Download or read book Transforming Microfinance Institutions written by Joanna Ledgerwood and published by World Bank Publications. This book was released on 2006-08-30 with total page 570 pages. Available in PDF, EPUB and Kindle. Book excerpt: In response to a clear need by low-income people to gain access to the full range of financial services including savings, a growing number of microfinance NGOs are seeking guidelines to transform from credit-focused microfinance organizations to regulated deposit-taking financial intermediaries. In response to this trend, this book presents a practical 'how-to' manual for MFIs to develop the capacity to become licensed and regulated to mobilize deposits from the public. 'Transforming Microfinance Institutions' provides guidelines for regulators to license and regulate microfinance providers, and for transforming MFIs to meet the demands of two major new stakeholders regulators and shareholders. As such, it focuses on developing the capacity of NGO MFIs to mobilize and intermediate voluntary savings. Drawing from worldwide experience, it outlines how to manage the transformation process and address major strategic and operational issues inherent in transformation including competitive positioning, business planning, accessing capital and shareholders, and how to 'transform' the MFI's human resources, financial management, MIS, internal controls, and branch operations. Case studies then provide examples of developing a new regulatory tier for microfinance, and how a Ugandan NGO transformed to become a licensed financial intermediary. This book will be invaluable to regulators and microfinance NGOs contemplating institutional transformation and will be of tremendous use to donors and technical support agencies supporting MFIs in their transformation.
Download or read book Transforming Microfinance Institutions in the Arab World written by International Finance Corporation and published by . This book was released on 2018 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: Transformations in the microfinance industry have been widespread practice globally since the late 1990s. Currently, transformed MFIs transact the bulk of all microfinance operations, measured by number of clients as well as portfolio size. However, the few transformations that have taken place in the Arab World have mostly involved transforming international microcredit programs into registered institutions, with many of them remaining unregulated. The reasons for this are mostly related to the broader enabling environment and to legal frameworks and regulations that include an increase in taxes owed under the new legal status. In addition, concerns of mission drift, long central to discussions of transformation, have led to skepticism of the process altogether. Lastly, MFI employees may have concerns about the transformation process, ranging from their personal beliefs to uncertainty about their future under a new for-profit company. In recent years, however, regulations in some Arab countries have changed, and other barriers to transformation, such as concerns about mission drift and doubts among staff, have been handled with greater delicacy and success. Accordingly, the time has come to take a closer look at what this process might entail. This paper presents the Arab context, and discusses the benefits, costs, challenges, and opportunities associated with transforming a not-for-profit into a for-profit entity - not necessarily a bank. While what has worked elsewhere may not necessarily be applicable in the Arab World, the body of evidence is quite clear that institutional growth is sustained by a variety of funding channels, and that the opportunity to grow and better serve the underserved has encouraged many MFIs in the Arab World to reconsider transformation. This study also presents the results of a survey conducted jointly by IFC and Sanabel to better understand where MFIs in the Arab World currently stand in the transformation process. The survey was sent by email to a select group of MFIs that are either the leading MFIs in their countries or have already expressed interest in transformation. It was composed of two sections. The first collected background information, particularly about their current legal structure and plans to transform. The second was addressed to MFIs that have already transformed or are considering transformation, to understand how they view the benefits and challenges. As a part of this undertaking, the survey also asked questions about the MFIs' interest in allowing staff to participate in the transformed entity's equity by setting up an employee stock option plan (ESOP). This is a form of staff compensation in which select staff are awarded shares in the share-capital company that employs them. A few MFIs in other regions have implemented ESOPs during transformation to address staff concerns, reward demanding work, and align individuals' goals with those of the institution. The survey sought to measure interest in ESOPs among respondents, as well as ask how they view the benefits, challenges, and appropriate terms of ESOPs. For MFIs wishing to explore this concept more deeply, Annex I of this paper addresses ways to implement ESOPs, and presents examples of MFIs that have elected to offer them.
Download or read book Micro Success Story written by Nimal A. Fernando and published by Asian Development Bank. This book was released on 2004 with total page 48 pages. Available in PDF, EPUB and Kindle. Book excerpt: The study examines the ownership structure, expectations, and achievements of microfinance institutions that have been established by transforming nongovernment organizations (NGOs) in Africa, Asia, and Latin America. Although the number of such institutions is low, they have had a catalytic effect and major influence on the microfinance industry.
Download or read book Transforming Microfinance Institutions written by Nicole Tode and published by Ibidem Press. This book was released on 2013 with total page 148 pages. Available in PDF, EPUB and Kindle. Book excerpt: Nicole Tode evaluates the possible institutional development of Moroccan microcredit associations which intend to transform themselves from the status of non-governmental institutions (NGOs) into regulated microfinance banks. Such a transformation might increase their asset base, number of clients, average loan balance, and outreach, thus having a positive impact on microcredits in Morocco. The study, for which a comprehensive number of data sets from the microfinance information exchange (MIX) database was meticulously analyzed, addresses everybody dealing with or interested in the challenging situation NGO microfinance institutions find themselves in when planning to become commercial banks.
