Code of Conduct Assessment for the Microfinance Sector

15 Aug 2015

A macro and micro view of MFI’s compliance to the Code of Conduct Associations of Microfinance Institutions such as Sa-Dhan and the Microfinance Institutions Network developed a Code of Conduct (CoC) for Microfinance Institutions. They were supported in this effort by the Small Industries Development Bank of India and other institutions, after the Fair Practice Code that had been mandated by the Reserve Bank of India came into existence in […]

Self Help Group Bank Linkage: Through the Responsible Finance Lens

21 Jul 2015

A Study on State of Practice in SHG Bank Linkage in Madhya Pradesh, Bihar and Karnataka The self-help group (SHG) program, which began as a women’s empowerment initiative in the 1980’s added a significant component in 1992, when a NABARD initiative linked a small number of SHGs with banks. In India today, there are over 73.18 lakh savings-linked SHGs and 44.51 lakh credit linked SHGs, covering approximately 95 million households1. SHGs […]

Report on Human Resource Management in Microfinance Institutions: The State of Practice

19 Jul 2015

Many MFIs have set up robust HR systems and practices over time; however other MFIs still need to invest in this area. Post the crisis, due to the RBI’s guidelines for NBFC‐MFIs to comply with (particularly the stipulated margin cap), MFIs are further constrained to reduce costs with obvious implications on costs of hiring, training and retaining human resources. While it is accepted that the most important cornerstone of responsible […]

Outreach of Microfinance Finance Institutions in four focus states

22 Jun 2015

(A Consolidated report on analysis of MFIs outreach in Bihar, Odisha, M.P., and U.P.) Funded by Department for International Development (DFID), UK, Poorest State Inclusive Growth (PSIG) programme is being implemented by SIDBI. The programme aims to enhance the income and employment opportunities of poor women and men in 8 low income States by enabling them to participate and benefit from wider economic growth in India. The purpose of the […]

Governance Practices Among Microfinance Institutions in India

21 Jun 2015

Governance has assumed increasing importance in the Indian microfinance sector over the last few years. With the growth in portfolio and outreach of MFIs, intense competition and stricter regulations, the governance practices of MFIs needed to adapt quickly. Strong governance not only contributes to robust growth of the institution but also avoids the possibility of mission drift. There is a need for prudent corporate governance structure to prevent MFIs from […]

Improving Client Value from Microinsurance: Insights from Kenya, India and The Philippines

18 Jun 2015

The primary goal of the International Labour Organization (ILO) is to contribute with member States to achieve full and productive employment and decent work for all. The Decent Work Agenda comprises four interrelated areas: respect for fundamental worker’s rights and international labour standards, employment promotion, social protection and social dialogue. Broadening the employment and social protection opportunities of poor people through financial markets is an urgent undertaking. Housed at the […]

Impact of Policies and Regulations on the Micro finance Sector

18 May 2015

The Andhra Pradesh micro finance crisis and the subsequent regulatory regime had a significant impact on the micro finance institutions and their customers. Stipulation of minimum net owned funds, introduction of the concept of “qualifying assets”, strict IRAC and capital adequacy norms, cap on operational income, compliance to credit bureau checks and emphasis on corporate governance for NBFC-MFIs meant only a few who adhere to these covenants would be allowed […]

Social Performance Indicators for Microinsurance

09 Apr 2015

This note presents the social performance indicators for microinsurance, which are designed by and developed for microinsurance practitioners to monitor, improve and champion social performance. Why is social performance important? Microinsurance targets vulnerable and financially excluded people who are exposed to relatively high levels of risk, such as illness, death, natural disaster, crime or crop failure. If well designed and delivered, microinsurance can provide a formal and dependable coping mechanism […]

How to Develop an Institutional Code of Ethics

06 May 2014

The Smart Campaign’s client protection principle on Fair and Respectful Treatment of Clients encourages financial service providers to treat clients with fairness and respect and to ensure that measures exists to detect and correct corruption and abuse, particularly during the credit sales and collection processes. An institutional Code of Ethics helps employees practice fair and respectful treatment of clients by defining clear standards of ethical behavior that they must uphold. […]

Grameen Financial Services Code of Conduct e-Learning Module

06 May 2014

Grameen Financial Services Pvt. Ltd. (GFSL) is an Indian Non Banking Financial Company (NBFC) that strives to enable economic and social change in poor and low-income households via its financial and development services. Currently GFSL operates in the states of Maharashtra, Karnataka and Tamil Nadu, serving 321,161 active borrowers with an outstanding loan portfolio of $55.84 million. Launched in 1999 as Grameen Koota in Bangalor (Karnataka), the NGO quickly expanded […]