Watch Mario Nava’s Speech: Social Finance at the Heart of Europe’s Future
At the opening of Social Finance Vibe 2025, Mario Nava, Director General for Employment, Social Affairs, and Inclusion at the European Commission, delivered a keynote speech that set a visionary tone for the event. His address underscored the pivotal role of social finance and microfinance in shaping a resilient, inclusive, and competitive Europe.
Navigating Change: Europe’s Shifting Priorities
Nava began by acknowledging the rapidly changing geopolitical landscape and its impact on European priorities. He emphasized that, amid uncertainty, the greatest asset Europe possesses is its people − their skills, adaptability, and potential. Citing the Draghi Report and the Competitiveness Compass, he described skills as a “horizontal enabler” for Europe’s progress and competitiveness.
The Social Economy: A Foundation for Growth
Highlighting the strong link between microfinance and the social economy, Nava argued that these sectors create the right environment for people to thrive. He reaffirmed the European Commission’s commitment to the social agenda, especially in times of geopolitical tension, and pointed to the European Pillar of Social Rights as a guiding framework.
Three Pillars for a Stronger Europe
Nava outlined three core objectives from the European Pillar of Social Rights:
- Increasing Employment: Achieving a 78% employment rate among people aged 20-64 by 2030, with several countries already surpassing 80%. He noted that the remaining gap includes groups well-served by microfinance, such as women, migrants and people with disabilities.
- Reducing Poverty: With 93 million Europeans at risk of poverty or social exclusion, the goal is to reduce this number by 15 million by 2030 and to work towards eradicating poverty by 2050 − echoing the vision of “zero emissions, zero poverty, zero unemployment” proposed by Nobel Laureate Muhammad Yunus in “Yunus’s 3 Zeros Revolution: A New Economic Paradigm for a Just and Sustainable World“
- Improving Skills: The aim is for 60% of adults to participate in training each year, recognizing the crucial role of non-financial services and training provided by microfinance institutions.
The Role of Microfinance: Demonstrating Impact
Nava encouraged the sector to clearly demonstrate its impact, not just to the Commission but to the public and policymakers. “You don’t need to preach to the converted,” he said, “but you need to convince everyone else with compelling evidence and big numbers.” He stressed the importance of impact measurement and showcasing results to ensure continued support and funding.
Funding and Flexibility: The New MFF
Discussing the new Multiannual Financial Framework (MFF), Nava highlighted increased flexibility in funding, with a focus on national and regional partnership plans that promote equal opportunities, social inclusion and poverty reduction. He pointed to the European Social Fund (ESF and ESF Plus) as key instruments supporting social and employment policies and cited real-world examples of their impact, such as food assistance in France and housing projects in Slovakia.
Supporting Small MFIs and Candidate Countries
Addressing concerns about support for smaller microfinance institutions (MFIs), Nava assured that the Commission is committed to ensuring access for small and non-profit organizations. He also recognized the importance of the European Code of Good Conduct as a “brand” for the sector and expressed willingness to advocate for its adoption in candidate countries.
Advice for the Sector: Stay Relevant and Resilient
In closing, Nava offered advice to the social finance community: “To be resilient and relevant, you must be in the mainstream of action and measurable in your results”. He urged organizations to align their work with the three targets of the European Pillar of Social Rights − employment, poverty reduction and skills development and to document and communicate their contributions.
Mario Nava’s speech was a call to action for the social finance sector: to embrace change, measure impact and remain central to Europe’s social and economic transformation.