James Wallis, Ripple’s vice president for central bank engagements and central bank digital currencies (CBDCs), has highlighted the role of CBDCs in advancing global financial inclusion in a brief video. Wallis clarifies that financial inclusion aims to extend financial services to individuals worldwide, especially those with low incomes and no ties to financial institutions.
Wallis pinpointed key factors behind financial exclusion, including low incomes and a lack of existing ties with financial institutions, leading to the absence of a credit history. In regions with financial exclusion, banks are often commercial entities driven by shareholder interests, posing challenges in serving individuals with limited resources, as generating profits from such a demographic is difficult.
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