• News
    • Latest news
    • News search
    • Health
    • Finance
    • Food
    • Career news
    • Content series
    • Try Devex Pro
  • Jobs
    • Job search
    • Post a job
    • Employer search
    • CV Writing
    • Upcoming career events
    • Try Career Account
  • Funding
    • Funding search
    • Funding news
  • Talent
    • Candidate search
    • Devex Talent Solutions
  • Events
    • Upcoming and past events
    • Partner on an event
  • Post a job
  • About
      • About us
      • Membership
      • Newsletters
      • Advertising partnerships
      • Devex Talent Solutions
      • Contact us
Join DevexSign in
Join DevexSign in

News

  • Latest news
  • News search
  • Health
  • Finance
  • Food
  • Career news
  • Content series
  • Try Devex Pro

Jobs

  • Job search
  • Post a job
  • Employer search
  • CV Writing
  • Upcoming career events
  • Try Career Account

Funding

  • Funding search
  • Funding news

Talent

  • Candidate search
  • Devex Talent Solutions

Events

  • Upcoming and past events
  • Partner on an event
Post a job

About

  • About us
  • Membership
  • Newsletters
  • Advertising partnerships
  • Devex Talent Solutions
  • Contact us
  • My Devex
  • Update my profile % complete
  • Account & privacy settings
  • My saved jobs
  • Manage newsletters
  • Support
  • Sign out
Latest newsNews searchHealthFinanceFoodCareer newsContent seriesTry Devex Pro
    • Opinion
    • World Savings Day

    Opinion: A decade after massive bank bailouts, 'too big to fail' system is failing world’s poorest

    On World Savings Day, CARE USA President and CEO Michelle Nunn reflects on the legacy of the global recession — and what needs to happen next to stop the growth of inequality.

    By Michelle Nunn // 01 November 2018
    Women of a village savings and loan association in Bensonville, Liberia. Photo by: USAID Food and Enterprise Development Program for Liberia (FED) / Nico Parkinson / CC BY-NC-ND

    Ten years ago, the U.S. Congress approved a $700 billion bank bailout and added to our lexicon a four-word phrase synonymous with too much economic power in too few hands: “too big to fail.” Greed had brought the global financial system to the brink and pulled back the curtain on underlying inequities: greater concentration of wealth and power than at any time in modern history.

    A decade later, we’ve treated symptoms, but never reckoned with the disease. Congress made it harder for insiders to plunge us into another Great Recession, but nothing has been done to tackle rampant and growing inequality. It’s actually gotten worse. Forty-two people now own the same amount of wealth as half of the world’s population. Last year, the world gained a new billionaire every two days, while economic gains were stagnant for the bottom 50 percent.

    Women across the world who could lift entire continents as tomorrow’s entrepreneurs still are blocked from merely opening a bank account. We’ve gone from screaming about “too big to fail” to complicit silence about the billions of people deemed “too small to succeed.”

    With a little vision to match our values, we can open the financial system to women who could contribute as much as $12 trillion to the global economy by 2025. All we have to do is give them a fair shot and build a global economy that works for everyone. It’s time to try.

    “We must not merely content ourselves with a pocketbook revolution: women’s economic empowerment should be the foundation of progress that lifts societies through equality, accountability, inclusion, trust, and transparency.”

    — Michelle Nunn, president and CEO of CARE USA

    If you want to see what this looks like, visit rural Niger and meet women who pool their money in a lockbox, give each other loans, and share the profits made from interest. Repayment rates at their Village Savings and Loan Associations approach 100 percent. These savings groups have more than 15 million members, mostly in sub-Saharan Africa. Roughly 80 percent are women. They learn new skills, build businesses, and reinvest the earnings in their families.

    Yet few of these women qualify for bank accounts, credit, or loans because they don’t have established credit histories, assets to leverage as collateral, or a male relative’s permission. The structures disempower women. And women’s burdens transcend economics; violence and abuse, deficient medical care, and entrenched norms keep women isolated and marginalized.

    The microsavings revolution that has swept across low-income parts of the globe gives us an historic opportunity to level the playing field. But it is at a crossroads. There are 1 billion “unbanked” women in the world, including most members of these microsavings groups. Connect them with the global financial system and they gain a springboard out of poverty: When linked to a bank, the annual return for a savings group doubles. Mobile networks and smart phones are penetrating deeper into rural areas, allowing groups to transition from lockbox to mobile banking.

    Will we seize the synergy of this moment and take a giant leap toward global equality? It’s up to us. Washington has a role to play: the bipartisan Women’s Entrepreneurship and Economic Empowerment Act has passed the House, but needs a Senate vote. It would put U.S. foreign assistance squarely on the side of empowering women’s economic equality.

    But there’s more to do. We can partner with financial institutions to deploy more mobile technology, and to train women entrepreneurs and connect them to broader markets. We can work with governments to institutionalize village savings models in their national development strategies.

    And we can make savings groups a platform for broader change, as in Niger, where a 400,000-woman savings network, called “Women on the Move,” is a national force catapulting hundreds of women into political office. We must not merely content ourselves with a pocketbook revolution: women’s economic empowerment should be the foundation of progress that lifts societies through equality, accountability, inclusion, trust, and transparency. This is how we build modern, fair economies from the bottom up to empower women.

    I recently re-watched “The Big Short,” the story of how investors whose insights into reckless lending led them to bet against the world’s largest economy. I found myself thinking: why haven’t we acted on the evidence of sound financial practices and bet on the potential of the world’s poorest women? Ten years later, we may have prevented the next “big short,” but for 1 billion unbanked women who play fair, we have done nothing to make possible “the big save.”

    It’s time we double down on their integrity and ingenuity and build a global system that treats no one as too small to succeed.

    • Economic Development
    • Social/Inclusive Development
    • Banking & Finance
    • Worldwide
    Printing articles to share with others is a breach of our terms and conditions and copyright policy. Please use the sharing options on the left side of the article. Devex Pro members may share up to 10 articles per month using the Pro share tool ( ).
    The views in this opinion piece do not necessarily reflect Devex's editorial views.

    About the author

    • Michelle Nunn

      Michelle Nunn

      Michelle Nunn is President and CEO of CARE, a leading INGO that works in 100 countries and reaches more than 90 million people. CARE marked its 75-year anniversary in 2021, and works to save lives, defeat poverty and achieve social justice, with a particular focus on elevating the dignity and livelihood of women and girls. On Twitter: @MichelleNunn

    Search for articles

    Most Read

    • 1
      Lasting nutrition and food security needs new funding — and new systems
    • 2
      The power of diagnostics to improve mental health
    • 3
      The UN's changing of the guard
    • 4
      Opinion: Urgent action is needed to close the mobile gender gap
    • 5
      The top local employers in Europe
    • News
    • Jobs
    • Funding
    • Talent
    • Events

    Devex is the media platform for the global development community.

    A social enterprise, we connect and inform over 1.3 million development, health, humanitarian, and sustainability professionals through news, business intelligence, and funding & career opportunities so you can do more good for more people. We invite you to join us.

    • About us
    • Membership
    • Newsletters
    • Advertising partnerships
    • Devex Talent Solutions
    • Post a job
    • Careers at Devex
    • Contact us
    © Copyright 2000 - 2025 Devex|User Agreement|Privacy Statement