Financial Services that Clients Need - The 3.0 Business Models - Reconciling Outreach with Sustainability

Size: px
Start display at page:

Download "Financial Services that Clients Need - The 3.0 Business Models - Reconciling Outreach with Sustainability"

Transcription

1 Financial Services that Clients Need - The 3.0 Business Models - Reconciling Outreach with Sustainability Berlin, 29 November 2012 Robert Peck Christen Maxwell School of Citizenship and Public Affairs, Syracuse University Boulder Institute of Microfinance and Sustainable Development Session 3 KfW Financial Sector Development Symposium 2012

2 Formal finance can improve the lives of the population The development of finance is linked to overall economic growth Microfinance has contributed to improve lives by supporting income- generating opportunities, smoothing consumption; helping meet important family goals 2

3 Formal finance can improve the lives of the population Barriers for Banks to Serve the Poor INSTITUTIONAL PERSPECTIVE Transacting with the poor is very expensive for brick and mortar banks, so they avoid it. High Cost for Providers to Serve the Poor The poor are regarded as risky. Banks can earn more doing other businesses with the general public. CLIENT PERSPECTIVE Banks are not nearby, easy to use, affordable High Cost of Products for the Poor Low Value of Products for the Poor Products are inappropriately designed or sized and cumbersome to obtain 3

4 Relative market penetration of microcredit 4

5 Primary Livelihood Segmentation of World s 2.6 Billion Poor Living on < $2/day 1 Stated target of microcredit movement Source: Oliver Wyman. 1 We recognize that microfinance organizations reach many others outside of this target population and above $2 / day, particularly small holder farmers in Asia, and that, while we have segmented the poor by their primary livelihood, most have diverse income sources. 5

6 Life-cycle events Education: People need lump sums of money available two to three times per year to pay for their children s school tuition, textbook costs, and exam fees Income & Consumption: Many rural households manage multiple, irregular, and seasonal income streams (e.g., farming, casual labor, etc.) Health: Unexpected doctor visits or surgery require payments in cash, and can cost between 7-66% of annual household income Life Events: Weddings, rituals, or deaths require lump sums of money as they can cost 3-20% of annual household income and can be unexpected Protection from Bumps and Shocks: The poor try to insure against unexpected illness, economic crises, or natural disasters by saving money and diversifying their income and assets Enterprise Growth: For micro business and growing farms, working capital loans and savings are needed to buy equipment, purchase inventory, and invest in customer outreach 1 Source: Chen, M. and Snodgras, D. Managing Resources, Activities and Risk in Urban India: The Impact of Sewa Bank (2001); Cohen M. Microfinance, Risk Management and Poverty (2001). 1 Accessing working capital loans or building up savings are especially important for enterprise growth, because purchasing raw materials and supplies in larger volumes can lead to lower prices 6

7 Client centered innovations that build on the core products and delivery channels Designing next generation products for clients (examples): Specialized micro-credit Agricultural microfinance that can make loans that respond to the specific cash flow needs of small farmers Small business finance that uses appropriate loan origination techniques for more complex businesses that are still mostly family owned/operated Saving mobilization Products linked to the specific goals and agenda of the families (commitment accounts for educational fees, farming inputs) Micro-insurance Move beyond credit-life products The MILK project is looking at the value for clients to sharpen design 7

8 Version 3.0 business models that take advantage of new delivery channels to improve client service Agent banking (including mobile money) represents the potential to dramatically drive down transaction costs Dramatically lowered transaction costs have the potential to allow for dramatic design improvements in the design of products that can be tailored more precisely to the cash flows and financial objectives of the poor, Success with new delivery channels will require partnerships among very different organizations, with objectives that do not always align with each other (ie. Telcos, banks, retail chains, insurance companies, and microlenders. The existence of agent banking networks does not guarantee the poor will be served; the only thing that will is the commitment of socially oriented organizations in the mix. They will continue to require support. 8

9 Strong institutions are necessary to serve clients with more tailored individualized financial services Only strong institutions can provide a range of sophisticated and individually tailored products, Volume and scale-economies will be fundamental to success, Fortunately, microfinance is highly concentrated in most countries; the 5 largest MFIs reach more than 80% of clients nationally, But there are still many countries where no MFI is ready to help build (Version 3.0) agent banking business models. 9

10 Largest MFI Largest 2 MFIs Largest 3 MFIs Large microfinance organizations dominate national markets A few MFIs serve the majority of borrowers in a country 1 '' 4 MFIs '' 5 MFIs Median Market Share (percentages) Source: Combined MIX & MCS data 1 Gonzalez, Adrian and Richard Rosenberg (2006) The State of Microfinance Outreach, Profitability, and Poverty Findings from a database of 2600 microfinance institutions, World Bank. 30 May State of the Microcredit Summit Campaign Report Worldwide concentration: MFIs and Borrowers % 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Weighted Average Growth Rate MFIs Borrowers 1,425 smaller MFIs 145 larger MFIs Annual Growth Rate in # Borrowers (weighted average)- all MFIs and Regions 2 2 Profitable Not Profitable Weighted by number of borrowers 10

