MicroFinance Transparency (MFTransparency), an NGO based in the United States that publishes information on microcredit products and pricing, has reported to MicroCapital that Wasasa Microfinance, Poverty Eradication and Community Empowerment (PEACE), Metemamen, Harbu and Digaf Microfinance submitted microloan pricing data to MFTransparency as part of its “Transparent Pricing Initiative in Ethiopia”. Thirteen additional Ethiopian MFIs have begun the process of submitting their data to MFTransparency.

MFTransparency launched the Ethiopian initiative at the fifth African Microfinance Conference in Addis Ababa in September. The presentations at that event covered issues related to transparency and consumer protection.

MFTransparency, which was founded in 2008, has collected data from thirty countries on four continents, including seventeen countries in Sub-Saharan Africa.

By Ariana Malushi, Research Associate

About MFTransparency: MFTransparency is a US-based nongovernmental organization (NGO) that was launched in July 2008 to provide information on microcredit products and their prices. MFTransparency collects data on the interest and fees charged on microfinance loan products in order to calculate and publicize the effective interest rates on those loans. According to its website, from the launch of MFTransparency to 2011, 874 industry stakeholders have endorsed its efforts. As of August 2011, data from microfinance products in nine countries are available on the MFTransparency website, and microlenders from sixteen additional countries are participating in the data collection stage.

Sources and Additional Resources:

MFTransparency: “First Five Microfinance Institutions in Ethiopia Submit Pricing Data to MFTransparency” http://www.mftransparency.org/pages/first-five-microfinance-institutions-in-ethiopia-submit-pricing-data-to-mftransparency/

MicroCapital.org Story, September 8, 2011: “MICROCAPITAL BRIEF: MFTransparency, Association of Ethiopian Microfinance Institutions (AEMFI) to Launch ‘Transparent Pricing Initiative in Ethiopia’ with Funding from MicroNed”
http://www.microcapital.org/microcapital-brief-mftransparency-association-of-ethiopian-microfinance-institutions-aemfi-to-launch-“transparent-pricing-initiative-in-ethiopia”-with-funding-from-microned/
MicroCapital.org Story, August 31, 2011: “MICROCAPITAL BRIEF: Chuck Waterfield of MFTransparency Explores Ideas to Make Microfinance Prices More Transparent”
http://www.microcapital.org/microcapital-brief-chuck-waterfield-of-mftransparency-explores-ideas-to-make-microfinance-prices-more-transparent/

MicroCapital.org Event, October 4, 2011: “MICROFINANCE EVENT: MFTransparency, Agence Française de Développement, UN Capital Development Fund, Luxembourg Cooperation, African Microfinance Network, CGAP (Consultative Group to Assist the Poor) to Host African Microfinance Pricing Transparency Leadership Forum, October 5-7, 2011 in Nairobi, Kenya”
http://www.microcapital.org/microfinance-event-mftransparency-agence-francaise-de-developpement-un-capital-development-fund-luxembourg-cooperation-african-microfinance-network-afmin-cgap-consultative-group-to-assist-the/

MicroCapital Universe, MFTransparency http://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=MFTransparency

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