ICTs for Microcredit Delivery : Correspondent Banking in Brazil

Although microfinance has proved a powerful tool in fighting poverty in developing countries, it has been slow to catch on in Latin America, particularly Brazil. On the other hand, correspondent banking enabled by information and communication technologies (ICTs) has allowed Brazil to reach low-income families in remote areas with its cash transfer scheme, Bolsa Familia. Correspondent banking allows the provision of banking services in businesses such as supermarkets, lottery shops and post offices, as well as dedicated microfinance institutions. Since implementing correspondence banking, the number of Brazilian municipalities without any type of banking service has dropped from 1 600 to nil in three years (Alves and Soares 2006). Moreover, ICT-enabled correspondent banking has been recognized for its impact on poverty alleviation and become the flagship of social policy in Brazil.

This project aims to draw upon the current ICT-based model of correspondent banking currently in use in Brazil in order to extend microcredit delivery throughout the region.

Project ID


Project status


Start Date

Tuesday, June 10, 2008

End Date

Thursday, June 10, 2010


24 months

IDRC Officer

Perini, Fernando

Total funding

CA$ 266,564


Brazil, South America, North and Central America


Networked Economies

Project Leader

Marley Pozzebon


École des Hautes Études Commerciales de Montréal

Institution Country


Institution Website


Project Leader

Eduardo Henrique Diniz


Fundação Getúlio Vargas

Institution Country


Institution Website