11 IMPROVED FINANCIAL SERVICES AT THE DOORSTEP OF THE POOR: A world in which these opportunities are harnessed to enable poor families to access the portfolio of financial products they need most, in sizes they can afford, in places they can get to easily, and on a commercially viable basis Valuable and Safe Products: Savings, Insurance, Credit and Money Transfers/Remittances Accessible in the Neighborhoods of the Poor At prices that work for both the poor and providers Improved financial services will increase the wealth and assets of the poor so they can spend more on health, education, consumption, and other investments for their future 11

12 Thank you for your attention. Berlin, 29 November 2012 Robert Peck Christen Maxwell School of Citizenship and Public Affairs, Syracuse University Boulder Institute of Microfinance and Sustainable Development Session 3 KfW Financial Sector Development Symposium 2012

Flexible Repayment at One Acre Fund

Flexible Repayment at One Acre Fund Executive Summary To meet client needs cost- effectively, on a large scale, and in difficult operating environments, microfinance institutions (MFIs) have relied on simple and standardized loan products.

More information

Agricultural finance for smallholder farmers: Rethinking traditional microfinance risk and cost management approaches

Agricultural finance for smallholder farmers: Rethinking traditional microfinance risk and cost management approaches Agricultural finance for smallholder farmers: Rethinking traditional microfinance risk and cost management approaches With evidence from Uganda, Kenya, Benin and Cameroon Daniela Röttger Luxembourg, 13

More information

MICROINSURANCE. Virginia Tan, Allen & Overy LLP. protection, risk

MICROINSURANCE. Virginia Tan, Allen & Overy LLP. protection, risk MICROINSURANCE Virginia Tan, Allen & Overy LLP Type: Legal Guide Published: June 2012 Last Updated: June 2012 Keywords: Microinsurance, protection, risk This document provides general information and comments

More information

Delivered by many types of institutions commercial banks, state. Microfinance means building financial systems that serve the poor

Delivered by many types of institutions commercial banks, state. Microfinance means building financial systems that serve the poor DEFINITION & EVOLUTION OF MICROFINANCE FIJI NATIONAL MICROFINANCE WORKSHOP Medium Term Strategy for Financial Inclusion in Fiji 4-5 November, 2009 Novotel, Lami WHAT IS MICROFINANCE Microfinance is the

More information

Commercialization of Microfinance

Commercialization of Microfinance 8/16/2011 1 13 Commercialization of Microfinance Robert Lensink (RUG/WUR) Presentation for the UMM Conference in Frankfurt Schedule 8/16/2011 2 13 Some preliminary remarks Recent trend: commercialization

More information

A Business Case for Microinsurance

A Business Case for Microinsurance A Business Case for Microinsurance Munich Re Microinsurance Conference 2010 Presented by Doug Lacey November 2010 Agenda Purpose and methodology Experiences with insurers Framework for assessing profitability

More information

5. SOCIAL PERFORMANCE MANAGEMENT IN MICROFINANCE 1

5. SOCIAL PERFORMANCE MANAGEMENT IN MICROFINANCE 1 5. SOCIAL PERFORMANCE MANAGEMENT IN MICROFINANCE 1 INTRODUCTION TO SOCIAL PERFORMANCE MANAGEMENT Achieving Social and Financial Performance In the microfinance arena, performance has long been associated

More information

RURAL AND AGRICULTURE FINANCE Prof. Puneetha Palakurthi School of Community Economic Development Sothern New Hampshire University

RURAL AND AGRICULTURE FINANCE Prof. Puneetha Palakurthi School of Community Economic Development Sothern New Hampshire University RURAL AND AGRICULTURE FINANCE Prof. Puneetha Palakurthi School of Community Economic Development Sothern New Hampshire University DRIVERS OF RURAL DEVELOPMENT High overall economic growth Effective land

More information

Microfinance and Technology

Microfinance and Technology Microfinance and Technology Frankfurt School of Finance and Management July 2013 Julia Abakaeva CGAP s Contribution to Evolving Field 1995 Microcredit Proof of concept for microcredit Sustainability in

More information

Role of Micro Finance Institutions in Micro Insurance

Role of Micro Finance Institutions in Micro Insurance Global Journal of Management and Business Studies. ISSN 2248-9878 Volume 3, Number 5 (2013), pp. 535-540 Research India Publications http://www.ripublication.com/gjmbs.htm Role of Micro Finance Institutions

More information

NGO Experiences in Implementing Insurance Products in Agriculture in Bangladesh

NGO Experiences in Implementing Insurance Products in Agriculture in Bangladesh NGO Experiences in Implementing Insurance Products in Agriculture in Bangladesh Professor M. A. Baqui Khalily Executive Director Institute of Microfinance July 5, 2014 Malaysia Three Basic Arguments 1.

More information

BACKGROUNDER ON VSLA S

BACKGROUNDER ON VSLA S THE MASTERCARD FOUNDATION BRIEFING NOTE BACKGROUNDER ON VSLA S Community-managed savings-led approaches to financial services for the poor have a long and successful history, particularly in India where

More information

MICROFINANCE. Orrick, Herrington & Sutcliffe. Legal guide. Type: Published: Last Updated: Keywords: Microfinance; lending; development.

