The Reserve Bank of India has relaxed several guidelines on domestic money transfers.
Category: Regulation
MICROCAPITAL BRIEF: Reserve Bank of India Recommends Against State Government Regulation of Microfinance
The Reserve Bank of India (RBI), India’s central banking authority, recently released a report titled, “Trend and Progress of Banking in India 2010-11,” expressing concern over state governments enacting local legislation to regulate microfinance institutions (MFIs).
MICROCAPITAL BRIEF: Alliance for Financial Inclusion’s Global Policy Forum Concludes with Signing of Maya Declaration on Financial Inclusion
The Alliance for Financial Inclusion (AFI), a Thailand-based network of policymakers that works towards increasing access to financial services for poor people, concluded its Global Policy Forum in Mexico recently with representatives of central banks and financial regulators from developing countries signing the Maya Declaration on Financial Inclusion [1].
MICROCAPITAL BRIEF: Reserve Bank of India (RBI) Introduces New Category of Non-Banking Financial Company (NBFC): NBFC–Microfinance Institution
A recent document published by the Reserve Bank of India (RBI), India’s central banking authority, introduces a standalone category for “non-banking financial company—microfinance institutions” (NBFC-MFIs) as was proposed by the Malegam Committee, an RBI-appointed panel headed by RBI board member YH Malegam.
MICROCAPITAL BRIEF: Fairkampaign Calls for Comments on “Contents of a Fair Microfinance Loan Agreement”
Fairkampaign, an initiative of Dutch nonprofit International Legal Alliances Microjustice for All, has announced a call for comments on the contents of a “fair microfinance loan agreement.”
MICROCAPITAL BRIEF: Indian Finance Ministry Proposes Microfinance Bill Allowing Deposit-Taking, Reserve Bank of India Opposed
The finance ministry in India is drafting a Microfinance Institutions (Development and Regulation) Bill which will allow microfinance institutions (MFIs) in India to collect deposits from self-help groups (SHGs) and SHG members.
MICROFINANCE PAPER WRAP-UP: Microfinance and the Role of Policies and Procedures in Saturated Markets and During Periods of Fast Growth, by Adrian Gonzalez and Emmanuelle Javoy, published by, Microfinance Information Exchange, Planet Rating
Published by the Microfinance Information Exchange & Planet Rating, MicroBanking Bulletin, September 2011, 10 pages, available at: http://www.themix.org/sites/default/files/MBB-%20microfinance%20and%20the%20role%20of%20policies%20and%20procedures%20in%20saturated%20markets_1.pdf
MICROFINANCE EVENT: US Agency for International Development (AID) to Host Seminar, “Sound Expansion of Mobile Financial Services: A Risk Matrix Approach for Developing Enabling Environments”, Washington, DC, USA, October 21, 2011, Available in Person and Online on Microenterprise Learning Information and Knowledge Sharing (microLINKS), Knowledge-Driven International Development (KDID) Portal
Event Name: Sound Expansion of Mobile Financial Services: A Risk Matrix Approach for Developing Enabling Environments
Event Date: October 21, 2011, 9:00am – 10:30am
Event Location: Online or at QED Group LLC, 1250 Eye Street NW, 11th Floor, Washington, DC 20005, USA
MICROCAPITAL BRIEF: Central Bank of Nigeria (CBN) Governor Mallam Sanusi Lamido Calls Islamic Finance “Dynamic and Competitive”
In a recent seminar aimed at promoting awareness of Islamic banking models, Central Bank of Nigeria (CBN) Governor Mallam Sanusi Lamido reportedly predicted that non-interest banking will make a major impact on the Nigerian economy.
MICROCAPITAL BRIEF: Microfinance Institutions in India’s Andhra Pradesh State Seek Government, Commercial Bank Assistance in Restructuring Loans
The Microfinance Institutions Network (MFIN), an association of 39 Indian microlenders, has reportedly approached the government of the Indian state of Andhra Pradesh with a proposal to ease repayment terms for distressed borrowers in return for simplifying government-mandated underwriting procedures.
MICROCAPITAL BRIEF: Supreme Court of India Sends SKS Back to Andhra Pradesh High Court to Challenge Microfinance (Regulation of Moneylending) Act of 2010
SKS Microfinance, an Indian microfinance institution (MFI), recently was directed by the Supreme Court of India, the country’s apex court, to plead its case against the enforcement of the Regulation of Microlending Act of the Indian state of Andhra Pradesh (AP), in front of the AP High Court, the state’s apex court.
MICROCAPITAL BRIEF: Brazilian Insurance Regulator Superintendencia de Seguros Privados (SUSEP) to Release Microinsurance Regulatory Framework
Superintendencia de Seguros Privados (SUSEP), Brazil’s insurance regulator, recently announced that it will release a framework for the regulation of microinsurance by the end of October [1].
MICROCAPITAL BRIEF: Reserve Bank of India Requires Microfinance Institutions to Hold Loans for 9 Months Before Securitizing
The Reserve Bank of India (RBI), India’s central banking authority, has announced that lenders must follow new regulatory standards before securitizing their loans for sale to investors.
MICROCAPITAL BRIEF: Government of Botswana to Stop Facilitating Repayment of Microfinance Loans by Civil Servants
The government of Botswana has announced that it will cease acting as an intermediary between microfinance institutions (MFIs) and civil servants for the collection of microloans through the provision of “deduction-at-source” from public servants’ wages [1].
MICROCAPITAL BRIEF: On Financial Access Initiative Website, Daniel Rozas Highlights Roles of Credit Bureaux, Smart Campaign, Local Regulations to Address Multiple Borrowing in Microfinance
In an article recently published on the website of the US-based Financial Access Initiative, Brussels-based microfinance consultant Daniel Rozas examines multiple borrowing and proposes several ways address the issue.
MICROCAPITAL BRIEF: Kredits Offers Microfinance Institutions “Multi-Jurisdictional Regulatory Compliance Software Solution” in Kazakhstan, Brazil, India, Madagascar
Kredits, a US-based technology provider to microfinance institutions (MFIs), recently announced that it is providing a “multi-jurisdictional regulatory compliance software solution” to unnamed MFI clients in Kazakhstan, Brazil, India and Madagascar. The product is soon to be made available to additional countries in Southeast Asia and Africa [1].
MICROCAPITAL BRIEF: Central Bank of Nigeria Approves New Capital Base Requirements for Microfinance Banks (MFBs), MFBs Await Capital Verification Results
The Central Bank of Nigeria (CBN), Nigeria’s central banking authority, has approved the new capital base requirements for microfinance banks (MFBs) as per the expectations reported in the MicroCapital story dated June 28.
MICROCAPITAL BRIEF: State Bank of Pakistan (SBP) Reduces Provision Requirements for Microfinance Loans
The State Bank of Pakistan (SBP) has withdrawn general provision requirements for loans extended by microfinance banks (MFB) that are secured against collateral.