MICROCAPITAL BRIEF: Fitch Releases Ratings of ProCredit Bank of Bosnia & Herzegovina and ProCredit Bank of Kosovo, Providers of Finance and Microfinance to Micro-, Small and Medium-Sized Enterprises

Fitch Ratings, a global credit ratings agency, has released its ratings of ProCredit Bank of Bosnia & Herzegovina (PCBiH) and ProCredit Bank of Kosovo (PCBK).

MICROCAPITAL BRIEF: Reserve Bank of India (RBI) Warns Microfinance Institutions (MFIs) to Improve Governance Standards

The Reserve Bank of India (RBI), India’s central bank, has warned that microfinance institutions (MFIs) will be taken off the priority sector lending list if the industry does not improve its governance standards.

MICROCAPITAL BRIEF: CGAP (Consultative Group to Assist the Poor) Focus Note Examines Consumer Protection Regulation in Microfinance Industry

A new CGAP (Consultative Group to Assist the Poor) Focus Note examines “what consumer protection regulation should look like in places where consumers are poor, access to finance is limited, and regulatory capacity is often overstretched.”

MICROCAPITAL BRIEF: CGAP (Consultative Group to Assist the Poor) Releases “Technical Guide for Investors on Implementing the Client Protection Principles”

CGAP (Consultative Group to Assist the Poor) has released the “Technical Guide for Investors on Implementing the Client Protection Principles,” as part of a wider consumer protection campaign focusing on fair lending within the microfinance industry.

MICROCAPITAL BRIEF: Microfinance Information Exchange Releases Benchmarking Report on Eastern Europe and Central Asia

The Microfinance Information Exchange (MIX), the microfinance information clearinghouse, recently released the 2009 Eastern Europe and Central Asia Microfinance Analysis and Benchmarking Report.

MICROCAPITAL PAPER WRAP-UP: Successful Due Diligence When Evaluating Microfinance Investment Vehicles (MIVs) by Zoran Stanisljevic

By Zoran Stanisljevic, based on his interview with Christina Leijonhufvud, Managing Director of the Global Social Sector Finance Group at JP Morgan, published by MicroCapital.org, December 2009, 5 pages, available at https://www.microcapital.org/downloads/whitepapers/Diligence.pdf

MEET THE BOSS: Discussions on Developing a Global Credit Ratings Framework for Microfinance Institutions: Interview with Damian von Stauffenberg, Founder and Chairman of MicroRate

Damian von Stauffenberg is the founder of MicroRate, a rating agency specializing in microfinance.  Mr. von Stauffenberg founded MicroRate in 1997 and served as its CEO until 2009.  Through its Latin American and African subsidiaries, MicroRate has conducted over 400 ratings of microfinance institutions in Latin America, Africa and Eastern Europe. 

Mr. von Stauffenberg previously worked for 25 years at the World Bank and its private sector affiliate, the International Finance Corporation (IFC).  He has been president of Seed Capital Development Fund (SCDF), chairman of the investment committee of ProFund, chairman of the executive committee of MicroVest and a member of the executive committee of the Latin American Challenge Investment Fund (LA-CIF).

MICROCAPITAL BRIEF: Central Bank of Nigeria (CBN) Creates Mandatory Exam for Microfinance Bank Managers

At the fourth Microfinance Conference in Abuja, Nigeria, the governor of the Central Bank of Nigeria (CBN), Mr Mallam Sanusi Lamido Sanusi, announced that all microfinance bank CEOs would be required to pass a CBN administered exam in order to continue managing their banks.

MICROCAPITAL BRIEF: Mr Vijay Mahajan and Mr P N Vasudevan Debate Self-Regulation in Indian Microfinance Industry

Mr Vijay Mahajan, Chairman of BASIX and a Board Member of CGAP (Consultative Group to Assist the Poor), and Mr P N Vasudevan, Managing Director of Equitas Micro Finance, recently published an article entitled, ‘Microfinance in India: Twin Steps towards Self-Regulation.’

MICROCAPITAL BRIEF: Moroccan Government Supports Microfinance Industry’s Path to Recovery in 2010

According to a paper published by Mr Xavier Reille of CGAP (Consultative Group to Assist the Poor), “Few countries boasted as strong and as vibrant a microfinance sector than Morocco, where microfinance institutions (MFIs) saw the size of their combined loan portfolio multiply 11 times between 2004 and 2007.”

MICROCAPITAL BRIEF: Ghana Ministry of Finance and Economic Planning (MoFEP) Calls for Strengthening of Consumer Protection in Microfinance Sector

At a conference titled, “Beyond Existing Microfinance, What Next?,” Ghana Ministry of Finance and Economic Planning (M0FEP), Microfinance Director Kobina Amoah commented on the need for financial institutions to provide consumer education and protection in order to safeguard consumers’ rights.

MICROCAPITAL BRIEF: Bangladesh Bank Governor Atiur Rahman Proposes Uniform Interest Rates to Achieve Transparency

While launching a management information system (MIS) that intends to strengthen the monitoring process for banks and microfinance institutions (MFIs), Bangladesh Bank Governor Atiur Rahman urged local non-governmental organizations (NGOs) to agree on a single nationwide interest rate in a “transparent” and “logical” manner.

MICROCAPITAL BRIEF: Nigeria Deposit Insurance Corporation (NDIC) Blames Microfinance Institutions (MFIs) for Lending Failures, MFIs Fault “Bad” Nigerian Borrowers

Amidst the turmoil in Nigeria’s microfinance sector, industry players seem to be holding each other responsible for the industry’s failures.

MICROCAPITAL BRIEF: Indian MFIs Agree to Voluntary Credit Code Enforced by Microfinance India Network (MFIN) And Take Equity Stake in Credit Information Bureau

At a meeting in Mumbai early this month, a group of thirty Indian microfinance institutions (MFIs) agreed to back a private credit bureau and a voluntary credit code.

MICROCAPITAL BRIEF: Microfinance Information Exchange (MIX) Relaunches Website With New Tools, All Content Available in English, Spanish, French, Russian

The US-based, nonprofit Microfinance Information Exchange (MIX) recently re-launched its MIX Market website, with the support of Canada’s MasterCard Foundation.