Access to financial services - the impact on financial inclusion (long version)
- 00:11:49
- European Commission
Access to financial services - the impact on financial inclusion (long version)
Today, millions of EU citizens do not have access to a basic bank account. The situation varies from country to country, with up to 40% of some populations being “unbanked”. A new video report from the European Commission’s Employment, Social Affairs and Equal Opportunities DG – shot in Poland, Belgium and the UK – illustrates situations of people concerned and shows what can be done to tackle this problem. People living on low incomes are primarily concerned, and consequently those who are unemployed, lone parents caring for children full-time and people who are unable to work through sickness or disability. Migrants, young people and retired are also particularly affected. Poor education and lack of knowledge are aggravating factors. This phenomenon is a form of financial exclusion. It not only stigmatises people who are victims, but presents them with a series of handicaps in their everyday lives, increasing the risk of social exclusion and poverty. These people often also lack access to other essential services such as jobs, housing, education or health care. The key issue is to provide adequate financial services to all. This should happen through information, legislation and cooperation at all levels – from individuals themselves to possible future EU policies. For the European Commission, prevention and elimination of over-indebtedness and financial exclusion are considered to be a major element in the fight against social exclusion and poverty. The issue will also be addressed at a conference, "Financial Inclusion – improving access to basic financial services", which the EC will hold on 28th May 2008. The Commission will also present a major new study on this phenomenon – the first at European level – on this occasion.
European Commission | May 23, 2008
