PAPER WRAP-UP: How Many MFIs and Borrowers Exist?

Originally published by Microfinance Information eXchange (MIX), August 2007, updated September 2007, available at http://www.themix.org/publication_detail.aspx?publicationID=27

In this report, the Microfinance Information eXchange combines data from their own sources (MIX Market, MicroBanking Bulletin), the MicroCredit Summit Campaign (MCS) and Inter-American Development Bank (IDB) to provide detailed information on the number of microfinance institutions (MFIs) and the number of microfinance borrowers in developing markets.

As the report’s disclaimer advises, however, these numbers should not be considered accurate representations of their global figures. Not all MFIs and clients are covered in the sample. The figures taken from the MIX Market, the MicroBanking Bulletin and the MicroCredit Summit Campaign databases correspond to a sample of MFIs that report data voluntarily. MFIs who voluntarily report their information tend to be efficient, well-managed programs that are looking to attract investors. This is not the case with the majority of MFIs.

The report covers 100 countries, 77 million borrowers and 2,207 MFIs. Data is reported by region: South Asia, East Asia and Pacific, Latin America and Caribbean, Sub-Saharan Africa, Eastern Europe and Central Asia and the Middle East and North Africa.

Not surprisingly, the report shows that South Asia is the region that has both the most borrowers (38.9 million) and the most MFIs (670 MFIs). However, while the East Asia/Pacific region is the second-highest with respect to borrowers (15.4 million), it is second to last in number of MFIs (189 MFIs).

Eastern Europe/Central Asia and the Middle East/North Africa are tied for the fewest borrowers (1.8 million), but Eastern Europe has nearly four times as many MFIs (196 MFIs) as the Middle East (51 MFIs).

Based on the MIX’s figures, Eastern Europe/Central Asia region has the lowest ratio of borrowers to MFIs (9,183 per MFI). Sub-Saharan Africa (14,894 per MFI) and Latin America (19,178 per MFI) also have low borrower to MFI ratios. East Asia/Pacific has the highest borrower to MFI ration with over 80,000 borrowers per microfinance institution.

Additional Resources:

“How Many MFIs and Borrowers Exist?” Microfinance Information eXchange, Inc. (MIX). August 2007, Updated September 2007. Available at http://www.themix.org/publication_detail.aspx?publicationID=27

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