Download or read book Transforming Microfinance written by Makonen Getu and published by Regnum Resources for Mission. This book was released on 2014 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Microfinance Handbook written by Joanna Ledgerwood and published by World Bank Publications. This book was released on 1998-12-01 with total page 304 pages. Available in PDF, EPUB and Kindle. Book excerpt: The purpose of the 'Microfinance Handbook' is to bring together in a single source guiding principles and tools that will promote sustainable microfinance and create viable institutions.
Download or read book Institutional Metamorphosis written by Anita Campion and published by . This book was released on 1999 with total page 124 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book The Commercialization of Microfinance written by Deborah Drake and published by . This book was released on 2002 with total page 344 pages. Available in PDF, EPUB and Kindle. Book excerpt: * Addresses key issues related to bringing microfinance into the commercial realm * Written by prominent practitioners and scholars from a variety of organizations While many microfinance organizations started as NGOs, there is now a growing movement for them to transform into regulated, for-profit entities. Concurrently, commercial banks, credit unions, and specialized investors are also entering the market. The Commercialization of Microfinance synthesizes case studies from Latin America and beyond, delving into the trends and challenges of converting microfinance institutions into commercial entities. Prepared by ACCION, this book will be essential reading for anyone interested in understanding how the world of microfinance is changing, and how that world affects the broader processes of development.
Download or read book Financial Inclusion and Livelihood Transformation written by Srimoyee Datta and published by Springer Nature. This book was released on 2023-08-28 with total page 215 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book explores the role and effect of Microfinance Institutions (MFIs) with different dimensions. It is being supported with strong empirical evidence into various parameters of MFIs directed towards inclusive finance and the transformation journey of livelihoods of its beneficiaries. It also incorporates empirical evidence with the perception of both beneficiaries and non-beneficiaries. Starting its journey toward the path of comprehending how MFIs make their footprint among the excluded population in the selected areas, it incorporates the different outcomes of MFI lending like credit utilisation patterns, income generation, and employability. As financial stability helps to break out the vicious cycle of poverty, this book emphasises the self-dependent element for the beneficiaries and their households. It addresses the important issue of the female counterparts in society. It shows how the MFIs work actively to generate female empowerment from multiple dimensions among the selected communities. It addresses key issues to consider for inclusive policy formulation, especially for backward communities in the backward areas and gives a realistic scenario of the MFI activities, their interactions with the respondents, the various outcomes, and areas for further developments, etc. This book is beneficial for academicians, researchers, and policymakers.
Download or read book Microfinance Institutions written by R. Mersland and published by Springer. This book was released on 2015-12-11 with total page 329 pages. Available in PDF, EPUB and Kindle. Book excerpt: Research on MFI performance is still in its infancy. MFIs are hybrid organizations with dual objectives. Performance studies in microfinance are therefore less straightforward compared to performance studies in traditional banking research. This book contains new MFI performance research by top scholars from across the globe.
Download or read book Transforming Microfinance written by Makonen Getu and published by . This book was released on 2013 with total page 289 pages. Available in PDF, EPUB and Kindle. Book excerpt: A unique book which chronicles the revealing 'story' of microfinance, captures the rich diversity of the industry and explores the invaluable contribution of the Christian faith to this vibrant and fast-growing multi-billion dollar global business.
Download or read book NGO MFI Transformations written by Kate Lauer and published by . This book was released on 2012 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: More and more nonprofit microfinance institutions (NGO MFIs) are transforming into for profit companies, including regulated financial institutions. Transformations are typically driven by one or more of the following factors: an MFI's need for capital, its desire to offer services that may be limited to regulated financial institutions (such as savings), and new legislation or regulation requiring or permitting transformation.
Download or read book Financial Inclusion in Emerging Markets written by Ananda S. and published by Springer Nature. This book was released on 2021-10-04 with total page 343 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book discusses ideas for stakeholders to develop strategies to access and use financial products and services such as deposits, loans, and fund transfer mechanism, insurance, payment services, and intermediaries, distribution channels at economical prices in order to cater to the needs of the poor and underprivileged people. Financial inclusion ensures ease of access, availability, and usage of the financial products and services to all the sections of the society. The book will help in recognizing the role of financial inclusion as one of the main drivers in reducing income inequality and thus supporting sustainable economic growth of the countries, especially of an emerging economy. The book provides conceptual and practical ideas from the practitioners, best practices from the experts, and empirical views from the researchers on the best practices and how to mitigate the challenges and issues plaguing the development of the financial inclusion.
