2. Women’s World Banking Affiliates, Associates, GNBI and AFMIN Members provide financial services to about 18 million low income entrepreneurs, in about 40 countries Bolivia Brazil Chile Colombia Dominican Republic Ecuador Haiti Mexico Paraguay Peru LAC Benin Burundi Ethiopia The Gambia Ghana Guinea Ivory Coast Kenya Mali Niger Nigeria South Africa Togo Uganda Bangladesh India Indonesia Mongolia Nepal Pakistan The Philippines Sri Lanka Thailand Bosnia-Herzegovina Jordan Morocco The Netherlands Russian Federation Switzerland USA North America Africa Europe, ME and North Africa Asia
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5. Building Core Microfinance Services ― Focus on Income and Assets Other Non-core Offerings in Inclusive Financial Systems Core Offerings Remittances for Microfinance Savings Insurance Housing Finance Education Loans Flexible Working Capital Loans Debit and Credit Card Facilities Transfer Payments Consumer Finance
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7. What Low Income Women Need to Build Income and Assets— Needs That Microfinance Can Meet Profitably Market Penetration of Target Market in Most Countries <1% Life and health insurance <1% Ability to finance housing, education, health care <10% Ability to accumulate savings Credit to fuel growth of productive activities <10%
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9. Policy, Regulatory and Legal Frameworks are Needed for Microfinance Operations Key Features of Microfinance Transaction costs are high Clients lack conventional collateral Simple MIS, accounting Savings important to client and MFI Many small branches Loan officers not traditional bankers Institutions need to be able to charge relatively high interest rates Microloans as loan class, with portfolio Quality and lending methods--not loan Collateral—used to evaluate risk. Simple while rigorous reporting requirements – with microfinance standards and benchmarks Ability for high performing MFIs to mobilize deposits from borrowers and from the public Ability to establish branches and agencies rapidly Flexibility in hiring, and performance-based incentives Responsive Framework
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11. Building Blocks of Domestic Financial Markets That Work for the Poor Majority Interest rates Financial sector policies Governmentpolicy Regulations, supervision Legal structures Legal systems Performance indicators Governmentrole Policy Industry Infra- structure Financing Microfinance – Domestic Capital Markets Domestic capital markets Tech service providers Wholesale financial institutions MF networks, associations Rating agencies Credit bureaus Tech applications Payment systems Donor support Business services Savings mobilization Wholesale financing Bonds, securitizations Grants for smaller MFIs Guarantee mechan-isms Transpar-ency Healthy market overall Commercial Banks Micro- Finance NGOs Regulated MFIs Coopera-tives, Credit Unions, Savings Grass Roots Groups Others Retail Capacity, Supply Product Offerings Impact in Poor Households Savings Microloans – Working Capital Insurance Remittances, savings, assets Income Assets Education, Health Women’s Decision-making, Power Community Participation
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17. Leading banks and microfinance institutions are innovating to provide efficient, responsive, sustainable services Innovations Helping clients build assets and mitigate risk Cutting costs to clients and the institutions Mobilizing capital markets for microfinance Building new distribution channels
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20. Private Sector WWB Network Members Low Income Women Policy Makers, Donors Mobilizing Key Actors to Focus on the Majority
21. LARGE ENTERPRISES Middle Class Low-Income Entrepreneurs and Households Wealthy Building Enterprise Systems that Treat the Poor as the Top Priority