MICROFINANCE. Orrick, Herrington & Sutcliffe. Legal guide. Type: Published: Last Updated: Keywords: Microfinance; lending; development. MICROFINANCE Orrick, Herrington & Sutcliffe Type: Published: Last Updated: Keywords: Legal guide Microfinance; lending; development. This document provides general information and comments on the subject

More information

Poverty Alleviation, Micro-enterprise Finance, Access;

Poverty Alleviation, Micro-enterprise Finance, Access; Poverty Alleviation, Micro-enterprise Finance, Access; The transformation of microfinance Robert Peck Christen President, Boulder Institute of Microfinance November 3, 2005 What is Microfinance? For many,

More information

Insurance. 14.73 Lecture 16 Abhijit Banerjee and Esther Duflo

Insurance. 14.73 Lecture 16 Abhijit Banerjee and Esther Duflo Insurance 14.73 Lecture 16 Abhijit Banerjee and Esther Duflo 1 Quick recap Last time we saw that risk was very costly for the poor And the strategies they employ to avoid risk are very costly This begs

More information

Inclusive Insurance in Bangladesh and Experience of PKSF

Inclusive Insurance in Bangladesh and Experience of PKSF Inclusive Insurance in Bangladesh and Experience of PKSF Presented by Md. Abdul Karim Managing Director Palli Karma-Sahayak Foundation (PKSF) Ulaanbaatar, Mongolia 1 History of Insurance in Bangladesh

More information

Global South-South Development EXPO 2014

Global South-South Development EXPO 2014 Global South-South Development EXPO 2014 ILO Solution Forum: Microinsurance Washington DC, 19 November 2014 What do the working poor need? Opportunity: government policy, action Organisation: Co-ops, MFIs,

More information

Micro Crop Insurance and Protecting the Poor Lessons From the Field

Micro Crop Insurance and Protecting the Poor Lessons From the Field Micro Crop Insurance and Protecting the Poor Lessons From the Field Aaron Oxley CTO, Micro Insurance Agency aaron.oxley@microinsuranceagency.com The Program Who are we an what do we do? Who are the poor?

More information

IFC and Agri-Finance. Creating Opportunity Where It s Needed Most

IFC and Agri-Finance. Creating Opportunity Where It s Needed Most IFC and Creating Opportunity Where It s Needed Most Agriculture remains an important activity in emerging markets IMPORTANCE OF AGRICULTURE as major source of livelihood 75% of poor people in developing

More information

Q&A Oxfam and Impact Investments. Audience: Entrepreneurs Investors Oxfam + partners General audience (including press) General

Q&A Oxfam and Impact Investments. Audience: Entrepreneurs Investors Oxfam + partners General audience (including press) General Q&A Oxfam and Impact Investments Audience: Entrepreneurs Investors Oxfam + partners General audience (including press) General Q: Why is Oxfam active in impact investing? A: Oxfam believes the upcoming

More information

Microfinance in Egypt:

Microfinance in Egypt: The Egyptian financial Supervisory authority Microfinance in Egypt: An Overview Ghada Waly Advisor to the Chairman for Microfinance EFSA Content Definition of Microfinance (MF) Historical Background of

More information

Financial inclusion and poverty reduction: the role of financial inclusion in achieving the Millennium Development Goals.

Financial inclusion and poverty reduction: the role of financial inclusion in achieving the Millennium Development Goals. Financial inclusion and poverty reduction: the role of financial inclusion in achieving the Millennium Development Goals. 1. It is indeed a source of deep concern that the number of people living in extreme

More information

The Impact of Interest Rate Ceilings on Microfinance Industry

The Impact of Interest Rate Ceilings on Microfinance Industry The Impact of Interest Rate Ceilings on Microfinance Industry Ali Saleh Alshebami School of Commerce & Management Science, SRTM University, India E-mail: Talk2aliii@gmail.com Prof. D. M. Khandare School

More information

Microinsurance as a social protection instrument

Microinsurance as a social protection instrument Microinsurance as a social protection instrument Protection from major risks for little money The lives of the poor in developing countries are characterized by constant economic insecurity. Most of them

More information

Nuru Kenya Community Economic Development 2013 Progress Toward Impact Report

Nuru Kenya Community Economic Development 2013 Progress Toward Impact Report Nuru Kenya Community Economic Development 2013 Progress Toward Impact Report Authored by: Nuru International s and Nuru Kenya s Monitoring and Evaluation teams and Nuru International s Community Economic

More information

$100 change. How can. aneconomy. Microfinance and Microcredit. One small loan can change a family.

$100 change. How can. aneconomy. Microfinance and Microcredit. One small loan can change a family. How can Microfinance and Microcredit $100 change aneconomy? It could be for a new tool, a machine, or a shop in the marketplace millions of the world s poor and low-income people have taken advantage of

More information

Insuring the Poor and Vulnerable. Helping the poor weather life s storms. Richard Leftley - CEO, MicroEnsure

Insuring the Poor and Vulnerable. Helping the poor weather life s storms. Richard Leftley - CEO, MicroEnsure Insuring the Poor and Vulnerable Helping the poor weather life s storms Richard Leftley - CEO, MicroEnsure The poor do not buy insurance What Causes This Lack of Access? The poor face huge risk which is

More information

Microcredit: A microprimer. Prof. Jay Aronson

Microcredit: A microprimer. Prof. Jay Aronson Microcredit: A microprimer Prof. Jay Aronson Buzzzzzzzzzzzzzz Microcredit has become a development buzzwork, just like human capacity, structural capacity, or sustainability 2005 was dubbed the International

