How Firms are Responding and Adapting During COVID-19 and Recovery OPPORTUNITIES FOR ACCELERATED INCLUSION IN EMERGING MARKETS About IFC IFC—a member of the World Bank Group—is the largest global development institution focused on the private sector in emerging markets. We work in more than 100 countries, using our capital, expertise, and influence to create markets and opportunities in developing countries. In fiscal year 2020, we invested $22 billion in private companies and financial institutions in developing countries, leveraging the power of the private sector to end extreme poverty and boost shared prosperity. For more information, visit www.ifc.org. © International Finance Corporation. First printing, March 2021. Some rights reserved. 2121 Pennsylvania Avenue, N.W. Washington, D.C. 20433 www.ifc.org/thoughtleadership The material in this work is copyrighted. Copying and/or transmitting portions or all of this work without permission may be a violation of applicable law. 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Acknowledgments The authors would like to thank the following colleagues for their review and suggestions: Roberto G. Aiello (Inter-American Development Bank); Bianca Bianchi Alves (World Bank); Ugo Amoretti (IFC); Pedro Antmann (World Bank); Pierre Audinet (World Bank); Gabriela Elizondo Azuela (World Bank); Sudeshna Banerjee (World Bank); Ridwan Bolaji Bello (IFC); Affouda Leon Biaou (World Bank); Bettina W. Boekle (IFC); Michel Botzung (IFC); Karima Chaisaengchan (IFC); Ozan Cakmak (IFC); Laurence W. Carter (IFC); Guangzhe Chen (World Bank); German Cufre (IFC); Richard Damania (World Bank); Victoria Hilda Rigby Delmon (IFC); Mark Dimmer (IFC); Franz R. Drees-Gross (World Bank); Gailius J. Draugelis (World Bank); Adriana Maria Eftimie (IFC); Pablo Fajnzylber (World Bank); Imad Fakhoury (World Bank); Issa Faye (IFC); Vivien Foster (World Bank); Stephanie Gill (World Bank); Franz Gerner (World Bank); John Gregory Graham (IFC); Katrin Greisberger (IFC); Mona Haddad (IFC); Kurt Hagemann (IFC); Shabnam Hameed (IFC); Youngki Hong (IFC); Georges Vivien Houngbonon (IFC); Fatouma Toure Ibrahima (World Bank); Ferdinand van Ingen (IFC); Tooraj Jamasb (Copenhagen Business School); Anne Njambi Kabugi (IFC); Hassan Kaleem (IFC); Joanna Kata-Blackman (IFC); Heather Mae Kipnis (IFC); Henriette Kolb (IFC); Joel Kolker (World Bank); Rebecca Konrad (IFC); Kartick Kumar (IFC); Nuru Lama (IFC); Giima Mabel Lavaly (IFC); Olivier Lavinal (IFC); Johanna Lincoln (IFC); Patrick J. Leahy (IFC); Sebnem Erol Madan (World Bank); Hemant Mandal (IFC); Dina Manitra (IFC); Gautam Vishram Mehta (IFC); Kathleen Mignano (IFC); Iuliia Mironova (IFC); Getrude Etendi Misango (IFC); Lucio Monari (World Bank); Sephooko Ignatius Motelle (IFC); Emelly Mutambatsere (IFC); Andrew Myburgh (IFC); Oksana Nagayets (IFC); Bassem Abou Nehme (IFC); Diep Nguyen-van Houtte (IFC); Tania Mohd Nor (IFC); Denise Odaro (IFC); Audrey (Achonu) Omotayo (IFC); Sheoli Pargal (World Bank); Anouk Pechevy (IFC); Nicolas Peltier (World Bank); Bjorn Philipp (World Bank); Rogerio G. Pilotto (IFC); Rebecca Post (IFC); Riccardo Puliti (World Bank); Stefan Rajaonarivo (IFC); Alexa Roscoe (IFC); Carlo Maria Rossotto (IFC); Dana Rysankova (World Bank); Edgar Saravia IFC); Ashok Sarkar (World Bank); Shino Saruta (IFC); Olaf Schmidt (IFC); Bipul Singh (World Bank); Aicha Sow (IFC); Simon J. Stolp (World Bank); Andre Dybvikstrand Straaboe (IFC); Priyanka Tayal (IFC); Carol Marina Tojeiro (IFC); Ian Twinn (IFC); Maria Vagliasindi (World Bank); Weiyi Wang (IFC); Fan Zhang (World Bank); Christian Zeballos (IFC); Jun Zhang (IFC) Contributors Wale Ayeni, Huai Fong Chew, Peter Cook, Ali Ufuk Demirci, Issa Faye, Neha Grover, Edward Hsu, Hans Peter Lankes, Valerie Laxton, Ketevan Liparteliani, Jennifer McLeod Petrini, Xiaomin Mou, Anthony Mwangi Njoroge, Beniamino Savonitto, Ruchira Shukla, Hoi Ying So, William Sonneborn, Alexa Roscoe, Carlo Maria Rossotto, Priyanka Verma, Nicholas Vickery, David Wilton Content Advisors Economics and Private Sector Development | Neil Gregory, Thomas Rehermann, Djeneba Doumbia, Davide Strusani, Georges Vivien Houngbonon Disruptive Technologies and Funds | Lana Graf Partnerships, Communications and Outreach | Tom Kerr, Rebecca Post, Kelly Suzanne Alderson, Nadine Shamounki Ghannam, Nicola Vesco Project Team Project Manager | Thomas Rehermann Editors | Matt Benjamin, Ann Bishop, David Lawrence Research Assistants | Adyasha Mohanty, Wen Kang Chow, Fatoumata Sanyang, Maud Schmitt Composition and Design | Rikki Campbell Ogden About the Authors STEFAN APFALTER, Senior Evaluation Officer, KATHLEEN MIGNANO, Operations Officer, Gender Country Economics and Engagement, Economics and Economic Inclusion Group, Economics and and Private Sector Development, IFC. (Chapter 7) Private Sector Development, IFC. (Chapter 1) SARAH EBRAHIMI, Consultant, Women’s IBRAHIM NANA, Consultant and African Research Insurance Program, Gender and Economic Inclusion Fellow, Sector Economics and Development Group, IFC. (Chapter 10) Impact—Financial Institutions Group, Economics and Private Sector Development, IFC. (Chapter 8) FRAGILE AND CONFLICT SITUATIONS (FCS) / INTERNATIONAL DEVELOPMENT RUDABA NASIR, Operations Officer, Gender & ASSOCIATION (IDA) COORDINATION UNIT, Economic Inclusion Group, Economics and Private IFC, in collaboration with FCS AFRICA, AFRICA Sector Development, IFC. (Chapter 11) REGION, IFC (Chapter 2) SOPHIE PEETERS, Financial Analyst, Treasury ALEXIS GEANEOTES, Operations Officer, Gender Market Operations, IFC. (Chapter 4) and Economic Inclusion Group, Economics and MAUD SCHMITT, Research Assistant, Thought Private Sector Development, IFC. (Chapter 1) Leadership, Economist and Private Sector ANITA GURGEL, Consultant, Gender & Economic Development, IFC. (Chapter 4) Inclusion Group, Economics and Private Sector PRAPTI SHERCHAN, Operations Officer, Women’s Development, IFC. (Chapter 11) Insurance Program, Gender and Economic Inclusion SHABNAM HAMEED, Operations Officer, Gender Group, IFC. (Chapter 10) & Economic Inclusion Group, Economics and Private SUSAN STARNES, Lead Global Trade and Sector Development, IFC. (Chapter 12) Commodity Finance Strategist, Sector Economics SUSAN HOLLIDAY, Senior Advisor, Insurance, and Development Impact—Financial Institutions Financial Institutions Group, IFC. (Chapter 10) Group, Economics and Private Sector Development, IFC. (Chapter 8) MARTIN HOMMES, Operations Officer, Financial Institutions Group—Advisory Services, Latin America DAVIDE STRUSANI, Principal Economist, Telecom, and the Caribbean, IFC. (Chapter 7) Media, Technology, Venture Capital and Funds, Sector Economics and Development Impact, GEORGES VIVIEN HOUNGBONON, Economist, Economics and Private Sector Development, IFC. Telecom, Media, Technology, Venture Capital and (Chapters 3 5, 6) Funds, Sector Economics and Development Impact,