Download or read book From Microfinance to Inclusive Finance written by R. H. Schmidt and published by John Wiley & Sons. This book was released on 2016-09-19 with total page 392 pages. Available in PDF, EPUB and Kindle. Book excerpt: Once praised as a panacea to overcome poverty microfinance has had to face harsh criticism because of painful failures and unfulfilled expectations. Still many people in particular in rural regions do not have any access to formal financial services, many microfinance institutions are weak, and others rather exploit their clients driving them into over indebtedness than helping them out of poverty. What should microfinance achieve? Can it help to build up inclusive financial systems allowing access to basic financial services for everybody? The historic templates for this book are the German Sparkassen and Cooperative banks that have a strong track record of development and growth spanning over 200 years. For obvious reasons their results cannot be transferred directly into specific solution options to today's challenges in developing countries. Nevertheless the coming into existence of Sparkassen and Cooperative banks can well be seen as part of a period of revolutionary developments in the European economic and social landscape, which can be viewed as analogous to the transformation that emerging economies are undergoing today. While Europe faced dramatically changing living conditions during the period of industrialization these newly creatd banks made change possible by unequivocally including the lower class population in the transformationby providing access to savings and loans. And it is this is parallel - even in the face of the many differences - which is why their development and success deserves careful consideration today. The authors' approach differsfrom other explorations by specifically adopting an interdisciplinary strategy. They take into account past developments as well as current global ones from a historical, social science and economic point of view. Analysis and the interpretation of data is supported by case studies to illustrate their considerations. The authors identify general parameters both for failure and for success and also indicate how to optimize existing potentials - both for institutions and policy makers. As a result of this interdisciplinary work the authors advance an inclusive stylised facts based model. The will to build up institutions, to adhere to corporate social responsibility and creating conducive legal frameworks form the basic conditions for success. More specifically, the guiding principles of these successful business models are a fair savings and credit policy, the promotion of capital transfers without reference to class and gender, a focus on business activities in a well defined region, decentralized organizational structures combined with national networks which avoid regional capital drains and the securing of economies of scale and scope. Llast but not least is the centrality of objectives beyond that of the sheer maximisation of profits.
Download or read book Making Microfinance Work written by Craig Farren Churchill and published by International Labour Organization. This book was released on 2006 with total page 452 pages. Available in PDF, EPUB and Kindle. Book excerpt: This training manual provides an overview of the key management principles necessary to optimize the services of microfinance institutions (MFIs) and brings together useful lessons from numerous MFIs worldwide to help managers strengthen the performance of their unit, branch or institution.Either used alone, or as part of a management training course, Making Microfinance Work offers various tools and advice. The markets and marketing of MFIs are examined and looks at the different ways in which managers can communicate the value of their products and services. It introduces effective methods for enhancing efficiency and productivity which minimize the trade-offs MFIs invariably face as they try to provide services over the long term.The topic of managing risks is also covered. This manual offers strategies to prevent risk from occurring and, if it does occur, explains how to rectify the situation. Practical techniques for allocating costs and determining prices are also highlighted, as well as the importance of plans, budgets and reports. Illustrations and case studies are used to assist managers in applying the concepts outlined in the text. An extensive list of additional reading and useful Internet resources is also provided
Download or read book Transforming Economies Through Microfinance in Developing Nations written by Alhassan, Yahaya and published by IGI Global. This book was released on 2023-01-20 with total page 288 pages. Available in PDF, EPUB and Kindle. Book excerpt: Following the positive impact of microfinance on poverty reduction, women empowerment, and microenterprise development in some countries in Asia and Africa, a huge amount of time has been devoted by researchers to understanding how this concept can be used as a catalyst for transforming and sustaining the economies of developing and emerging countries. Though there are a few books on the role of microfinance in reducing poverty in developing countries across world, there is no specific book that explores the role of microfinance in transforming and sustaining economies of developing and emerging countries. Transforming Economies Through Microfinance in Developing Nations seeks to explore how the provision of microfinance to individuals and groups can contribute to the economic transformation and sustainability of the economies of developing and emerging countries. Covering key topics such as climate change, entrepreneurship, and rural development, this reference work is ideal for government officials, entrepreneurs, policymakers, researchers, academicians, practitioners, scholars, instructors, and students.
Download or read book Due Diligence written by David Roodman and published by CGD Books. This book was released on 2012 with total page 388 pages. Available in PDF, EPUB and Kindle. Book excerpt: The idea that small loans can help poor families build businesses and exit poverty has blossomed into a global movement. The concept has captured the public imagination, drawn in billions of dollars, reached millions of customers, and garnered a Nobel Prize. Radical in its suggestion that the poor are creditworthy and conservative in its insistence on individual accountability, the idea has expanded beyond credit into savings, insurance, and money transfers, earning the name microfinance. But is it the boon so many think it is? Readers of David Roodman's openbook blog will immediately recognize his thorough, straightforward, and trenchant analysis. Due Diligence, written entirely in public with input from readers, probes the truth about microfinance to guide governments, foundations, investors, and private citizens who support financial services for poor people. In particular, it explains the need to deemphasize microcredit in favor of other financial services for the poor.