More information

Financing Smallholder Farmers. to Increase Incomes and Transform Lives in Rural Communities

Financing Smallholder Farmers. to Increase Incomes and Transform Lives in Rural Communities Financing Smallholder Farmers to Increase Incomes and Transform Lives in Rural Communities EXECUTIVE SUMMARY Africa is home to a quarter of the world s farmland, yet it generates only 10 percent of all

More information

Marketing Challenges for Financial Services

Marketing Challenges for Financial Services Marketing Financial Services A Self Study Guide LESSON ONE Marketing Challenges for Financial Services Objective: to introduce the basics of marketing, particularly the concepts of market information and

More information

184. PROFILE ON MICRO FINANCE SERVICE

184. PROFILE ON MICRO FINANCE SERVICE 184. PROFILE ON MICRO FINANCE SERVICE 184-2 TABLE OF CONTENTS PAGE I. SUMMARY 184-3 II. SERVICE DESCRIPTION & APPLICATION 184-3 III. MARKET STUDY AND SERVICE CAPACITY 184-4 A. MARKET STUDY 184-4 B. CAPACITY

More information

Taking Care of Elderly Members: A CARD MBA Initiative

Taking Care of Elderly Members: A CARD MBA Initiative PHILIPPINES Taking Care of Elderly Members: A CARD MBA Initiative Presented to Global Microcredit Summit Valladolid, Spain November 14, 2011 by Alex M. Dimaculangan MICROINSURANCE IS CONSIDERED AS ANOTHER

More information

Impact Investment. AFI Summit Discussion August 18, 2015

Impact Investment. AFI Summit Discussion August 18, 2015 Impact Investment AFI Summit Discussion August 18, 2015 Catalyzing Investments Over Time Impact Investing S SCALE OF OUTREACH c a l e Institution Building Governance Project-based TA SUSTAINABILITY Why

More information

Building up Business Microenterprise Demand for Credit in the Caribbean

Building up Business Microenterprise Demand for Credit in the Caribbean Building up Business Microenterprise Demand for Credit in the Caribbean January 28, 2014 Barbara Magnoni, Derek Poulton and Danielle Sobol EA Consultants Outline 2 1. Study Objectives 2. Methodology 3.

More information

Pricing for Microfinance

Pricing for Microfinance 1 The Russia Microfinance Project Document No.55 A U.S. Department of State/NISCUP Funded Partnership among the University of Washington-Evans School of Public Affairs, The Siberian Academy of Public Administration,

More information

What is MicroInsurance?

What is MicroInsurance? What is MicroInsurance? Craig Thorburn Senior Insurance Specialist, The World Bank Policy Advisory Consultant, CGAP cthorburn@worldbank.org +1 202 473 4932 or +1 202 470 6012 Skype: craig_thorburn MicroInsurance

More information

Mobilizing investment for development

Mobilizing investment for development INVESTMENT, ENTERPRISE AND DEVELOPMENT COMMISSION 7th Session Palais des Nations, Geneva 20 April 2015 Agenda Item 4 Mobilizing investment for development By Dr. Patrick Scheurle Chief Operating Officer

More information

CHAPTER 6 Towards a Resilient and Inclusive Financial System

CHAPTER 6 Towards a Resilient and Inclusive Financial System CHAPTER 6 Towards a Resilient and Inclusive Financial System Effective systems of support are essential to the realization of high and sustained economic growth and social inclusion, which are considered

More information

ACCESS TO FINANCE FOR AGRICULTURAL ENTERPRISES. Presented by Farouk Kurawa Agricultural Finance Specialist, USAID MARKETS II

ACCESS TO FINANCE FOR AGRICULTURAL ENTERPRISES. Presented by Farouk Kurawa Agricultural Finance Specialist, USAID MARKETS II ACCESS TO FINANCE FOR AGRICULTURAL ENTERPRISES Presented by Farouk Kurawa Agricultural Finance Specialist, USAID MARKETS II AGRICULTURE IN NIGERIA It is a wide spread activity practiced across all regions

More information

Micro Lending: A Case Study

Micro Lending: A Case Study Micro Lending: A Case Study Feraidoon (Fred) Raafat, College of Business Administration, San Diego State University, San Diego, CA 92182, (619) 594-5685, fred.raafat@sdsu.edu Massoud M. Saghafi, College

More information

Weather Index Crop Insurance. White Paper. Implementation, Product Design, Challenges And Successes Lessons Learned In The Field

Weather Index Crop Insurance. White Paper. Implementation, Product Design, Challenges And Successes Lessons Learned In The Field White Paper Weather Index Crop Insurance Implementation, Product Design, Challenges And Successes Lessons Learned In The Field By Shadreck Mapfumo, Vice President, Agriculture, MicroEnsure November 2008

More information

Solar Sister s Energy Consignment Model

Solar Sister s Energy Consignment Model Emerging Models Solar Sister s Energy Consignment Model SOLAR SISTER 2011 AFFORDABILITY MECHANISMS AND ENERGY ACCESS Women Micro-Retailers Drive Solar Product Adoption in East Africa Founded in 2010 by

More information

SECTOR ASSESSMENT (SUMMARY): MICRO, SMALL AND MEDIUM-SIZED ENTERPRISE DEVELOPMENT 1 Sector Road Map 1. Sector Performance, Problems, and Opportunities

