The following text is re-posted with permission from Absolute Portfolio Management.
The microfinance industry has taken big steps forward in the last couple of years to better serve their clients. The Client Protection Principles for microfinance and the accompanying Smart Campaign have been introduced to protect clients, businesses, and the industry as a whole.
Austrian based asset manager Absolute Portfolio Management (APM) offers two “Dual Return – Vision Microfinance” funds, endorses the Smart Campaign and has incorporated the client protection principles into their investment criteria and due diligence. However, APM wanted to double-check how the Principles are employed at the microfinance institutions that the Vision Microfinance funds invest in. Continue reading →
National Microfinance Bank (NMB), a microfinance institution backed by the government of Tanzania, is attempting to increase deposit levels by offering ten-percent interest rates to certain accountholders. Continue reading →
Indian microfinance institution (MFI) Basix, also known as Bhartiya Samruddhi Finance Limited, now reportedly has INR 124 crore (USD 22.37 million) in assets compared to the INR 1,808 crore (USD 326 million) it in September 2010. The number of borrowers from Basix has fallen to 200,000 from 1.74 million during same time period. Continue reading →
Bangladesh Finance Minister A M A Muhith reportedly has urged microfinance institutions (MFIs) to adjust their management structures to ensure that the organizations do not destabilize due to the death of a founder. Continue reading →
The Bank of Ghana (BoG), Ghana’s central bank authority, reportedly is expected to halt the operations of four unlicensed microfinance institutions (MFIs): MEDLORM Microfinance Limited, African Guarantee Trust, Abbey Cash Microfinance Limited and Swift Financial Services. Continue reading →
The Nigerian Deposit Insurance Corporation (NDIC), an agency of the federal government of Nigeria, reportedly has launched an investigation into the NGN 7 billion (USD 44.4 million) owed to the 103 bankrupt microfinance banks (MFBs) by their managers and directors. Continue reading →
In a recent story on New Economic Perspectives, a website offering policy advice and economic analysis, William K Black comments on David Roodman’s article in the Washington Post, “Microcredit doesn’t end poverty, despite all the hype,” which was published on March 11, 2012. Continue reading →
French NGO Groupe de Recherche et d’Echanges Technologies (GRET), funded by the French Government’s Agence Francaise de Developpement, is piloting the Health Insurance Project (HIP), a program in Cambodia aimed at funding basic health care services for rural garment workers, reducing their vulnerability to unforeseen risks. Continue reading →
Small Industries Development Bank of India (SIDBI), a governmental loan wholesaler to microfinance institutions (MFIs) in India, has reportedly required that SKS Microfinance Limited (SKS), an Indian MFI, use proceeds of a recent SIDBI loan for on-lending outside of the state of Andhra Pradesh . Continue reading →
Vikram Akula, the founder of Indian for-profit microfinance institution (MFI) SKS Microfinance Limited, reportedly acknowledged that Dr Muhammad Yunus was “right” about the challenges of “bringing private capital into social enterprise.” Continue reading →
The Nigeria Deposit Insurance Corporation (NDIC), an agency of the federal government of Nigeria, has reportedly appointed debt recovery agents (DRAs) for microfinance banks (MFBs) in liquidation to recover “debts owed to the 103 closed MFBs nationwide.” Continue reading →
In India’s Andhra Pradesh state, the government is pushing ahead with 76 criminal cases against employees of Indian microlenders, accusing them of pushing poor debt-ridden residents to suicide. Continue reading →