doc downloadBratislavaMFC

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MICROFINANCE CENTRE for Central and Eastern
Europe and the New Independent States Social
Finance in Progress Social Finance and
Inclusion in Europe Bratislava, Slovakia, 2-4
June, 2004
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MFC as CGAP hub since 1998
Microfinance Centre for CEE and the NIS
CAPAF
China Microfinance Center
Punla Foundation
Eda Rural Systems
AFCAP
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Microfinance Centre for CEE and the NIS
Member MFIs
Networking
Other MFIs
Training and Consulting
Research
Donors
Policy
Investors
Policy makers
87 member MFIs in 25 countries CEE
52 Caucasus 12 Central Asia 16 Russia 3
Other 4
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Our region continues to be characterized by a
range of different institutional models
Total Outstanding Loan Portfolio
Total Number of Borrowers
Commercial Banks 71,118
2.3 M
2.2 B
Microfinance Banks 186,620
NBFIs 291,236,997
NBFIs 361,007
Commercial Banks 315,367,146
Microfinance Banks 779,740,885
Credit Unions 1,647,850
Credit Unions 833,803,318
Note Figures for commercial banks and credit
unions refer to their entire portfolios, not
solely that within the micro-enterprise segment.
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Total growth for the sector matched that of 2002,
though growth of microfinance banks increased
significantly, while that of NBFIs slowed
Growth Rates of Loan Portfolio and Active
Borrowers, 2003
For all institution classes, growth in portfolio
has outstripped growth in active borrowers.
Note Calculated using only the figure from
institutions that responded to the survey both
years in order to allow for a consistent
comparison set.
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Institutional performance continues to be strong
across the sector
Number of Reporting NBFIs with OSS 100 or Greater
Portfolio at Risk gt30 days, 2003
NBFIs
Microfinance Banks
Commercial Banks
Portfolio quality is strong across a range of
institution types
Sustainability data for NBFIs indicates a steady
increase in performance over time.
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Critical role in developing the sector
Regional Microfinance Industry Landscape
Support to member and non-member MFIs as well as
coordination and influencing all stakeholders in
the sector
Support to member and non-member MFIs as well as
coordination and influencing all stakeholders
in the sector
IFIs / Bilateral Donors
International NGOs
Private Investors
Independents Academics
Alliances Networks
MFC
Credit Unions
NGO MFIs
MF Banks Downscaled CBs
End-Clients
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Critical role in developing the sector

• Overcoming key barriers

MFC sample actions
Barriers to Development
Vision Themes

• Training Consulting,
• Action Research

• Gaps in MFI Capacity

MFIs

• Research Mapping Study

• MFI Funding Distortions,
• inefficiencies

Funding

• Association Building Resource Centre

• Underdeveloped uncoordinated support sector

Networks Support Orgs

• Data collection with MIX
• MFC conference, case studies

• Inefficient uncoordinated data information
  flows
• Cultural Issues

Marketplace

• Policy Forum Policy Monitor
• Legal Diagnostics

• Poor policy environment
• Low awareness of MF micro enterprise sectors

Macro-Environment
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MFC Organizational Structure

• Board Directors (34)
• Management Board
• 14 staff based in Poland
• 4 staff based in Russia, Ukraine and Serbia
• 18 local trainers (affiliated with MFC)

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MFC Training Products
English, Russian, Serbo-Croatian
Open Enrolment
In-house
Consulting
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MFC Training and Consulting Unit
62 repeat participation
1,886 Participants from 803 Institutions 107
training/consulting events
71 repeat participation
745 Participants from 401 Institutions 54
training/consulting events
448 Participants from Central Asia
171 Participants from Central Asia
In 2003
Since inception
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MFC Training courses since 1998
Offerings
Participants
MFIs
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Training and Consulting 1998-2003
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MFC Research Unit
Research Projects
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MFC Policy Program

• Regional level
• NIS Policy Forum on Microfinance Law and
  Regulation in 2001 and 2003
• Policy Monitor - in English and Russian
• Development of the legal database
• Country level (Serbia as country example)
• Legal and regulatory diagnostic in 2002
• Serbian Policy Working Group facilitated
• Microfinance law for Serbia drafted

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Networking Highlights

• Membership 87 MFIs (24 in 1998)
• 7 Annual Meetings of CEE/NIS practitioners
• Russian and English version of the regional
  newsletter
• MFC member exchange visits

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Success Factors

• Partnership with CGAP
• Mastering one service demand driven training
• Investing in local MFI staff as trainers and
  consultants
• Sound strategic and business planning
• Well connected and visionary board of directors
• Untapped market for mf services
• Strategic linkage with MIX and SEEP Network

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MFC Role

• Striking a balance across three distinct but
  overlapping roles in the sector

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MFC web page

• www.mfc.org.pl