SECTOR ASSESSMENT (SUMMARY): MICRO, SMALL AND MEDIUM-SIZED ENTERPRISE DEVELOPMENT 1 Sector Road Map 1. Sector Performance, Problems, and Opportunities Small Business and Entrepreneurship Development Project (RRP UZB 42007-014) SECTOR ASSESSMENT (SUMMARY): MICRO, SMALL AND MEDIUM-SIZED ENTERPRISE DEVELOPMENT 1 Sector Road Map 1. Sector Performance, Problems,

More information

Microfinance Expert, CEO of YOSEFO Finance Chairman of the Board of Directors of Mbinga Community Bank

Microfinance Expert, CEO of YOSEFO Finance Chairman of the Board of Directors of Mbinga Community Bank A CLKnet FORUM PRESENTATION BY ALTEMIUS MILLINGA Microfinance Expert, CEO of YOSEFO Finance Chairman of the Board of Directors of Mbinga Community Bank 11 th April, 2012 1 Tanzania s Financial Sector Landscape

More information

Typology of Microfinance Service Providers Version 1.3 1

Typology of Microfinance Service Providers Version 1.3 1 Page 1 of 5 Typology of Microfinance Service Providers Version 1.3 1 Formal financial institutions (FFIs) 1a. Private commercial bank Usually has corporate shareholding structure Regulated and supervised

More information

6 th African Microfinance Conference

6 th African Microfinance Conference 6 th African Microfinance Conference Presentation by: Mr. Wilson Twamuhabwa CEO, UGAFODE Microfinance Limited (MDI) President AMFIU- Uganda MFI Network Contact: wtwamuhabwa@ugafode.co.ug About UGAFODE

More information

Immigrants/ethnic minorities

Immigrants/ethnic minorities Immigrants/ethnic minorities Microcredit Foundation Horizonti Innovative approaches for providing sustainable financial services to the Roma community - Republic of Macedonia Objective: provide sustainable

More information

Microinsurance NOTE 3 Partnerships: Microfinance Institutions and Commercial Insurers

Microinsurance NOTE 3 Partnerships: Microfinance Institutions and Commercial Insurers Microinsurance NOTE 3 Partnerships: Microfinance Institutions and Commercial Insurers MFIs, working directly with the lowincome market, conducting financial transactions, managing financial controls, and

More information

Tailoring Agricultural Insurance Products to Developing Countries

Tailoring Agricultural Insurance Products to Developing Countries Tailoring Agricultural Insurance Products to Developing Countries Ramiro Iturrioz Senior Agriculture Insurance Specialist Insurance for the Poor The World Bank October, 2010 1 Agenda Risk and constraints

More information

Protecting the working Poor

Protecting the working Poor New Channels to Get Insurance to the Poor By Abby Gray & Sarah Bel Microinsurance Innovation Facility Microinsurance needs scale and efficiency in order to be sustainable. Insurers may be efficient, but

More information

MLIFE EXPERIENCE IN PRODUCT DISTRIBUTION

MLIFE EXPERIENCE IN PRODUCT DISTRIBUTION MICROINSURANCE BUSINESS MODELS FOR AFRICA LEARNING SESSIONS 09-12 MARCH 2015 LIVINGSTONE MLIFE EXPERIENCE IN PRODUCT DISTRIBUTION Presented by AGNES CHAKONTA, OUTLINE Introduction. Madison s experience

More information

Developing Catastrophe and Weather Risk Markets in Southeast Europe: From Concept to Reality

Developing Catastrophe and Weather Risk Markets in Southeast Europe: From Concept to Reality First Regional Europa Re Conference Developing Catastrophe and Weather Risk Markets in Southeast Europe: From Concept to Reality 12-14 October 2011 Ohrid, FYR of Macedonia Exploring alternative product

More information

Social Impact Report FY FY 2013 2013

Social Impact Report FY FY 2013 2013 Social Impact Report FY 2013 Message from the Chief Executive Officer I am pleased to present our second annual Social Impact Report. In this report, we discuss our various initiatives within the impact

More information

The Customer Experience

The Customer Experience The Customer Experience Anne Lockie EVP, Sales & Marketing Segment Overview Key Markets Growth Markets Prime Markets Commercial Markets Youth Nexus Small Business Borrowers & Builders Business Agriculture

More information

REMITTANCES, BANCARIZATION

REMITTANCES, BANCARIZATION REMITTANCES, BANCARIZATION AND THE DEMAND FOR INSURING SCHEMES Dorothee Crayen - University of Tübingen Christa Hainz - Ifo Institute for Economic Research, Munich Christiane Ströh de Martínez - Free University

More information

Opportunities for Financing the Agricultural Sector in Turkey

Opportunities for Financing the Agricultural Sector in Turkey Opportunities for Financing the Agricultural Sector in Turkey Financing Agriculture in Turkey Conference Istanbul, Turkey 18 April, 2012 Calvin Miller Agribusiness and Finance Group Leader FAO, Rome, Italy

More information

Introduction1. Sample Description. Drivers of Costs and the Empirical Approach or Explanatory Variables:

