Impact Assessment on Policy Initiatives Introduced by Bank of Zambia DFI Alumni for the period 2016-2024
This case study assesses the impact of Digital Frontiers Institute’s capacity-building initiatives on the policymaking knowledge and skills of officials from the Bank of Zambia (BoZ), resulting in inclusive and innovative regulatory reforms and policy initiatives from 2016 to 2024. Utilising a mixed-method approach comprising literature reviews, surveys, and stakeholder interviews, the study identifies substantial improvements in Zambia’s digital financial services (DFS) ecosystem, driven by alumni contributions across critical regulatory areas such as tiered Know Your Customer (KYC), regulatory sandboxes, cybersecurity, electronic transactions, data protection, and agent banking.
Significant policy impacts highlighted include the notable growth in mobile money adoption—from 14% in 2015 to 58.5% in 2020—attributed to simplified tiered KYC regulations and the improved financial inclusion enabled by the Agent Banking Directives, which catalysed a nearly 60% increase in active mobile money agents within a year. Moreover, the establishment of regulatory frameworks for cybersecurity and data protection has enhanced consumer confidence in DFS, addressing critical issues of fraud and digital security.
The case study underscores the pivotal role of continuous professional development fostered by DFI, enabling BoZ officials to introduce and implement policies that not only strengthen financial sector stability but also significantly advance Zambia’s financial inclusion agenda. It concludes with strategic recommendations for enhancing future training programs to support sustained regulatory innovation and financial sector resilience.