Download sector_report1.pdf - Microfinance and Development ...

More documents

Recommendations

Info

such as Chaitanya who soon became specialized resource NGOs with SHG training as their major activity, and sources of funding increased to include the state women' s development corporations, themselves funded by multilaterals such as IFAD and the WB. As the MFI model grew, EDA Rural Systems entered the training arena in 1999 as the first institution to fully recover its costs on a commercial basis, although many of the trainees themselves were funded by donors or apex financial institutions. EDA now offers a full range of skills training courses including (i) CGAP modules (such as Financial Analysis for MFIs) (ii) adaptations to Indian conditions of CGAP modules (e.g. Business Planning for MFIs) and (iii) courses designed by EDA itself (e.g. Internal Audit, Social Performance Management). EDA was originally a franchisee of CGAP for the South Asian region, but CGAP courses are now open access courses available to anyone on their website. EDA has the advantage of being a sister institution of M-CRIL which is a rating institution. Thus many of its trainers have hands-on experience of MFI financial and managerial performance. Moreover, as a consultancy EDA has done a great deal of capacity building. It is now in the process of forging tie-ups with smaller regional training providers around the country, initially in the Northeast with the assistance of FWWB, but eventually in other parts of the country too. 2 Over the years EDA has grown in respect of number of courses, trainees, and geographies covered. It has sent teams to 9 countries, mostly in Asia, and has had nearly 500 foreign trainees attending its courses in Gurgaon, Haryana. As the state governments have become more actively involved in the SBLP several of them have felt the need to promote resource institutions to provide support to the programme As the state governments have become more actively involved in the SBLP several of them have felt the need to promote resource institutions to provide support to the programme. The first and best known of these is APMAS, designed to provide TCB, evaluation, and other research support. APMAS has developed particular expertise in the SHG Federation movement which is an integral part of AP's state SBLP (IKP, formerly Velugu, funded by the World Bank). It has developed a rating tool for federations in collaboration with EDA, and since federations function partly as MFIs requiring the same set of skills as MFIs, it has branched also into skills training, including the use of CGAP modules in Telegu. Other states have also encouraged the setting up of resource institutions such as CMF in Rajasthan, and MLRC in MP. 3 In the four states (AP, Orissa, WB and MP) in which the DFID-funded CASHE project has been functioning, CARE has helped set up a number of capacity building institutions, designed primarily to serve the SBL programme. 4 FWWB, apart from regular field visits to its ID (Institutional Development) partners, and organizing customized training for them through EDA and more recently MicroSave, also conducts training and workshops for its partners directly. In 2003 FWWB, along with SEWA and the Coady International Institute, set up the Indian School of Microfinance for Women (ISMW) with core funding from Citigroup International, in Ahmedabad. It is focusing at present mainly on financial literacy training for the women leadership of CBFIs, with support from SEWA Bank (which has a separate financial literacy department) but also offers skills training courses. Courses range in duration from one week to a six-month's diploma course. Like EDA, it is building links with regional training NGOs. SIDBI, the largest apex for MFIs, has always devoted a share of its resources to TCB for its partners, including sponsorship of their staff to training at management institutes such as IIMA, IIMB, IRMA, XIMB, and IIFM. Some of these institutions are developing graduate education 102
Training and Capacity Building in microfinance management along three tracks: electives, specializations and certificate courses for microfinance professionals. .IIMA offers microfinance as an elective in its regular agribusiness programme. Faculty and students are also engaged in preparing case studies for use in teaching. IRMA seems to offer the largest number of short-term courses. The MFMI funded "Microfinance in MBA Programs" has funded a Chair at IRMA and has enabled IIMB to set up a Microfinance Group and offer a course in Social Entrepreneurship which has a substantial section on microfinance. Responding to the need for handholding start-ups, IIMB started a Microfinance Incubator in June 2005, funded by SIDBI, which is described in Box 6.1. Likewise NABARD, the apex for the SBLP, has funded a huge programme of training not only through the resource NGOs mentioned above, but through specialized public sector training institutions for bankers such as BIRD, NIBM, CAB, and the staff colleges of banks. 5 Of these, BIRD is sponsored and financed by NABARD as a premier training institution with extensive facilities including a library and hostel geared to providing a range of training requirements in rural credit (not just microfinance) primarily to bankers. In the Northeast the IIBM, financed by the RBI, has an extensive new campus in Guwahati, and is developing courses for the microfinance sector under both models. Much of the training offered through these institutions is geared to introducing participants to the SBL model, and tends to be more introductory and conceptual than skills oriented or even attitudinal. However, it is the NGO resource institutions closer to the ground that are better equipped to providing comprehensive training to SHPIs, especially in the crucial skills identified in Chapter 2, including bookkeeping and accounting. A major recent entrant to the training field is MicroSave, which has considerable experience of training, action research, and toolkit development in Africa. It conducted a