The microfinance sector operates within a complex web of regulations that often struggle to keep pace with rapid technological advancements and evolving business models. Outdated rules can stifle innovation, limit outreach to underserved populations, and create a climate of uncertainty for financial service providers. Regulatory innovation is the proactive and adaptive approach of creating a legal and policy environment that encourages responsible growth, protects consumers, and fosters a dynamic ecosystem of financial inclusion. This forward-thinking strategy moves beyond a purely restrictive mindset to one that empowers regulators to become enablers of change, using tools like regulatory sandboxes and tiered licensing to balance stability with innovation.

This course is designed to equip policymakers, regulators, and microfinance professionals with the knowledge and tools needed to drive regulatory reform and adapt to a changing landscape. You will learn how to design flexible and proportionate regulations, understand the technology that is disrupting the sector, and explore the global best practices in regulatory innovation. By the end of this program, you will be prepared to lead conversations on creating a regulatory framework that supports a more inclusive, resilient, and digitally-enabled financial system.

Duration: 5 days

Target Audience:

• Regulators and policymakers from central banks and ministries of finance
• Microfinance institution (MFI) managers and executives
• Professionals in charge of digital transformation and compliance
• FinTech startup founders and entrepreneurs
• Legal and governance specialists
• Development and financial inclusion practitioners
• Social entrepreneurs and startup founders
• Researchers in financial regulation
• Professionals in risk management

Objectives:

• Master the core concepts of regulatory innovation in finance.
• Understand the challenges posed by outdated regulations.
• Learn how to design a proportionate and risk-based regulatory framework.
• Explore tools like regulatory sandboxes and innovation hubs.
• Grasp the complexities of regulating digital financial services.
• Understand the role of data and technology in modern regulation.
• Learn how to foster a collaborative relationship between regulators and innovators.
• Analyze global best practices and case studies in regulatory reform.
• Understand the importance of a well-defined legal and consumer protection framework.
• Develop a strategic plan for driving regulatory innovation.

Module 1: The Regulatory Landscape

• The purpose and history of financial regulation
• The challenges of regulating microfinance
• The role of technology in disrupting traditional models
• The case for regulatory innovation
• The trade-off between stability and innovation

Module 2: Principles of Modern Regulation

• The shift to a risk-based and proportionate approach
• The importance of a technology-neutral framework
• The role of a tiered licensing system
• Designing regulations that foster competition and inclusion
• The importance of a well-defined legal framework

Module 3: Tools for Innovation

• The concept of a regulatory sandbox
• The mechanics of an innovation hub or a "reg-lab"
• The use of a "test-and-learn" approach to new products
• The benefits and risks of these tools
• Case studies of successful sandboxes

Module 4: Regulating Digital Financial Services

• The challenges of regulating mobile money and agent banking
• The legal status of digital currency and e-money
• The importance of regulating payment systems and fintech APIs
• Consumer protection in a digital environment
• The role of cybersecurity and data privacy

Module 5: Technology for Regulators (RegTech)

• What is RegTech and its purpose
• Using technology to automate compliance and reporting
• The role of a supervisory technology (SupTech) platform
• The use of data analytics for off-site supervision
• The potential of AI and machine learning in regulation

Module 6: Consumer Protection and Financial Literacy

• The importance of a strong consumer protection framework
• The role of transparent pricing and clear contracts
• The regulation of digital financial literacy
• Protecting clients from fraud and predatory practices
• The importance of a dispute resolution mechanism

Module 7: The Role of Partnerships

• The importance of a dialogue between regulators and innovators
• Collaborating with industry associations and professional bodies
• The role of a public-private partnership
• Building a network of trust and collaboration
• Leveraging partnerships for knowledge sharing

Module 8: The Global Perspective

• A comparative analysis of regulatory frameworks globally
• Lessons learned from different countries
• The role of international standards and bodies
• The impact of global trends on local regulation
• The future of global regulatory convergence

Module 9: Implementation and Change Management

• The challenges of implementing regulatory reform
• The importance of a well-defined roadmap
• The role of stakeholder engagement
• Strategies for building capacity within regulatory bodies
• The importance of a clear communication strategy

Module 10: The Future of Regulation

• The convergence of regulation and technology
• The role of AI and machine learning in regulation
• The potential of distributed ledger technology (DLT)
• The long-term vision for a more inclusive and resilient financial system
• New trends and innovations in the sector

 Training Approach

This course will be delivered by our skilled trainers who have vast knowledge and experience as expert professionals in the fields. The course is taught in English and through a mix of theory, practical activities, group discussion and case studies. Course manuals and additional training materials will be provided to the participants upon completion of the training.

Tailor-Made Course

This course can also be tailor-made to meet organization requirement. For further inquiries, please contact us on: Email: info@skillsforafrica.org, training@skillsforafrica.org Tel: +254 702 249 449

Training Venue

The training will be held at our Skills for Africa Training Institute Training Centre. We also offer training for a group at requested location all over the world. The course fee covers the course tuition, training materials, two break refreshments, and buffet lunch.

Visa application, travel expenses, airport transfers, dinners, accommodation, insurance, and other personal expenses are catered by the participant

Certification

Participants will be issued with Skills for Africa Training Institute certificate upon completion of this course.

Airport Pickup and Accommodation

Airport pickup and accommodation is arranged upon request. For booking contact our Training Coordinator through Email: info@skillsforafrica.org, training@skillsforafrica.org Tel: +254 702 249 449

Terms of Payment: Unless otherwise agreed between the two parties’ payment of the course fee should be done 7 working days before commencement of the training.