Introduction1. Sample Description. Drivers of Costs and the Empirical Approach or Explanatory Variables: Efficiency Drivers of Microfinance Institutions (MFIs): The Case of Operating Costs 1 Adrian Gonzalez, Researcher, MIX (agonzalez@themix.org) The findings, interpretations, and conclusions expressed in

More information

USEFUL LUMP SUMS: MICROENTERPRISE REVENUE MANAGEMENT AND ITS POTENTIAL FOR BANKS

USEFUL LUMP SUMS: MICROENTERPRISE REVENUE MANAGEMENT AND ITS POTENTIAL FOR BANKS FINANCIAL SERVICES ASSESSMENT USEFUL LUMP SUMS: MICROENTERPRISE REVENUE MANAGEMENT AND ITS POTENTIAL FOR BANKS s The median microentrepreneur household had to handle $2.31 of business-related cash to generate

More information

RURAL UTILITIES SERVICE. Statement of Brandon McBride, Administrator

RURAL UTILITIES SERVICE. Statement of Brandon McBride, Administrator For release only by the House Committee on Appropriations RURAL UTILITIES SERVICE Statement of Brandon McBride, Administrator Before the subcommittee on Agriculture, Rural Development, Food and Drug Administration,

More information

Comprehensive Life Insurance Audit

Comprehensive Life Insurance Audit Over the past several years we have seen a dramatic change in the economics that affect the life insurance industry. These economic conditions and other factors have mandated the review of life insurance

More information

Room to Read Literacy Fund Report

Room to Read Literacy Fund Report Room to Read Literacy Fund Report Women s World Banking September 2011 Deepening Financial Inclusion for Women in the Pacific Islands: Executive Summary For more than 30 years, Women s World Banking (WWB)

More information

SECTOR ASSESSMENT (SUMMARY): FINANCE

SECTOR ASSESSMENT (SUMMARY): FINANCE Microfinance Expansion Project (RRP PNG 44304) Sector Road Map SECTOR ASSESSMENT (SUMMARY): FINANCE 1. Sector Performance, Problems, and Opportunities 1. During 2000 2006, the growth in population in Papua

More information

Climate Risk Adaptation and Insurance in the Caribbean

Climate Risk Adaptation and Insurance in the Caribbean Project Brochure No. 2 Climate Risk Adaptation and Insurance in the Caribbean Providing Risk Management Tools to Help Vulnerable People Adapt to Weather Extremes Unlocking Development Potential in the

More information

Employment of Marginalized groups

Employment of Marginalized groups Employment of Marginalized groups Employment and self-employment programs OPEN SOCIETY INSTITUTE ECONOMIC AND BUSINESS DEVELOPMENT PROGRAM / SEDF David Meier dmeier@sorosny.org Entrepreneurship Among Roma

More information

UNCDF. Access to Financial Service for Rural Women: Best Practices, Challenges and Prospects

UNCDF. Access to Financial Service for Rural Women: Best Practices, Challenges and Prospects UNCDF Access to Financial Service for Rural Women: Best Practices, Challenges and Prospects May 2015 Why target rural Women Empowerment of rural women is key to propoor development and economic growth.

More information

Value Chain Financing, Warehouse Receipt Financing/Collateral Management, and Equipment Financing. Lessons from AgriFin Study Tour in India

Value Chain Financing, Warehouse Receipt Financing/Collateral Management, and Equipment Financing. Lessons from AgriFin Study Tour in India Value Chain Financing, Warehouse Receipt Financing/Collateral Management, and Equipment Financing Lessons from AgriFin Study Tour in India January 2016 Introduction AgriFin Study Tours are organized to

More information

Rural and Agricultural Finance. Day 1: Block 1 What and Why of Rural Finance?

Rural and Agricultural Finance. Day 1: Block 1 What and Why of Rural Finance? Rural and Agricultural Finance Day 1: Block 1 What and Why of Rural Finance? Self Introduction 7 Questions 1. Name, institution, and current job title. 2. What activity are you working on now that is related

More information

Institutional Options for Achieving Scale and Sustainability: Lessons from the Philippines (Microinsurance MBA Model)

Institutional Options for Achieving Scale and Sustainability: Lessons from the Philippines (Microinsurance MBA Model) Institutional Options for Achieving Scale and Sustainability: Lessons from the Philippines (Microinsurance MBA Model) By: Jaime Aristotle B. Alip, Ph D. RIMANSI Organization for Asia and the Pacific, Inc.

More information

Putting the social into performance management: State of practice

Putting the social into performance management: State of practice Putting the social into performance management: State of practice NOVEMBER 2008 Introduction The microfinance industry borne primarily out of a desire to help the world s vulnerable and poor has grown

More information

World Health Organization 2009

World Health Organization 2009 World Health Organization 2009 This document is not a formal publication of the World Health Organization (WHO), and all rights are reserved by the Organization. The document may, however, be freely reviewed,

More information

Assessing the Sustainability of Savings and Credit Cooperatives

Assessing the Sustainability of Savings and Credit Cooperatives Assessing the Sustainability of Savings and Credit Cooperatives Markus Distler (markus.distler@die-gdi.de) and Daniel Schmidt (daniel.schmidt@diegdi.de) 1 1. Introduction Microfinance has been centered

More information

Shaping national health financing systems: can micro-banking contribute?

