by Jolene Khor -

MICROFINANCE PAPER WRAP-UP: “Gender Discrimination in Small Business Lending. Evidence from a Lab-in-the-field Experiment in Turkey,” published by EBRD

By J Michelle Brock and Ralph De Haas, published by the European Bank for Reconstruction and Development, September 2019, 45 pages, available at https://www.ebrd.com/documents/oce/gender-discrimination-in-small-business-lending-evidence-from-a-lab-in-the-field-experiment-in-turkey.pdf

This experiment involved presenting 334 loan officers in Turkey with eight actual loan applications. Each loan officer was asked to decide whether to accept or deny the application, as well as whether the loan applicant would be required to seek a guarantor

by Anna Gravois -

MICROCAPITAL BRIEF: Accion’s CFI to Hold 5th Annual Financial Inclusion Week; October 21-25, 2019

The Center for Financial Inclusion, an initiative of the US-based NGO Accion, will hold the fifth iteration of its Financial Inclusion Week (FIW) beginning on October 21. Last year’s FIW connected 160 partners with

by the MicroCapital Team -

MICROFINANCE EVENT: European Microfinance Week; November 20-22, 2019; Luxembourg

ThisEuropean Microfinance Platform event opens with a day of meetings on various topics, including the Human Capacity Development Action Group and the Green Inclusive & Climate Smart Finance Action Group. The following two days include sessions such as “Strengthening Resilience to Climate Change Through Financial Inclusion,” “Protecting the Working Poor in the 21st Century Through Responsible Finance” and “Responsible

by the MicroCapital Team -

SPECIAL REPORT: Grand Duchess Maria Teresa of Luxembourg on SAM, the Pan-African Conference on Financial Inclusion

This interview is part of a sponsored series on SAM (the French acronym for African Microfinance Week), a major conference dedicated to financial inclusion in Africa. The next SAM will take place October 21-25, 2019, in Ouagadougou, Burkina Faso!

MicroCapital:SAM 2019 Your Highness has stated that microfinance “awakens the creative forces…enabling the poorest to regain their dignity and to bring about solutions for their own needs.” Is this why Your Highness is so involved in microfinance?

Grand Duchess Maria Teresa (pictured below): I would like to quote Professor Muhammad Yunus, who said that “Microcredit is, above all, a tool that unlocks human dreams and helps even the poorest and most unfortunate people on this planet achieve dignity, respect, and meaning in their lives.”

I have been involved in microfinance ever since I met Professor Yunus, because, through him, I discovered the importance of trusting the poorest of the poor, without conditions. By that I mean trusting in their honesty, in their creativity, in their capacity for hard work, and in their demand for dignity. It is important to push back against the idea that you are only trustworthy if you are backed up by finance, if you have collateral to put on the table. I would almost go so far as to say

by the MicroCapital Team -

MICROFINANCE EVENT: SAM (Semaine Africaine de la Microfinance / African Microfinance Week); October 21 – 25, 2019; Ouagadougou, Burkina Faso

The SAM 2019fourth SAM (Semaine Africaine de la Microfinance) includes five full days of trainings, conference sessions, an investors’ fair, an innovators’ village and research presentations, all on the theme “Pathways Towards Impact: African Inclusive Finance for the Sustainable Development Goals.” The training presenters are ADA, Amarante Consulting, Arendt, Banca Etica, BNP Paribas, BRS, Caritas Africa, Food and Agriculture Organization, Graine, Grameen Crédit Agricole Foundation, the Microinsurance Network, MicroSave Consulting, Pamiga,

by the MicroCapital Team -

SPECIAL REPORT: Laura Hemrika of Credit Suisse on European Microfinance Week 2019, Connecting the Inclusive Finance World

MicroCapitalEuropean Microfinance Platform: How is European Microfinance Week (EMW) different from other financial inclusion conferences?

Laura Hemrika (pictured): It’s unique in several ways! First, the European Microfinance Platform (e-MFP) is a member-led platform; our over 130 individual and organization members represent all types of stake­holders. They’re active at the highest levels of the sector, and we work closely with them on all aspects of our work, especially for EMW. We put together the programme with their input, and they are strongly represented as speakers, moderators and Action Group partici­pants. Laura Hemrika on European Microfinance Week 2019Second, EMW is particularly interactive. We don’t see value in serial presentations of projects or products; all work­shops and plenaries are designed to be provocative, interactive, and to stimulate debate and discussion. Third, the confer­ence is the culmination of the annual Euro­pean Micro­finance Award; and each year there is a stream of sessions on the Award theme, which for 2019 is Strengthening Resilience to Climate Change. Fourth, EMW has an especially diverse attendee group, in terms of organisation types and home countries. It’s a truly remarkable breadth of stakeholders. Finally, we take great efforts to

by Jolene Khor -

MICROFINANCE PAPER WRAP-UP: “Analysis of the Strategy of Microfinance for Financial Inclusion of Refugees,” published by the European Microfinance Network

By Amna Malik, Halil Orhan, Halil Fatih Akgul, Altay Elçin; published by the European Microfinance Network; July 2019; 7 pages; available at https://www.european-microfinance.org/sites/default/files/document/file/6_Analysis%20of%20the%20Strategy%20of%20Microfinance%20for%20Financial%20Inclusion%20of%20Refugees.pdf

