Transparency on Performance

In addition to its work on quantifying and analyzing funding flows, CGAP is stepping up efforts to increase transparency around the performance of various funders.
 
While this area of work is still in development, CGAP has made progress on shedding light on the performance of microfinance investment vehicles (MIVs) and the performance of the project portfolios of two major multilateral agencies. CGAP is also developing the SmartAid for Microfinance Index that measures whether funding agencies are set up to support microfinance effectively.
 
The CGAP MIV Benchmarking Report 2007, the first comprehensive survey of its kind, provides an overview of the MIV landscape and presents performance information for 40 MIVs that represent 87 percent of MIV assets under management as of December 2006.
 
The World Bank and UNDP took the courageous step of asking CGAP for an in-depth external evaluation of their microcredit portfolios. The 2006 reviews revealed a disappointing picture, but also highlight promising corrective measures.
 
Seven funders volunteered to participate in the pilot round of the SmartAid for Microfinance Index 2007. The results show mixed performance.  Staff capacity emerged as the area with the most challenges, while average scores were relatively high for appropriate instruments.