Financial Infrastructure

When we make a purchase in a store, settle a check with a friend, or tap a credit line, we take for granted the financial market infrastructure that makes the payment, settlement and recording of these transactions flow seamlessly. Payment systems, credit systems, and digital financial services are the unseen components of safe, efficient and reliable services that enable people to go about their lives. In recent years, digital innovation has helped expand financial inclusion, fostered economic development, enabled digital economy, and supported financial stability.

The World Bank Group helps developing countries create the laws, regulations and supervision which enable them to develop financial services.

The World Bank Group's work on these topics spans development of legal/regulatory framework, large value payment systems, securities settlement, foreign exchange settlement, retail payment systems, government payments, cross-border payments, oversight and cooperation, as well as the latest developments in fintech notably crypto, central bank digital currency, and open banking. Over the last two decades, the World Bank Group has contributed to the global payment systems knowledge agenda and has supported payment systems reforms in over 120 countries through:

• The development of Payments Systems Strategies and formulation of reforms;
• The establishment of appropriate institutional arrangements for central banks/other regulators for steering National Payments System (NPS) development;
• The formulation of international standards related to payment systems, alongside other standard setting bodies;
• Technical and financial assistance for implementation of specific payment system components such as Automated Clearinghouses (ACH), Real Time Gross Settlement (RTGS) Systems, Fast Payment Systems (FPS), Central Security Depositories (CSD), Securities Settlement Systems (SSS);
• The creation, curation, and dissemination of knowledge around global payment systems.

We provide advice and lending to develop credit infrastructure. Areas of focus include:

• Reforming credit infrastructure legal and regulatory frameworks,
• Creating and/or strengthening credit infrastructure institutions,
• Raising awareness and building capacity,
• Monitoring and evaluating the economic impact,
• Contributing to the World Bank Group’s engagement on and development of fintech for financing of SMEs,
• Setting international standards and promoting global knowledge and expertise exchange.

The World Bank Group is also the global standard-setter, designated by the Financial Stability Board, in the area of insolvency and creditor/debtor rights. It has developed the World Bank Principles for Effective Insolvency and Creditor/Debtor Regimes which, together with the UNCITRAL Legislative Guide, form the global standard for Insolvency. The Report on the Observance of Standards and Codes (ROSC) program provides a forum for countries to seek assistance from the World Bank Group on benchmarking against those international standards. The team also coordinates the work of the International Committee on Credit Reporting (ICCR), the only recognized international standard setter in credit reporting. The Committee supports a forward looking and broad approach to general and specific issues related to credit information, including the use of data and data analytics to build solid credit infrastructure platforms, while promoting policy to address challenges on matters of public interest.

Frictionless, affordable, safe, timely, transactions.

Retail fast payments enable instant, 24/7 fund availability across banks and non-banks, supporting multiple instruments, use cases, channels, and overlay services as systems evolve.

We've helped over 120 countries modernize payments and now leads global research and technical assistance on fast payments.

Project FASTT supports this through technical assistance, data and knowledge products, capacity building, and convening.

Find data on the cost of sending and receiving small amounts of money from one country to another. Called remittances, these international transfers are often initiated by migrant workers. The aggregate cash flows and the number of participants are enormous.

Remittance Prices Worldwide covers 367 "country corridors". The corridors include 48 remittance sending countries and 105 receiving countries.

A lack of transparency in the market has had the impact of reducing competition, as consumers tend to continue to patronize traditional market players because they are not aware of and cannot compare services, fees, and speed of their existing remittance service against other products.

• Gates Foundation
• Project Fastt
• Finance for Development (F4D) Umbrella Program
• International Committee on Credit Reporting (ICCR)