Space-Based Financial Services and Their Potential for Supporting Displaced Persons

Abstract

This paper outlines a concept for a space-based financial services provider that could be developed in support of the 2030 Agenda for Sustainable Development in Sub-Saharan Africa. This region hosts large populations of displaced persons, which require significant resources and support from humanitarian and development organisations. In addition, many conflict-affected areas in Sub-Saharan Africa, including those that generate displaced persons, feature high numbers of unbanked people. Satellites have increased in number and capabilities due to notable advances in computing, manufacturing, and launch technologies. As such, spaced-based services, including financial services, are proving more affordable and accessible to more people than ever before in history. Coupled with the rising acceptance of cryptocurrencies, spaced-based financial services can be delivered to displaced persons to aid them in their transition from displacement to resettlement, allowing them to carry their assets with them pre, mid, and post-displacement. Humanitarian and development organisations, alongside bilateral and multilateral donors and traditional financial institutions, could prove as the initial supporters of such an initiative oriented toward achieving development results for such vulnerable populations. However, significant legal and compliance challenges, including adherence to anti-money laundering and know your customer banking best practices, pose important questions for the feasibility of a space-based financial services provider.