Speech by Princess Máxima, UNSG’s Special Advocate for Inclusive Finance for Development

Mr. Deputy Minister, members of the GPFI, ladies and gentlemen,

In the past several years, we have seen such exciting areas of innovation, investment and commitment to financial inclusion, the tumultuous economic climate notwithstanding-not least in the repeated endorsement of the G20 of the importance of financial inclusion. Everywhere, I see much greater understanding of how financial inclusion is essential to development and economic goals.

The G20 has made progress in this field, moving from the Financial Inclusion Experts Group to the Global Partnership. The SME challenge. Principles on access. The SME Finance Sub-Group on data that led to the current Data and Measurement Sub-Group considering both individual and SME finance. So a lot of promising work has been going on.

And today, I look forward to hearing about your progress and the many deliverables you have prepared for Cannes. I know how much effort has gone into this.

That the AFI Forum and the first G20 GPFI Forum are being held back to back is evidence of the growing national and global attention to financial inclusion, something we should all be proud of. That I am speaking to you as both the UN Secretary General's Special Advocate and the Honorary Patron of the G20 GPFI is also evidence of how development and financial conversations are becoming more closely integrated.

Two years agoat the IMF/World Bank Annual Meetings in Istanbul, I spoke to the person at the IMF in charge ofthe FSAP (Financial Sector Action Plan). My ask was then, could we include financial inclusion questions. It needed some convincing but then decided to start piloting it. And last weekend, when I spoke to the person again, he said something that is again very telling of finance and development coming together. He said without overall inclusion, no stability.

I spoke yesterday with the three GPFI Co-Chairs. We went through some plans for the coming summit in Cannes and the tremendous work that has been done until now. We also spent some time talking about our mutual cooperation. You know, through my UN role, I bring a global perspective to the issue of financial inclusion for development. And in relation to the G20 efforts, I see my role as one of bridge building, one between the UN and the G20, and the other between your technical work and political objectives.

A good example is the announcement done yesterday by His Excellency President Calderón. This tremendous leadership shown by Mexico has been a result of many consultations between Hacienda, CNBV and the Office of the President.

Their commitment is being crystallized by the formation of the ConsejoNacional de InclusiónFinanciera. This was not a result of justa three-day business trip but a thorough long-term process, something that needs a lot of planning. It also needs a good sense of what is required in that particular country and how that country could be helped the most. As you know, this Consejo will provide the leadership, agenda-setting and coordination necessary to accelerate progress-while making sure that access is reached through competitive business models. I really think that this approach is unique and also necessary to support all the advances already made in the regulatory front. I know that the forming of the Consejo was no easy taskand the pressure is now certainly on. But this will help Mexico tremendously in making financial inclusion a reality.

In this way, we also make the GPFI Sub-Groups a reality. The Principles Sub-Group results will be put into practice, the SME Finance will be put into practice and the data efforts will be put into practice.

So what happens in the countries will be the measure of our success. And as you know, principles and regulations alone will not make it. During the AFI meetings we heard something some of us already knew. That getting the roll-out of innovative financial systems is not as evident as one thought and many countries are finding it difficult to get the financial services to be really available. There are many different reasons. One of the things they all have in common is that the business models need to be more thoroughly addressed in the context of the specific country situation. And that is why I think national mechanisms such as the Mexican Consejo are very well poised to tackle these issues.

Reaffirming commitment will be important at the G20 Cannes Summit. A commitment that will be followed through the incoming G20 Presidency carried by Mexico. This of course is a challenge, financial stability is a pressing issue that will take most of our time. But I would like to remind you that financial inclusion is not urgent in comparison, but no less important of an issue. And actually, sometimes part of the solution.

I would like to wish you a very good day in your first GPFI meeting. I look forward to our closer collaboration. Et bonne chance pour la France et, todo lo mejorpara Mexico.

Thank you.