The financial inclusion funding landscape is significantly broader than previously captured in earlier research. CGAP identifies 2,015 “new” capital providers beyond the traditional set of donors, development finance institutions, philanthropy, and impact investors. A large majority of these new actors are commercial in nature and do not operate with explicit impact mandates, marking a shift toward a more market-driven funding ecosystem.
The analysis shows that funding for financial inclusion is becoming increasingly localized. More than half of the newly identified funders are headquartered in emerging markets, indicating a gradual decentralization of global development capital. While international actors from North America and Western Europe remain important, domestic and regional capital sources are now playing a much larger role in shaping financial inclusion finance.
At the same time, the composition of funders is changing in ways that bring both opportunities and risks. The growing participation of venture capital firms, commercial banks, asset managers, and other private actors creates new possibilities to scale digital financial services and expand access through innovation and private investment. However, this shift also raises concerns that commercially viable segments may be prioritized, while low-income populations and higher-risk markets that do not generate strong financial returns could be underserved.
The study highlights that over 90 percent of the newly identified funders are private institutions, with a substantial share operating without impact-focused mandates. This suggests that financial inclusion is increasingly being shaped by mainstream investment logic rather than development objectives alone. At the same time, official development assistance is declining, which increases the importance of mobilizing private and local capital for development outcomes.
Geographically, funding flows show a strong tendency toward regional alignment, with most funders investing within their own regions. Cross-border capital still plays a major role, particularly in Sub-Saharan Africa and Latin America, but domestic investors are increasingly dominant in many emerging markets. This reflects a broader transformation in development finance, where local capital ecosystems are becoming more influential.
Overall, the findings indicate that the financial inclusion funding universe is evolving into a more commercial, decentralized, and complex system. This shift creates opportunities to leverage new sources of capital but also introduces coordination challenges and potential gaps in serving the most excluded populations. Continuous monitoring, improved data collection, and stronger engagement with commercial actors will be essential to ensure that financial inclusion objectives remain central in this changing landscape.