comprehensive assessment of training needs in India (Wright 2005) and has opened two offices, one in the South (Chennai) and the other in the North (Lucknow) each of which has identified an action research partner (IASC and Nirman Bharti respectively) MicroSave is a strong believer in combining class-room based learning with on-site follow-up technical assistance (see Box 6.2). Among its more popular offerings are strategic business planning and process mapping, and it is developing a series of toolkits specific to Indian conditions on topics like market research, governance, and delinquency management. Thus it is equipping itself to deliver both managerial and skills training, and hopes eventually to train and work through about 60 "low-cost but high capacity" consultants, either individuals, or grouped in mostly young and new consultancy firms. The consultants will be trained in the use of rapid institutional assessments after which they will provide both class-room training and long-term mentoring to assisted institutions. A scheme is under discussion with ICICI to assure them a minimum income, under which ICICI will pay them a monthly retainer for assisting a certain number of ICICI borrowers each, with MicroSave providing continuing back-up support. MicroSave is a strong believer in combining class-room based learning with on-site follow-up technical assistance Another recent entrant (and distinct model) is "ACCESS Development Services" which has been registered by CARE as a S 25 company, and as a successor institution to the capacity building component of the CASHE project, which is due to end in December 2006. Access will have the same emphasis on community-based institutions as CASHE, such as SHG federations and SHPIs, and hopes to incubate 100 currently un-banked partners over the next five years. Incubation will be the responsibility of separate regional responsibility centres such as the MLRC (Microfinance and Livelihood Resource Centre) being set up in MP. Access has received grant 103
Page 3:
Microfinance in India A State of th
Page 6 and 7:
List of Tables Page No Table 2.1 Gr
Page 8 and 9:
Preface and Acknowledgements This r
Page 10 and 11:
Abbreviations ABC ADB BC BF CAR CAG
Page 13 and 14:
CHAPTER 1 Overview and Summary of M
Page 15 and 16:
Overview and Summary of Main Recomm
Page 17 and 18:
Page 19 and 20:
Page 21 and 22:
Page 23 and 24:
Page 25 and 26:
Page 27:
Page 30 and 31:
1 1a 1b 2 2a 2b 2c 3 3a 3b 3c 4 4a
Page 32 and 33:
The Light and Shades Study A major
Page 34 and 35:
highest proportion of weak records
Page 36 and 37:
their profitability after accountin
Page 38 and 39:
allow the programme to grow organic
Page 40 and 41:
1.0 1.1 1.2 1.3 1.4 1.5 1.6 1.7 1.8
Page 42 and 43:
Endnotes 1 It is very hard to compa
Page 44 and 45:
as cash with the groups, the true r
Page 46 and 47:
linkages", 11 percent 3rd, and 5 pe
Page 48 and 49:
References APMAS (AP Mahila Abhivru
Page 51 and 52:
CHAPTER 3 Progress Under the MFI Mo
Page 53 and 54: Progress Under the MFI Model is fun
Page 55 and 56: Table 3.4 Comparative performance i
Page 57 and 58: Progress Under the MFI Model on lit
Page 59 and 60: Progress Under the MFI Model 4 Howe
Page 61: Progress Under the MFI Model Refere
Page 64 and 65: MFIs, and the need for MFIs to plou
Page 66 and 67: size had actually come down during
Page 68 and 69: The point at which peer group press
Page 70 and 71: The lack of contact and communicati
Page 72 and 73: Box 4.1 Continued 4. MFIs will coll
Page 74 and 75: Endnotes 1 There will be many disag
Page 76 and 77: 19 The base suicide rate in AP is 1
Page 78 and 79: References APMAS, 2005, "A Report o
Page 80 and 81: (such as cattle and houses), and co
Page 82 and 83: The advantage of the provider model
Page 84 and 85: Some lessons learnt from experience
Page 86 and 87: Box 5.2 VimoSEWA: Synergies between
Page 88 and 89: 86 Table 5.1 Main Feature of Health
Page 90 and 91: Endnotes 1 While the microinsurance
Page 92 and 93: 16 A little less than a fifth of th
Page 94 and 95: 29 The rationale for transfer progr
Page 96 and 97: Roth, James and Vijay Athreye, 2005
Page 98 and 99: Issues and priorities for action re
Page 100 and 101: Endnotes 1 See for instance CGAP (2
Page 102 and 103: 100
Page 106 and 107: money to support operational expens
Page 108 and 109: finance, and the microfinancial ski
Page 110 and 111: Box 6.1 Continued in experts and to
Page 112 and 113: Endnotes 1 In a sense it always was
Page 114 and 115: 16 Examples are Margdarshak in Luck
Page 116 and 117: 114
Page 118 and 119: Table 7:1 Commercial bank exposure
Page 120 and 121: The main constraints to the expansi
Page 122 and 123: further review, RBI has modified th
Page 124 and 125: 9 Thus ICICI has sold some of its b
Page 126 and 127: B. Equity Investments by the Ventur
Page 128 and 129: Figure : The Bellwether triangle Lo
Page 130 and 131: Despite the weaknesses the public s
Page 132 and 133: Box 7.1 Continued foreign sources o
Page 134 and 135: Endnotes 1 At this point they will
Page 136 and 137: References ACCION, 2003, "The Servi
Page 138 and 139: SIDBI Foundation for Micro Credit (
Page 140 and 141: categories, depending on the amount
Page 142 and 143: The distribution of total disbursem
Page 144 and 145: Endnotes 1 It should be noted that
Page 146 and 147: B. Donor Participation in Indian Mi
Page 148 and 149: this has dropped to 8% on the curre
Page 150 and 151: and poor populations. More directly
Page 152 and 153: and expansion of available retailer
Page 154 and 155:
11 SDC through various programs for
Page 156 and 157:
154
Page 158 and 159:
1.1 Impact evaluation of Spandana's
Page 160 and 161:
in the loan tenure of 24 months. Th
Page 162 and 163:
There are two main motivations of a
Page 164 and 165:
compensation structures used by Ind
Page 166 and 167:
Endnotes 1 By Annie Duflo, Anvesha
Page 168 and 169:
29 The main components of direct tr
Page 170:
168
show all

Download sector_report1.pdf - Microfinance and Development ...

You also want an ePaper? Increase the reach of your titles

Delete template?

Save as template?