Performance Indicators for Microfinance


This highly interactive workshop targets MFI managers of organisations with different profiles (legal form, age, size, area of operations,…) within a single region or country, who are keen to get more familiar with the calculation and interpretation of the financial ratios of their organisation. They will have the opportunity to get an on-site analysis of key performance indicators and return to their institution with practical and ready to use tools. It must be stressed that this training is based on the real figures of the participating MFIs.



The general objective of the workshop is to give MFIs a better insight into the actual financial situation of their organisation and its position in the microfinance sector.

It is vital to understand the benefits of monitoring and analysing financial performance indicators. Appraising their operational risks and assessing their financial condition will allow institutions to maintain or to progress towards sustainable business models.

Specific objectives include:

  • Teaching MFIs the existence, definitions and interdependence of commonly used and accepted performance indicators in the microfinance industry
  • Enhancing the skills and capacity of management in interpreting ratios, analysing financial trends, positioning themselves within the industry (benchmarks) and identifying key areas of risk to mitigate
  • Sensitising MFIs about the importance of performance monitoring as a tool for their daily management, decision‐making and business planning process
  • Raising awareness about the benefits of transparency and performance assessments (ratings), namely to secure external sources of funding
  • Promoting the exchange of knowledge and experience among participating MFIs




The workshop takes place over 3 days and covers the following topics:

1. What is performance? What is transparency? What is benchmarking?

2. Definition, interpretation, analysis and graphical illustration of 16 key standard financial performance indicators in the areas of:

- Portfolio Quality

- Efficiency and Productivity

- Financial Management

- Profitability and sustainability

3. Analytical adjustments of financial data
4. Financial performance monitoring tools
   a. BRS/ADA factsheet: a user‐friendly MIS‐Tool to compute ratios and create graphs
   b. External performance evaluations (ratings): what, why and how?

Training method

This workshop has distinctive didactical features so as to generate:

  • Interactivity: Results for each MFI's performance indicator is illustrated through graphs built from the financial data provided by MFIs. The graphs show each MFI’s performance with reference to the current situation, benchmarking and trends over the last 3 years.
  • Participation and exchange: Participants are invited to give their interpretation and to comment on the graphs in light of their specific operational context and institutional organisation, and to share/exchange their experiences and practices.
  • Putting learning into practice: Practical exercises and analysis of trends are also part of the course. A final case study encompassing all the notions reviewed is ultimately carried out.


The theoretical and practical basics of this workshop

The theoretical content of the workshop is mainly based on the “Technical guide for performance indicators”, MicroRate & IDB, 2003, and has been supported over the years by other sources such as the “A Framework for reporting, analysis and monitoring (FRAME)” guide by SEEP network. Practicality and interaction are ensured through the analysis of the participants’ financial data and have been further enhanced thanks to the feedback from participants in previous workshops on additional application exercises, an elaborated final case study and relevant didactical methods.

Target audience

Participants are members of the executive management team: General Director, Financial Director or Director Microfinance Department. Accounting principles and financial statements won't be reviewed. A maximum of 20 MFIs can participate in the workshop, with a minimum of 10. The workshop
targets growing MFIs unfamiliar or only slightly familiar with financial performance indicators that want to become viable and competitive institutions.

In order to draw the maximum benefits from the workshop, MFIs that wish to participate should meet the following criteria (exceptions can be made on a case‐by‐case basis):

  • A minimum gross loan portfolio of EUR200,000
  • A minimum of 3 years of financial statements
  • A clear core activity in the provision of credit services (the studied indicators are not relevant to measure the performance of mainly deposit‐taking institutions)

MFIs interested in taking part are required to fill in some simplified financial statements and provide institutional information for the preceding 4 years according to the format provided by the training team. These figures are used by the trainer to create illustrative graphs of the related ratios. These graphs will form the basis of discussions. The data is used solely for the purpose of the workshop and is otherwise kept confidential.



The workshop is organised jointly by a local PARTNER and BRS/ADA. The distribution of tasks between BRS/ADA and the PARTNER for the workshop coordination is:

  • BRS/ADA provides the content and moderates the workshop
  • The PARTNER promotes the workshop among selected institutions of the country/region and is in charge of all organisational aspects before, during and after the workshop.

A list of tasks to complete is available in the collaboration contract established between the PARTNER and BRS/ADA for the amount of budget allocated and agreed beforehand between the two parties.  


The  average  cost  for  a  3‐day  workshop  is  EUR  1.100  per  participant.  This  covers  all  costs (training material, catering, accommodation, transport costs,…).  The organising partner can apply to the specific training fund of BRS/ADA to contribute to the workshop costs.  However,  depending  on  local  practices,  a  minimum  contribution  of  100 EUR/participant is required.




There are no preset dates for these workshops.

The workshops are more or less tailor made and on demand.


Information form


Please fill out the information request for further inquiry.

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Microfact Mgr. Ladeuzeplein 15
3000 Leuven



microfact is a joint initiative of



microfact is a joint initiative of