The winners of a new Social Performance Reporting Award were announced at the Annual Social Performance Task Force Meeting in Madrid, Spain. AMK in Cambodia, FINCA Peru, and Prisma Peru received the Gold Award, and Asasah from Pakistan received the Silver Award.
The Social Performance Reporting Award was launched by CGAP, the Michael & Susan Dell Foundation, the Ford Foundation, and the Social Performance Task Force (SPTF), with data supplied by the MIX Market. The award was designed to promote greater transparency in MFIs’ social performance, as the microfinance industry is expanding and coming under increased scrutiny. The competition is open to all formal regulated and non-regulated financial institutions and nongovernmental organizations (NGOs) that offer microfinance services. Winners receive certificates, and are recognized on the CGAP and MIX Market web sites and at special microfinance events.
Angkor Mikroheranhvatho Kampuchea (AMK), a Cambodian MFI, won one of the three Gold Certificates awarded. The Gold Certificate is awarded to MFIs that comply with SPTF core disclosure requirements and a third-party validation report of poverty outreach data. AMK, which originated from Concern Worldwide Cambodia, focuses on providing financial services in remote rural areas. According to the MIX Market, the microfinance information clearinghouse, AMK had a gross loan portfolio of USD 23.2 million as of December 2008, serving 190,000 clients. Read more about AMK, and the Cambodian microfinance industry, in this MicroCapital story.
The second Gold Award winner was FINCA Peru, a non-profit based in Lima. FINCA Peru has 12,300 active borrowers, and a gross loan portfolio of USD 2.7 million. In May 2007, Microfinanza Rating, a rating agency within the EU/IADB/CGAP Microfinance Rating and Assessment Fund, prepared a Social Rating Report for the MFI, which can be found here.
Asociación Benefica Prisma (Prisma), an MFI in Peru, also won a Gold Award. Prisma had a gross loan portfolio of USD 10.5 million, and served 21,000 clients as of the end of 2008. Read more about recent investments in Prisma Peru in this MicroCapital story.
Asasah, an MFI in Pakistan, won the Silver Award, which is given to MFIs that comply with the minimum SPTF core disclosure requirements. As of the end of 2007, Asasah had a gross loan portfolio of USD 3.7 million and 28,000 active borrowers – 100 percent of whom are women.
The Social Performance Task Force (SPTF) was formed in March 2005 by CGAP, the Argidius Foundation, and the Ford Foundation to define social performance for the microfinance industry and address questions relating to social performance measurement and management. The SPTF consists of over 350 leaders from the microfinance field, including practitioners, donors and investors, national and regional networks, technical assistance providers, rating agencies, academics and researchers. On June 2-3, 2009 the SPTF held its annual meeting where the awards were presented.
The Consultative Group to Assist the Poor (CGAP) is an independent policy and research center, housed at the World Bank, which provides microfinance market intelligence, promotes industry standards, and offers advisory services to governments, microfinance providers, donors, and investors. Read about a recent CGAP mobile technology project in this MicroCapital story.
The Ford Foundation, a sponsor of the new award, supports microfinance initiatives through its Development Finance and Economic Security Program. Since 2003, the Ford Foundation has given USD 39.4 million in grants, and USD 12.5 million in loans to microfinance programs.
The Michael & Susan Dell Foundation has committed USD 7.5 million to microfinance through their Family Economic Stability Portfolio, which seeks to make financial services more accessible to the urban poor. Read about a recent investment by the Dell Foundation in this MicroCapital story.
By Jaclyn Berfond, Research Assistant
Additional Resources:
MIX Market: First Recipients of New Social Performance Reporting Award
CGAP: Social Performance Reporting Award
Social Performance Task Force: Homepage
MIX Market: Homepage
MicroCapital Story: Cambodian Microfinance and AMK to Receive Support from IFC
MicroCapital Story: MicroVest Finances Microfinance Growth in Latin America with Debt Investment in PRISMA and FUNBODEM
MicroCapital Story: CGAP and WIZZIT Collaborate to Expand Mobile Technology Services to Provide Branchless Banking to Poor Citizens in Rural South Africa
MicroCapital Story: Lok Capital and the Dell Foundation Announce Investment in Indian Microfinance Organization Arohan
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