World Bank Document

financial services. This objective requires two types of actions: first, the gradual elimination of 

key distortions in the financial sector, such as foreign exchange and cash currency controls, 

directed and preferential lending to public sector entities, and the use of the banking system for 

administrative functions such as currency and tax controls; second, is the progressive removal of 

specific barriers to financial access by MSMEs. This would involve inter alia: strengthening the 

financial infrastructure that supports MSMEs’ access to finance; removing the bias against credit 

provision to small private enterprises; increasing the capacity of financial institutions to service 

MSMEs; and, strengthening the skills and entrepreneurial capacity of MSMEs, particularly of 

women and youth. These activities would impact job creation directly as more potential 

entrepreneurs are able to form and expand businesses as a result of improved access to finance and 

better skills. Progress towards achieving this objective would be measured by the number and 

volume of loans to MSMEs facilitated by IFC/WB clients, the share of MSMEs accessing bank 

credit, and the share of new business registrants headed by women and youth. 

 

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