Leveraging finance for sustainable solutions to child labour in Côte d’Ivoire
This article highlights the outcomes of a recent workshop organized by the ILO and APIF-CI, which brought together financial sector stakeholders in Côte d’Ivoire to address child labour through inclusive financial strategies. The event emphasized the importance of sustainable financial solutions, such as access to credit and community savings, to reduce economic pressures on vulnerable families. It also showcased Côte d’Ivoire’s progress in tackling child labour and the need for strengthened partnerships to create ethical and inclusive economic opportunities.
5 December 2024
Abidjan, Cote d'Ivoire (ILO News) - A recent workshop titled “Awareness-raising workshop for financial sector stakeholders on child labour” brought together financial sector stakeholders in Côte d’Ivoire to address the persistent challenge of child labour. The event, organized by the International Labour Organization (ILO) in collaboration with the Agence pour la Promotion de l’Inclusion Financière (APIF-CI), underscored the critical role of financial inclusion in reducing economic pressures that drive families to rely on child labour.
Participants explored innovative financial solutions, such as access to affordable credits, community savings schemes, and investments in sustainable livelihoods, as tools to combat child labour, particularly in high-risk sectors like agriculture, artisanal mining, and domestic work.
Child labour and financial inclusion are interconnected in ways that can drive either progress or unintended harm:
- Financial inclusion has the potential to eradicate child labour by improving household incomes, enabling parents to replace children’s earnings with alternative sources. It can also support education financing and enhance resilience against economic shocks, reducing the likelihood of households resorting to child labour during crises. Financial institutions could also be a channel to sensitise on child labour risk.
- However, poorly designed financial products can exacerbate child labour, as seen in certain cases like the Philippines, where financial obligations on parents inadvertently increased reliance on children’s work.
- Financial institutions face significant risks if their clients engage in child labour, including reputational damage and financial losses if businesses flagged for child labour become unable to repay loans. This underscores the importance of due diligence for financial service providers, who must carefully assess and address child labour risks in their client relationships.
The workshop also highlighted Côte d’Ivoire’s progress in implementing its National Action Plan against child labour and initiatives like the Child Labour Monitoring and Remediation System (SOSTECI). Discussions emphasized the need for strengthened partnerships between financial institutions, government agencies, and civil society to create sustainable alternatives for vulnerable families.
The event concluded with a renewed commitment from financial actors to align their services with ethical and inclusive practices, contributing to a future where every child can thrive free from exploitative labour.