Blog

CGAP Podcast with Jonathan Donner of Microsoft Research India

Jonathan Donner is a Researcher in the Technology for Emerging Markets Group at Microsoft Research India.
Blog

All about Where the Curves Meet

The basic challenge in both micro and SME finance is that it costs more in absolute terms to lend a given amount in a number of small loans rather than one big loan, especially when it comes to those household and enterprise loans where approval decisions can’t be based on automatic scoring.
Blog

Are Microcredit Interest Rates Excessive?

High microfinance interest rates is a hotly debated topic in a lot of places. Obviously, the answer for a given MFI depends on its particular circumstances.
Blog

What Drives MFI Efficiency?

Institutional efficiency is generally measured by dividing operating expenses by the size of the loan portfolio. A given MFI is usually regarded as having become more efficient when this indicator gets lower.
Blog

How Sustainable is Microfinance, Really?

Lots of MFIs are now drawing billions (really!) in investment from microfinance investment funds that are dominated, not by development agencies, but by investors who are not willing to accept anything below a fully commercial risk-return profile.
Blog

New CGAP Paper: Banking through Networks of Retail Agents

This Focus Note considers the issues, challenges, and opportunities of banking through networks of retail agents.
Blog

Why Has M-PESA Become So Popular in Kenya?

Despite the cash float problems, the majority of customers in both the urban and rural areas assert that they prefer M-PESA over other money transfer services. This means that M-PESA must be offering them some kind of substantial benefit.
Blog

New CGAP Paper Explores the Power of Shared Agent Networks

This Focus Note presents an alternative, systemic approach to branchless banking in which there is no need for a bank to have a contractual relationship with any of the retail outlets through which it is absorbing deposits or meeting liquidity needs of its customers.