Puerto Vallarta, Mexico - Last week, the World Bank announced a loan of $100 million dollars to Mexico to improve the performance of credit and savings institutions and to expand the supply of financial services, especially in marginal areas of the Republic.

The organization said multilateral credit for the "Consolidation and Financial Inclusion" project would primarily support marginal populations, indigenous people and thousands of women in 250 municipalities in Mexico.

"While a million new users have access to mobile banking, it is estimated that 1.8 million people who are in marginalized sectors of the financial system will be integrated into it in 2015," the institution stated.

The World Bank explained that the use of formal financial products (transactions, deposits, loans, transfers) will replace those informal services that tend to be more expensive (pawnshops and loans between individuals, among others).

"Financial inclusion has always been at the top of Mexico's development agenda," said Gloria M. Grandolini, World Bank Director for Mexico and Colombia. "However, poor financial education, insufficient confidence in credit and savings institutions, and their limited access and lack of diversification of products and services are obstacles to overcome," she added.

The financial inclusion program includes improving the performance of credit and savings institutions through training and technical assistance, database generation and improved financial reporting systems.

According the World Bank, the program will also expand access to financial products and services will increase the user base, generate more options for these services and provide greater financial education.

The agency said that another objective is to improve the performance of National Savings and Financial Services (Bansefi), and to expand the technological capacity of the Mexican institution's staff through increased training.

The 120 entities participating in the program shall be certified by the National Banking and Securities Commission (CNBV) of Mexico, the World Bank said.

The multilateral agency has been working with the Mexican government in the evolution of credit and savings institutions since 2001 through advice on public policy development and investment.

The new project will cost a total of 209.62 million, 100 million of which will be financed by the World Bank, 94.32 million by the Mexican Ministry of Finance and Public Credit (SHCP) and 15.30 million by the beneficiaries.