work with local partners to develop responsible financial services that play a role in driving this progress, shaping the next chapter of financial inclusion. In our latest Impact Report, we shared that 48.4 million people were actively using digital and financial services offered by our partners in 2024. Over our history, we’ve helped build 285 financial service providers across more than 70 countries  which today reach hundreds of millions of people worldwide.

Our work in action

Earlier this year, I joined a group of Accion Board members and donors on a trip to Ethiopia for a first-hand look at Accion’s efforts to support our local partners and their small business clients.

We met entrepreneurs like Mohammed Side, owner of the clothing store Amazing Style in Addis Ababa. Through Accion’s partner Dashen Bank, Mohammed was able to access the working capital he needed to purchase inventory, hire employees, and grow his business. Mohammed’s energy was infectious, and we could clearly see how his thriving business meant the world to him and his family.

This year, Dashen joined Accion’s global partnership with the Mastercard Center for Inclusive Growth to better serve small businesses with digital financial services customized to meet their financial needs. Through this partnership, Accion Advisory is supporting Dashen to use AI to crunch new types of data and develop new credit scoring models, aiming to enable the bank to provide financial services to more micro and small businesses, especially those that are run by women.

The insights and demonstration models generated through this partnership can make a big difference for the entire region. Ethiopia is the continent’s second largest country by population and is undergoing a pivotal period of transformation in its digital and financial infrastructure. We can also transport these learnings globally; through the partnership Accion is supporting providers in El Salvador, Indonesia, and Mexico.

This is just one snapshot of our global work to harness digital innovation to connect small business owners, smallholder farmers, and women with the financial services they need to grow and thrive.

Just this year, we:

• Launched a new initiative supporting companies working with small businesses in India and Africa to adopt emission-reducing technologies that can enhance their productivity, boost their income, and strengthen their climate resilience.
• Expanded access to financial services and entrepreneurship opportunities for  refugee women in Uganda and embarked on a new project focused on financially excluded migrants in Colombia.
• Published vital research on the gateways and barriers to the digital economy for micro and small businesses. Through a survey of more than 20,000 small businesses across five major markets: Addis Ababa, Delhi, Jakarta, Lagos, and São Paulo, we provided  perhaps the most comprehensive picture yet of the challenges faced by these small enterprises.
• Started supporting financial service providers around the world to drive women’s financial inclusion. We’re working with the Self-Employed Women’s Association in India, Fidelity Bank in Ghana, Sajida in Bangladesh, and Los Andes in Peru to help them better meet the needs of women entrepreneurs.
• Worked to build tailored solutions for Ethiopia’s women-owned businesses. With fintech partners such as Jemla, Kifiya, and Lersha, we are helping connect women entrepreneurs to digital financial and non-financial services, as well as the skills, tools, and support networks they need to use these services effectively.

Clearly, we’re seeing momentum across our work, and we have a lot to do!

While this is encouraging, we can’t lose sight of the fact that 1.6 billion people globally remain left out or poorly served by the financial system. Efforts to reach the next billion people must prioritize consumer protection, transparency, and privacy.

This Thanksgiving season, I hope you’ll join me in celebrating the significant strides we have made to this point. Your generosity helps sustain these efforts, and as we look ahead to the new year, it will be essential to accelerate our ability to reach those still at the margins of the global financial system.

All our work — and all our impact — is made possible because of donors like you who believe in our mission and share our vision of a fair and inclusive economy. Thank you.