The Risk management Initiative in Microfinance (RIM) is pleased to announce the release of the Postion Paper "Toward a Consistent and Appropriate Risk Management Framework for MFIs".
The paper describes the RIM's Risk Management Graduation Model (RMGM), which provides an invaluable starting point for all stakeholders with an interest in improving risk management in the microfinance sector. A principal goal of the RIM is to change the approach to risk management and its central driving question from "What is risk management and how do you do it?" to "Why is risk management important to my organization and clients?" The RMGM has been designed with this goal in mind.
MicroFinanza Rating and AMFI-Kenya are pleased to present the 2014 Annual Report on the Microfinance Sector in Kenya. The third edition presents the microfinance sector growth and performance for the period 2011-2013, the microfinance industry developments with regard to credit information sharing, the sector's practices in terms of prevention of over-indebtedness as well as institutional profiles displayed in the directory. This publication has continued to generate interest and this year we counted on the participation of 21 Credit-only MFIs, 9 Microfinance Banks and 4 Banks, a total of 34 participants. This publication is embedded in MicroFinanza Rating and AMFI-Kenya's roles to foster transparency in the microfinance sector. We hope this report will help to increase the visibility of the Kenyan microfinance industry in the domestic and international financial markets, facilitate linkages between microfinance players and industry stakeholders; as well as to provide individual MFIs with information and benchmarks to set their standards and strategic goals.
Click here to download the report.
Due to the falling of oil prices and its impact on the country finances and balance of payments largely dependent on oil and gas export, Azerbaijani Central Bank devaluated on Feb. 21 the Manat by a third. Devaluation followed the decision taken on Feb 16 to shift from a dollar peg policy, kept since mid-2011, to a combined dollar-euro peg policy. In a statement, the Central Bank explains the decision was made "in order to support diversification of Azerbaijan's economy, strengthen its international compatibility and export potential, as well as to provide balance of payments sustainability". Nevertheless, the devaluation threatens financial system's asset quality and inflates FX liabilities. In fact, according to Fitch Ratings, FX-denominated liabilities went up from 27% of total lending at end-2014 to an estimated 33% after the devaluation, producing an increase in risk-weighted assets by around 9% for the banking system as a whole. According to Fitch Ratings, although it will shake domestic confidence, the devaluation is expected to be "broadly neutral" with reference to the sovereign profile.
MicroFinanza Rating is closely monitoring the situation with respect to the performance of its clients in the country. If you are MFR's subscriber, you will receive a more detailed update on what is happening on the financial and microfinance market in Azerbaijan, and a Hot Line will be open with our analysts.
The Giordano Dell'Amore Microfinance Best Practices International Award, promoted by Fondazione Giordano Dell'Amore, aims to increase the awareness about the importance of microfinance as a tool to fight poverty and social exclusion; to encourage the exchange of experiences and sharing of thoughts and in-depth analyses within microfinance community; and to highlight and spread microfinance best practices.
The International Award is opened to any institution or organization involved, for at least 12 months prior to the date of application, in the financial inclusion of people in a developing or transition country.
The Giordano Dell'Amore Microfinance Best Practices International Award 2015 will focus on the following topic: "Improving financial inclusion of smallholder farmers".
For additional information please visit the webpage:
The Center for Financial Inclusion at Accion has recently announced a partnership with The MasterCard Foundation to launch the Accion Africa Board Fellowship program. The new program will promote peer-to-peer learning on governance and risk management practices at financial institutions that serve low-income clients in sub-Saharan Africa, a region with more than 6.6 million microfinance clients.
Announcement of the launch of this program was done in December 2014:
A website was created for this important program and an APPLICATION FORM on-line can be found at this homepage:
Specifically, in this page you can read "what is ABF"
Check out the current job opportunity available at the Bishkek Regional Office. Find the open position under the Section "Who we are".
In anticipation of the 12th Annual European Microfinance Network (EMN) Conference to be held in Dublin on June 18th and 19th 2015, the EMN together with the Research Group "Financial Inclusion and New Entrepreneurship" of the Hague University of Applied Sciences are pleased to announce the re-launch of the European Microfinance Research Award. This year's award has a €1.000 endowment!
Papers eligible for selection should present ongoing or finalized research on issues related to microfinance in the European Union and EFTA countries exclusively. It is a great opportunity for research fellows in the European microfinance market to gain exposure to the network and the sector as a whole
For more information on the application process, deadline and contacts, click here.
As guest speaker MicroFinanza Rating will be participating in the workshop titled "European Funds for Financial Inclusion 2014-2020" organized by Fondazione Giordano dell'Amore (FGDA) and by the European Investment Fund (EIF), within the framework of measures taken by the European Union to facilitate access to credit: in particular the Programme for Employment and Social Innovation (EaSI) and the EIB Group Risk Enhancement Mandate for SMEs through smaller co-operative banks. The workshop aims at presenting the different funding lines and requirements of the calls for expressions of interest that are going to be published, by analyzing the potentialities of such lines in relation to the type of institution.
For more details about the event, download the flyer.
Since the advent of microfinance banking in Nigeria, the microfinance sector has been confronted with several challenges and the impact of the global financial crisis on Microfinance Banks has been more severe than anticipated.
MicroFinanza Rating is pleased to share some of the features of the microfinance sector in Nigeria, highlighting the main challenges and threats that the Nigerian MFIs are currently encountering.
Download the Insight.
MicroFinanza Rating is pleased to share an interesting workshop organized by the European Commission, which will take place in Brussels on 1 December 2014.
In the framework of the EU Programme for Employment and Social Innovation (EaSI), the workshop focuses on the European Code of Good Conduct for Microcredit Provision and has the objective to address its practical implementation in relation to:
To have additional information and to register for the workshop, please visit the following website of the European Microfinance Network.
As guest speaker Aldo Moauro, MFR Executive Director, will be holding two panels, respectively "Microfinance and poverty" on Thursday, Nov 13th, and "Social and financial performance: better together?" on Friday, Nov 14th, as part of the European Microfinance Week, carrying the theme of Developing Better Markets.
The first panel will focus on the poverty outreach results from social ratings conducted by MicroFinanza Rating since 2007, while the second panel will highlight the differences and similarities of MicroFinanza Rating research on financial and social performances compared to the results presented by Moody's.
To have more information, visit the website of the European Microfinance Platform, which is the organizer of the event.
As Client Protection Certifier licensed by the SMART Campaign, MicroFinanza Rating is happy to announce that a new Certificate has been given to AzerCredit – Azerbaijan since the institution has demonstrated to accomplish with all the Certification standards derived from the seven client protection principles. The mission of VF AzerCredit is to provide financial services, which have a positive impact on the lives of the poor. As such, today VF AzerCredit operates 43 outlets throughout the country, which serve around 80,000 customers with loan products primarily. For more details on the Methodology used by MicroFinanza Rating, see the "SMART Certification" section of our website.