Shaping national health financing systems: can micro-banking contribute? Shaping national health financing systems: can micro-banking contribute? Varatharajan Durairaj, Sidhartha R. Sinha, David B. Evans and Guy Carrin World Health Report (2010) Background Paper, 22 HEALTH

More information

Allianz Reducing the risks of the poor through microinsurance

Allianz Reducing the risks of the poor through microinsurance DEDICATED TO MAKING A DIFFERENCE World Business Council for Sustainable Development Case Study 2009 Allianz Reducing the risks of the poor through microinsurance The business case The Allianz Group has

More information

THE MASTERCARD FOUNDATION: RURAL AND AGRICULTURAL FINANCE STRATEGY

THE MASTERCARD FOUNDATION: RURAL AND AGRICULTURAL FINANCE STRATEGY THE MASTERCARD FOUNDATION: RURAL AND AGRICULTURAL FINANCE STRATEGY SEPTEMBER 2015 The MasterCard Foundation works with visionary organizations to provide greater access to education, skills training and

More information

TAMNEAC Research Area 2: Risk Management Household Risk Management through Crop Insurance

TAMNEAC Research Area 2: Risk Management Household Risk Management through Crop Insurance One World to protect TAMNEAC Research Area 2: Risk Management Household Risk Management through Crop Insurance CONTENT I. Presentation of PlaNet Guarantee II. Presentation of PlaNet Finance Deutschland

More information

of the microcredit sector in the European Union 2010-11

of the microcredit sector in the European Union 2010-11 Overview of the microcredit sector in the European Union 2010-11 Summary For the first time the EMN Overview survey covered Non-EU member states including all potential EU candidate states. A special emphasis

More information

SESSION 2: POLICIES AND REGULATION FOR FINANCIAL INCLUSION

SESSION 2: POLICIES AND REGULATION FOR FINANCIAL INCLUSION UNITED NATIONS CONFERENCE ON TRADE AND DEVELOPMENT Expert Meeting on THE IMPACT OF ACCESS TO FINANCIAL SERVICES, INCLUDING BY HIGHLIGHTING THE IMPACT ON REMITTANCES ON DEVELOPMENT: ECONOMIC EMPOWERMENT

More information

Mitigation of Investment Risk

Mitigation of Investment Risk 1of 37 F A O P o l i c y L e a r n i n g P r o g r a m m e Module 3: Investment and Resource Mobilization Mitigation of Investment Risk 2of 38 Mitigation of Investment Risk By Calvin Miller, Senior Officer,

More information

Lifestyle Protection Insurance. Cover for your financial commitments and expenses in the event of the unexpected.

Lifestyle Protection Insurance. Cover for your financial commitments and expenses in the event of the unexpected. Lifestyle Protection Insurance Cover for your financial commitments and expenses in the event of the unexpected. About Lifestyle Protection Insurance Life doesn t always go according to plan. Redundancy,

More information

INTRODUCING MICROFINANCE HOUSING LOANS An initiatives Undertaken by

INTRODUCING MICROFINANCE HOUSING LOANS An initiatives Undertaken by INTRODUCING MICROFINANCE HOUSING LOANS An initiatives Undertaken by YOSEFO A presentation at the African Microfinance conference August 12-15, 2013 Durban, South Africa By Altemius Millinga Executive Director

More information

TRAINING CATALOGUE ON IMPACT INSURANCE. Building practitioner skills in providing valuable and viable insurance products

TRAINING CATALOGUE ON IMPACT INSURANCE. Building practitioner skills in providing valuable and viable insurance products TRAINING CATALOGUE ON IMPACT INSURANCE Building practitioner skills in providing valuable and viable insurance products 2016 List of training courses Introduction to microinsurance and its business case...

More information

Microinsurance NOTE 1 What is Microinsurance?

Microinsurance NOTE 1 What is Microinsurance? Microinsurance NOTE 1 What is Microinsurance? Because most low-income people in developing countries are selfemployed or employed in small firms, they have not had access to insurance products that fit

More information

CHAPTER VI ON PRIORITY SECTOR LENDING

CHAPTER VI ON PRIORITY SECTOR LENDING CHAPTER VI IMPACT OF PRIORITY SECTOR LENDING 6.1 PRINCIPAL FACTORS THAT HAVE DIRECT IMPACT ON PRIORITY SECTOR LENDING 6.2 ASSOCIATION BETWEEN THE PROFILE VARIABLES AND IMPACT OF PRIORITY SECTOR CREDIT

More information

VITHYEA KHIEV Rural Development Bank of Cambodia Daun Penh District, Phnom Penh, Cambodia

VITHYEA KHIEV Rural Development Bank of Cambodia Daun Penh District, Phnom Penh, Cambodia Experiences of Cambodia s Rural Development Bank Program on Agricultural Value Chain Finance VITHYEA KHIEV Rural Development Bank of Cambodia Daun Penh District, Phnom Penh, Cambodia Regional Training

More information

Tapping the Markets of Un/derbanked Women and Youth: Diamond Bank, Nigeria. August 14, 2013 Durban, South Africa

Tapping the Markets of Un/derbanked Women and Youth: Diamond Bank, Nigeria. August 14, 2013 Durban, South Africa Tapping the Markets of Un/derbanked Women and Youth: Diamond Bank, Nigeria August 14, 2013 Durban, South Africa Women s World Banking s Global Footprint + 30 years being the largest network in microfinance

More information

Event on Commission-EIB co-operation on agriculture and rural development within the EU. Brussels, 23 March 2015.

