This paper summarizes the results from the study on “Public institutions and the development of rural financial markets: lessons and experiences in Latin America.” The authors discuss the role of public financial institutions serving rural areas in Latin America. The study is based on the experience of mixed (public and private) and public financial institutions that offer rural financial services. The authors contextualize, present, describe the characteristics of public institutions that participate in rural financial markets in the region and provide a comprehensive, comparative overview of their performance. The authors also discuss the challenges that development banks face and the impacts they have had or could have on the development of rural financial markets, especially on expanding services to segments of the rural population that have traditionally been excluded from financial markets.
The authors conclude the paper by offering eight core messages derived from the study that they feel are relevant to the discussion on the role, potential and mechanisms for reform of these entities to enable them to improve their performance as well as the performance of rural financial markets.