Blog

Three Myths about SME Finance

Small and medium enterprises (SMEs) are again at the center of attention – and this is excellent news because in many countries these businesses are the backbone of the economy and they employ large numbers of people. Unfortunately, the environments in which SMEs operate are not always conducive for their growth and development.

Gold Backed Loans: Unlocking Liquidity for the Poor?

In some parts of South Asia there is a long standing tradition of accumulating gold as a preferred form of saving. Acquiring gold allows small amounts to be accumulated at different intervals; it is not easily lost or destroyed; it is small and lightweight compared to its value; and it is easily divisible into small units which can be sold off as needed.

The Arab Spring: Risks and Opportunities

If more enabling operating environments are the opportunity of the Arab Spring, let’s bet practitioners will deploy innovative ways to offer financial access to those who need it most.

The Poor Need Better Payment Services

Poor people’s need for domestic payments is often large, whether it is spurred by migrant labor remittances, informal support networks of friends and family, government welfare payments, or utility payments.

Counting SMEs and Their Demand for Financing

How difficult can it be to count how many micro, small, and medium enterprises (MSMEs) there are in the world, and to estimate what their demand for financing really is?

Measures to Overcome Revolution-Induced Problems

The poor are always the first losers in times of economic downturn and the micro-enterprise sector in Tunisia has been hard hit.

Financial Capability at the Base of the Pyramid

Financial inclusion is expanding, bringing access to financial products and services to millions of previously unbanked, low-income consumers. Managing your money also brings risks however, many of which are difficult for even experienced consumers to handle, and much more for new market entrants.

Top 10 List: Powerful Partnerships in Branchless Banking

A few weeks ago in Washington, DC, we hosted many of our partners who are implementing branchless banking products and services around the world. This was a chance not only for us to learn about the state of play of the industry at a global level, but also to allow the partners themselves to share learnings and experiences with each other.

MasterCard Foundation & BRAC USA Visit Ethiopia Graduation Pilot

Ann Miles of The MasterCard Foundation and Susan Davis of BRAC USA went on a field visit to Relief Society of Tigray (REST) Ethiopia Graduation Program site in Tigray, Ethiopia.

MSME, MSME, and MSME…

Regionally, MSMEs account for more than 40% of private-sector employment, yet in many MENA countries they lack access to finance, opportunities to market their products, and effective business development services.

What Do Clients Really Want from Insurance?

Some say that insurance does not have a natural ‘fit’ with financial behaviors of low-income households, given that benefits are deferred in time and limited to just those few who claim. But, the shocks experienced by those lacking good risk-management tools have such devastating effects on livelihoods, that it is important not to abandon insurance as a development tool only because the ‘fit’ is not obvious.

The Arab Spring and Microfinance in Syria

The winds of the Arab Spring gusted late into Syria, arriving within a climate quite distinct from the political storm that swept through Egypt and Tunisia. Violent clashes between protestors and government forces in Syria are ongoing without any sign of slackening, dispute resolution, or concord bringing a timely settlement.

Microfinance in Yemen: The Abyan Program

In 2011, some institutions and microfinance programs in Yemen have cut down loan disbursement, and even at times, stopped lending completely, leading to a decrease in the number of clients in Yemen.

Tracking Mobile Money Use in Haiti

We all remember the devastating 7.0 earthquake that struck Haiti in January 2010 reportedly destroying about one-third of the country’s bricks-and-mortar bank branches, limiting Haitians’ ability to send and receive money transfers, cash checks, or simply access much-needed cash resources.

Behavioral Invention: A Practitioner’s Perspective

All the research and field experience suggests that savings accounts needed to be easily accessible, flexible, and cheap to ensure adoption.

Savings and Investment Needs of Rural Inhabitants

Taking a closer look at specific client segments to understand their sources and flow of income and expenses and their strategies for investment and savings can help providers develop financial products they meet their needs and complement the solutions they already employ.

Refocusing on Client Experiences and Their Struggles

By learning to better protect customers struggling with their debt, we will automatically improve the risk management and thus portfolio quality of MFIs.

From Data to Action: Using Finscope in Nigeria

Since 2002, FinMark Trust has promoted FinScope, a research tool to address the need for credible information that could facilitate evidence-based financial sector development.

Beyond Payments or Just Different Payments?

Everyone is always talking about trying to move the branchless banking industry beyond just payments. Those of us concerned with accelerating “real financial inclusion” long to see credit, savings and insurance products pushed over new delivery channels. But is it possible that there’s still work to be done within the payments space itself, just diversifying a bit beyond simple P2P transfers?

A Quick Journey Through the History of Usury

Microfinance is at a critical juncture, and as we reflect on how we got here, should ask: What makes us different from what was previously done through the ages, since coins were first established as a medium of exchange? And how do we maintain what’s different and avoid slipping into the well-worn paths that emerge when we examine the history of usury?