Germany's GIZ And Switzerland's Seedstars Launch Joint Initiative To Develop Palestine's Fintech Landscape While 60% of adults have bank accounts in Palestine, only around 10% utilize credit products, resulting in limited financial literacy and offerings. Similarly, SMEs make up 95% of all business but contribute to just 16.4% of the Palestinian Gross Domestic Product (GDP).
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Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GMbh, a German development agency, and Seedstars, a Switzerland-based alternative investment platform, have come together to launch Enhancing Financial Inclusion in Palestine (EFIP), an initiative that aims to develop Palestine's local fintech landscape.
According to a statement, EFIP will focus on creating opportunities for innovative and digital solutions that can promote and increase financial inclusion in Palestine. As such, the newly founded program will concentrate on financial literacy, digital finance products for microfinance, and financial inclusivity for consumers as well as small and medium sized enterprises (SMEs).
The program is expected to comprise of two tracks. The first will be a local call for solutions that focus on digital finance products in the microfinance industry. The second vertical of the program will aim to invite international solutions focused on established financial literacy platforms or applications.
Image courtesy Seedstars.
While 60% of adults have bank accounts in Palestine, only around 10% utilize credit products, resulting in limited financial literacy and offerings. Similarly, SMEs make up 95% of all business but contribute to just 16.4% of the Palestinian Gross Domestic Product (GDP).
"We are eager to begin this exciting endeavor with Seedstars," Anja Gomm, Country Director of the GIZ Office in Palestine, said. "Our shared goal is to cultivate an environment that fosters innovation and empowers both consumers and SMEs in Palestine, offering them more inclusive, affordable, and sustainable financial solutions."
Meanwhile, the MENA Partnerships Manager at Seedstars, said, "Partnering with Deutsche Gesellschaft für Internationale Zusammenarbeit GmbH for this program enables us to extend that mission into Palestine, a region where fintech holds enormous potential for economic growth and financial inclusivity."
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