Blog Series

Microfinance Solvency and COVID-19

When COVID-19 hit, it did not take long for questions to emerge about whether the pandemic posed an existential threat to the microfinance sector. CGAP’s research has demonstrated the need to carefully monitor solvency in the longer term as the effects of the pandemic continue to reverberate well into 2021, especially among smaller microfinance institutions. CGAP has worked closely with development finance institutions and other stakeholders since the start of the pandemic, coordinating information on institutions’ perspectives and convening technical discussions on possible ways forward for the microfinance sector. Following a report summarizing the main findings of these efforts, experts in the field elaborate on key issues in this blog series.