Turkey is host to an estimated 4 million refugees, more than are living in any other country. This paper assesses “the feasibility of microfinance as an appropriate strategy for the financial

by Eugene DeCosse -

MICROFINANCE EVENT: Columbia University Social Enterprise Conference; October 11, 2019; New York, USA

Themed “capital for good,” this event’s program is intended to “bring together industry leaders, professionals, academics, students and alumni to share best practices and engender new ideas surrounding the intersection of business and society.” Sample session topics include:

by Jolene Khor -

MICROFINANCE PAPER WRAP-UP: “Taxing Mobile Phone Transactions in Africa: Lessons from Kenya,” by Njuguna Ndung’u

By Professor Njuguna Ndung’u, published by the Africa Growth Initiative at the Brookings Institution, August 2019, 14 pages, available at https://www.brookings.edu/wp-content/uploads/2019/08/Taxing_mobile_transactions_20190806.pdf

In this paper, the author uses data from the Central Bank of Kenya to explore the impact that the taxation of mobile phone financial transactions and airtime may have on the use of mobile

by Anna Gravois -

MICROCAPITAL BRIEF: Sierra Leone Launching National Digital Identity Platform in Partnership with Kiva, Rippleworks, UNCDF, UNDP

The government of Sierra Leone recently launched “Africa’s first blockchain and decentralized identity implementation” in partnership with Kiva, a US-based nonprofit microfinance fundraiser, as well as the UN Capital Development Fund (UNCDF) and the UN Development Programme (UNDP). The national digital identity platform is powered by

by Eugene DeCosse -

MICROCAPITAL BRIEF: Bank of Ghana Revokes Licenses of 23 Microfinance Banks Due to Insolvency

The Bank of Ghana (BOG) recently revoked the licenses of 23 microfinance banks (MFBs) that became insolvent and remained so despite being given additional time to seek fresh capital from investors. The MFBs reportedly will be able to

by Anna Gravois -

MICROCAPITAL BRIEF: Green for Growth Fund (GGF) Loans $1.7m to Microfinance Institution Alter Modus to Finance Energy Efficiency in Montenegro

Alter Modus, a microlender in Montenegro, recently agreed to borrow EUR 1.5 million (USD 1.67 million) from the Green for Growth Fund (GGF), a public-private partnership based in Luxembourg, in order to boost Montenegro’s energy efficiency (EE) finance market. GGF also aims to boost Alter Modus’ expertise in EE lending by providing the microfinance institution with

by Soham Mehta -

MICROFINANCE EVENT: Sa-Dhan National Conference; September 16-17, 2019; New Delhi, India

The 20th annual iteration of this event offers sessions such as “Insurance: the Missing Link in Financial Inclusion;” “Augmenting Good Governance and Promoting Respectable Finance;” “Integrating Digital Finance, Strengthening Cybersecurity;” and “Microfinance and Clean Energy: Untapped Opportunity.” Speakers represent organizations including the National Bank for Agriculture and Rural Development

by Jolene Khor -

MICROFINANCE PAPER WRAP-UP: “Leveraging Technologies to Improve the Quality and Maximize the Productivity of Agent Models;” published by the Center for Financial Inclusion (CFI) at Accion

By Jacqueline Foelster and Amin Khairy; published by the Center for Financial Inclusion; June 2019; 20 pages; available at https://www.centerforfinancialinclusion.org/leveraging-technologies-to-improve-the-quality-and-maximize-the-productivity-of-agent-models

As financial services providers (FSPs) seek new ways to meet the needs of underserved customers at a low cost, the authors observe a trend toward the use of agents. Through various agent models, financial institutions “designate authority and responsibility to banking agents to deliver financial products and services” with

by Jolene Khor -

MICROFINANCE PAPER WRAP-UP: “The Inclusion Imperative: A Call to Action. Recommendations for Policy Makers and Regulators from FDC’s Inclusive Growth and Development Initiatives;” by Shawn Hunter

By Shawn Hunter; published by FDC; May 2019; 25 pages; available at https://docs.wixstatic.com/ugd/309bf5_bc2c238a402e45b0aa3125a058f136b6.pdf

Aimed at policy makers and regulators, this report sets out 11 recommendations intended to aid “inclusive growth and development efforts” in the Asia-Pacific region, in line with the financial inclusion priorities

by Jolene Khor -

MICROFINANCE PAPER WRAP-UP: “Influence of Ownership Type and CEO Power on Residual Loss: Evidence From the Global Microfinance Industry;” by Leif Atle Beisland, Daudi Pascal Ndaki, Roy Mersland

Published by Nonprofit and Voluntary Sector Quarterly; May 2019; 40 pages; available at: https://www.researchgate.net/publication/333175215_Influence_of_Ownership_Type_and_CEO_Power_on_Residual_Loss_Evidence_From_the_Global_Microfinance_Industry

Based on data from 374 microfinance institutions in 76 countries, the authors seek to identify “whether the agency cost component referred to as ‘residual loss’ differs between non-profit and shareholder-owned microfinance organizations and whether such