Microfact aims to strengthen the performance of Microfinance and Microinsurance Institutions through the use of tools (Microfinance Tools and Microinsurance Tools) and workshops (Microfinance Workshops and Microinsurance Workshops).
Against all the odds, an electricity blackout in town, a hot training room and no elevators, 11 MFIs participated in a Microfact training in Myanmar.
28 participants, 2 trainers, 1 interpreter and very good energy from everyone were the ingredients for this successful training. Local and international, small and big… a good mix of MFIs allowed for good interaction between participants. MFIs included BRAC, CARD, Fullerton, KB Hana, LOLC, Ngew Marlar, MFIL, NYWCA, INNO Capital, Straits and Ar Yone Or.
The room got hotter as participants debated about gender distribution of staff and management ratios during the case study exercises. Ratios interdependency was one of the key elements participants were able to practice while improving their capacity to analyse their financial and social performance.
This was the first Microfact training organized in Myanmar but definitely not the last one!
KJay zu tin bar deh and Tat Tar!
As a means to provide even better support to local trainers and enable them to offer continued support to the financial institutions, Microfact proposes the new Microfact Call for Factsheets.
Through this initiative, Microfact wants to encourage trainers to actively look for the opportunities to organize workshops and conduct follow-ups with the Microfinance and Microinsurance Institutions afterwards.
20 trainers, who have successfully organized and conducted a Microfact workshop in 2018 in line with the commitments of the Trainers Habilitation Letter and provided Microfact Coordinators with the required documents, will be rewarded with a Microfact grant.
12 cooperatives of the "Cooperativa de Ahorro y Crédito de Acción Popular" (CAAP) in Ecuador participated from 13th to 15th of November in the Performance Evaluation workshop in Quito. This training was provided by our new trainers in Latin America: Luis Mosquera (Ecuador) and Diego Alvarez (Bolivia).
We used this occasion to talk with dr Miguel Gaibor, CEO of the CAAP, about the challenges the cooperatives face in Ecuador and their further development.
What is the interest of the CAAP in the Microfact tools?
La Cooperativa de Acción Popular (CAAP) brings together 13 savings and credit cooperatives from the rural sector. For their optimal performance and the fulfilment of their social and economic mission, CAAP provides them with training, technical assistance and financing.
Realizing this objective requires employing best management tools, such as those of Microfact. Implementation of MFI Factsheet, SPI4 (Cerise), linked with the social impact investigation of the member cooperatives in the local communities, which will be carried out in the coming months, will give them greater security and solvency in their work and in the end fulfilment of their missions.
What are the challenges the cooperatives face in Ecuador?
The most important challenge of the cooperatives in Ecuador is to respond to the trust of their members. We will achieve it only when we fulfil our economic and social mission, which is based on the cooperative principles and values. Unfortunately some of the cooperatives have moved away from them in the recent decades.
CAAP takes up this challenge and with a healthy economic and social balance aims that all its member cooperatives are solvent and financially efficient. In such a way they contribute with their services to improve the quality of life of its members and whole communities.
How do you see development of the MFIs in Ecuador?
As the number of savings and credit cooperatives in the country has multiplied exaggeratedly in the recent decades, local regulator (Superintendencia de Economía Popular y Solidaria) promotes two main trends in the market: from one point reduction of the cooperatives number through mergers and acquisitions and on the other hand: encouraging larger cooperatives with a clear financial objectives to multiply their agencies throughout the whole territory. As a result of these policies, the access to financing of the mass population from the countryside and small cities becomes increasingly difficult and financial services become unattainable.
Cooperatives which arise from the community needs, which are close and knowledgeable about their clients, will always give best financial support for the development of the communities, mainly in the rural sector. That is the goal of the CAAP!
KPIs / Microvision (MV) - Microfinance:
KPIs - Microinsurance: