Global displacement has reached critical levels, with 117.2 million people forcibly displaced or stateless in 2023, according to UNHCR. Displaced populations face significant barriers to financial inclusion due to damaged infrastructure, limited financial literacy, and lack of formal identification. These challenges prevent them from accessing essential financial services, further hindering their ability to rebuild lives and businesses. In emerging economies, where MSMEs contribute 78% of employment, financial exclusion of displaced entrepreneurs undermines local economies and social stability, exacerbating integration challenges.
Emerging technologies like blockchain and digital assets present potential solutions to these challenges. Distributed ledger technology can offer affordable, reliable financial services by bypassing outdated infrastructures. Self-hosted digital wallets provide secure cross-border access to assets, supporting displaced individuals and MSMEs during crises. However, barriers such as regulatory uncertainty, limited financial literacy, and insufficient connectivity remain. Public-private partnerships are vital in addressing these issues, ensuring broader adoption of blockchain solutions to promote economic security and inclusion for displaced communities globally. These tools represent a critical step toward financial empowerment and stability for vulnerable populations.
