ILO, local bank unveil new financial products for refugees, host communities in Ethiopia

Addis Ababa, February 6, 2024 (FBC)  – The International Labour Organization (ILO) and Shabelle Bank teamed up to pilot test a new financial products targeting forcibly displaced persons (FDPs) and their host communities in the Somali region.

With these financial products and services including access to loans, Shabelle Bank will be able to enter a new market segment and FDPs and host communities will have better access to finance to meet their needs.

Ethiopia is home to over 916,000 refugees primarily from Eritrea, Somalia and South Sudan. The initiative is said to provide refugees with access to financial services; especially credit products.

The ILO stated that it has been working in the area of financial inclusion for more than three decades. The ILO’s Social Finance Programme being implemented in collaboration with the financial sector enables it to contribute to the ILO Decent Work agenda.

Through collaborative efforts with diverse financial sector players, the programme drives the creation, testing and launching of innovative and inclusive financial solutions, ILO said.