IDB, IDB Lab & Beat to Promote Voluntary Savings for App Drivers in the Region

• Programs within the alliance include automatic savings plans and financial education 

The Inter-American Development Bank (IDB) along with its innovation lab, IDB Lab, and the mobility app Beat, are working together to promote and provide access to voluntary savings tools for driver users of the app. The initiative, which includes pilot programs in Colombia, Mexico, and Peru, is testing solutions to improve the financial situation of workers currently excluded from social protection benefits. These pilots derive from an alliance that took place in 2021 and are based on the results of a joint study about drivers’ preferences.  

Technological adoption, propelled by the social distancing measures imposed by the pandemic, and mobility apps such as Beat, have made it possible for many people to stay afloat and generate income in the last two years. Similarly, they have elicited new approaches to traditional social security systems for the access for those working under these new types of employment.  

In Colombia, the pilot promotes saving through Coink, a local fintech company that provides a digital platform to strengthen drivers' responsible spending and saving habits. The program will test an automatic savings plan that redirects a percentage of Beat Colombia drivers’ weekly earnings.  

In Mexico, driver users can participate in a savings program supported by the National Commission of the Retirement Savings System (Consar). The tool will allow them to make voluntary automatic contributions to their retirement funds accounts (AFORE accounts) in the short term. Additionally, with the support of the Mexican Association of Retirement Fund Administrators (AMAFORE), drivers will receive information about the use of other tools such as the AforeMóvil app through finance and social security workshops and trainings based on the Ahorra que Puedes (Save, you can do it) course. 

In Peru, the initiative will promote savings through Alcancía Virtual, a benefit included in the Interbank APP application that allows for simple, secure automatic savings. Moreover, drivers will have the chance to define saving categories for personal projects such as housing and studies and will be able to use the financial education platform Aprende más (Learn more). 

“We identified that Beat driver users not only possess a higher level of financial education and culture than their countries’ average, but they are also interested in saving for emergencies and doing it through services provided by their platform,” explained Laura Ripani, chief of the Labor Markets Division at the Inter-American Development Bank.  

“The interventions will provide us with valuable information in the design of bigger scale mechanisms to aid the saving habits of more workers in the region with similar challenges and characteristics to these drivers,” said Oliver Azuara, senior economist at IDB’s Labor Markets Division. 

José Treho Hebrero, regional director of Public Policy at Beat, said “from the beginning, we have generated solutions directed at the wellbeing of our communities. This alliance is a tool that we offer to our user drivers so they can access a future with more financial opportunities while they continue to enjoy the flexibility that comes with driving with Beat. We will carry on collaborating with the IDB and work on building synergies with other institutions for the benefit of the cities and communities where we operate,”