Event on Commission-EIB co-operation on agriculture and rural development within the EU. Brussels, 23 March 2015. Event on Commission-EIB co-operation on agriculture and rural development within the EU Brussels, 23 March 2015 Opening statement by EU Agriculture & Rural Development Commissioner Phil Hogan - CHECK AGAINST

More information

Management Information Systems (MIS) for Microfinance

Management Information Systems (MIS) for Microfinance Management Information Systems (MIS) for Microfinance Ali Ahmad, CIO, The First MicrofinanceBank Ltd. ICT can be a strategic tool in making Microfinance Institutions (MFIs) more efficient and effective.

More information

7.2. Insurance and Investments

7.2. Insurance and Investments Personal Finance and Money Management (Basics of Savings, Loans, Insurance and Investments) ------------------------------------------------------------------------------------ Module 7 Topic-2 ------------------------------------------------------------------------------------

More information

Thomas Malthus Economist in the late 1700s-early 1800s felt Europeans will not be able to eat if population increased

Thomas Malthus Economist in the late 1700s-early 1800s felt Europeans will not be able to eat if population increased European Population doubled (1850-1914) Thomas Malthus Economist in the late 1700s-early 1800s felt Europeans will not be able to eat if population increased After World War II, Europeans and other industrial

More information

MICROINSURANCE PRODUCTS

MICROINSURANCE PRODUCTS MICROINSURANCE PRODUCTS Presentation at KfW/ISSSG Regional Symposium on Microinsurance Tbilisi, Georgia by Mosleh Uddin Ahmed FCA Independent Consultant 28th June 2005 MICROINSURANCE PRODUCTS Several microinsurance

More information

Human Movements and Immigration (HMI) World Congress, 2-5 September 2004, Barcelona, Spain. Track: Economics and Development

Human Movements and Immigration (HMI) World Congress, 2-5 September 2004, Barcelona, Spain. Track: Economics and Development Human Movements and Immigration (HMI) World Congress, 2-5 September 2004, Barcelona, Spain Track: Economics and Development Dialogue Session on Remittances and Development Title: Connecting People on the

More information

4. Conducting performance monitoring and evaluation

4. Conducting performance monitoring and evaluation 60 4. Conducting performance monitoring and evaluation IFAD DECISION TOOLS FOR RURAL FINANCE 4. Conducting performance monitoring and evaluation Action: Effectively conduct ongoing and annual performance

More information

Farm Credit s Mission to serve Young, Beginning, and Small Farmers. New loans made in 2010 to: Young: $7.3 billion Beginning: $10.

Farm Credit s Mission to serve Young, Beginning, and Small Farmers. New loans made in 2010 to: Young: $7.3 billion Beginning: $10. Farming s Future: The Next Generation Gary Matteson, Farm Credit Council VP Young, Beginning, Small Farmer Programs and Outreach Looking to the Future must know where beginning farmers are what beginning

More information

FINANCING SMALL AND MICRO ENTERPRISES IN AFRICA 2. THE CHARACTERISTICS OF MICROFINANCE ARRANGEMENTS IN AFRICA

FINANCING SMALL AND MICRO ENTERPRISES IN AFRICA 2. THE CHARACTERISTICS OF MICROFINANCE ARRANGEMENTS IN AFRICA FINANCING SMALL AND MICRO ENTERPRISES IN AFRICA 1. THE ISSUES There is the perception that the demand for finance by small enterprises far exceeds the supply, but recent research in 4 countries shows that

More information

KENYA READY FOR TAKE OFF?

KENYA READY FOR TAKE OFF? Central Bank of Kenya KENYA READY FOR TAKE OFF? A NATIONAL CONFERENCE ON KENYA S ECONOMIC SUCCESSES, PROSPECTS AND CHALLENGES SEPTEMBER 17 18, 2013, NAIROBI, KENYA KENYA S MOBILE PHONE FINANCIAL SERVICES:

More information

Microinsurance. and Social Health Protection: and Threats. Date 13/11/2008. Harrie Oostingh

Microinsurance. and Social Health Protection: and Threats. Date 13/11/2008. Harrie Oostingh Microinsurance and Social Health Protection: Opportunities and Threats Date 13/11/2008 Harrie Oostingh Rationale for Health Micro Insurance 5.6 billion people are unprotected against consequences of illness

More information

Repayment Frequency and Default in Micro-Finance: Evidence from India

Repayment Frequency and Default in Micro-Finance: Evidence from India Repayment Frequency and Default in Micro-Finance: Evidence from India Erica Field and Rohini Pande Abstract In stark contrast to bank debt contracts, most micro-finance contracts require that repayments

More information

Marketing in Microfinance Institutions

Marketing in Microfinance Institutions Innovations in Microfinance This series showcases innovative microfinance programs from the February 2000 Advancing Microfinance in Rural West Africa conference held in Bamako, Mali. The programs emphasize

More information

A ccording to the World Bank around 2.2 billion people,

A ccording to the World Bank around 2.2 billion people, How Microinsurance can Help to Reduce Poverty Sawsan Eskander, James Anderson and Dermot Grenham A ccording to the World Bank around 22 billion people, or almost 3% of the global population, live on incomes

More information