Corporate Governance and Access to Finance - ESBG

4.1. Financial deepening and improvement of socioeconomicconditionsThe objective of the financial system is the efficient allocation of savingtowards the most profitable investment opportunities, while ensuringmonetary and financial stability, as well as the security of the paymentsystems. Attaining an appropriate level of Access to Finance is the mainobjective of WSBI members, thus contributing to a deep financial system,accessible to most of the population, and an enabler of economic growthand welfare. The efficient allocation of saving is not possible if a bigportion of the population is excluded from the formal financial system.Access to financial services is indeed an essential driver for economicgrowth in both developing and industrial countries, allowing people toincrease the benefits from their economic activities and to move awayfrom short-term decision-making to a more efficient inter temporalallocation of resources. Savings banks contribute also to thediversification of the financial system. Accessing financial services is a keycondition for poverty alleviation, social and economic progress andsustainable development, as represented in Figure 5.Figure 5. Economic development and use of financial servicesSource: World Bank (2008), Finance for All. Policies and Pitfalls in Expanding Access.63