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Beyond Financial Inclusion: Why Client Protection Standards Must Become a Strategic Priority for Nigeria’s Microfinance Industry: From the Pocantico Declaration of 2008 to responsible financial services delivery in Nigeria
Subject area: Management and Commerce · Area of research: Microfinance, Client Protection
DOI: 10.64388/ire1724789
Abstract
Financial inclusion is commonly measured by the number of clients reached, loans disbursed and accounts opened, yet access to credit, savings, insurance and digital financial products does not automatically improve clients’ lives. This perspective argues that client protection must become a strategic priority for Nigeria’s microfinance industry. Starting from the 2008 Pocantico Declaration, which asked the industry to reconcile commercial growth with its social mission, it discusses six reasons why Client Protection Standards matter in the Nigerian context: preventing over-indebtedness, transparency and responsible pricing, fair and respectful treatment, protection of client data, effective complaint resolution, and governance. It argues that the primary responsibility rests with financial service providers and their boards, supported by regulators, investors, development partners, industry associations and financial literacy organisations, and that independent readiness assessments against the Cerise+SPTF Client Protection Standards can close the gap between policy commitment and actual practice.
Keywords
Client protection; financial inclusion; microfinance; responsible finance; Pocantico Declaration; Nigeria
References
[1] Cerise+SPTF (n.d.-a). Client protection pathway. https://cerise-sptf.org/client-protection-pathway/
[2] Cerise+SPTF (n.d.-b). Client protection standards. https://cerise-sptf.org/about-client-protection/
[3] Consultative Group to Assist the Poor (2008). CGAP annual report 2008. CGAP, Washington, DC. https://www.cgap.org/sites/default/files/CGAP-Annual-Report-Dec-2008.pdf
[4] SPI Online (n.d.). Client protection assessment tools. https://en.spi-online.org/tools
How to cite this paper
@article{1724789,
author = {Adetunji Afolabi},
title = {Beyond Financial Inclusion: Why Client Protection Standards Must Become a Strategic Priority for Nigeria’s Microfinance Industry: From the Pocantico Declaration of 2008 to responsible financial services delivery in Nigeria},
journal = {Iconic Research And Engineering Journals},
year = {2026},
volume = {10},
number = {5},
pages = {971-978},
issn = {2456-8880},
url = {https://www.irejournals.com/formatedpaper/1724789.pdf},
abstract = {Financial inclusion is commonly measured by the number of clients reached, loans disbursed and accounts opened, yet access to credit, savings, insurance and digital financial products does not automatically improve clients’ lives. This perspective argues that client protection must become a strategic priority for Nigeria’s microfinance industry. Starting from the 2008 Pocantico Declaration, which asked the industry to reconcile commercial growth with its social mission, it discusses six reasons why Client Protection Standards matter in the Nigerian context: preventing over-indebtedness, transparency and responsible pricing, fair and respectful treatment, protection of client data, effective complaint resolution, and governance. It argues that the primary responsibility rests with financial service providers and their boards, supported by regulators, investors, development partners, industry associations and financial literacy organisations, and that independent readiness assessments against the Cerise+SPTF Client Protection Standards can close the gap between policy commitment and actual practice.},
keywords = {Client protection; financial inclusion; microfinance; responsible finance; Pocantico Declaration; Nigeria},
month = {November},
doi = {https://doi.org/10.64388/ire1724789}
}