MICROFINANCE INSTITUTIONS (MFIS)

The emergence of microfinance institutions (MFIs) has open access to financial services for millions of people who remained excluded from traditional banking channels. MFIs legal status are highly varied: they can operate as NGOs, cooperatives, or banks. The MFIs provide access to a wide range of financial products which were not accessible for low-income people, such as: credit, savings products, health insurance, etc. Former marginalized people became micro-entrepreneurs, actors of their own life and economic development.

It is difficult to number the MFIs since they operate into the informal sector.  Nevertheless, microfinance actors number more than 10,000 MFIs operating in Asia, Africa or Latin America.
Each MFI throughout the world have specific needs to develop their services, get professionalized, and reach maturity. International NGOs specializing in microfinance, such as ADA, provide technical assistance to help MFIs reaching their goals.

• More about ADA services to the microfinance institutions

Microfinance is an important tool for millions of micro-entrepreneurs living in the Southern countries but should not be considerated as a miracle for the poverty alleviation. The microfinance sector has to be strongly professionalized, moreover, microfinance programmes should combine other development tools to increase the fight against poverty.

• More about ADA partners in microfinance
• More about ADA: vision and mission statement  

• What is microfinance?
• What is a micro-entrepreneur?
• What is a microfinance institution?
• Who are the microfinance actors?
• Witnesses: micro-entrepreneur, credit agent and MFI
• French-English bilingual microfinance glossary

In the frame of awareness raising activities, ADA uses to explain microfinance to different audience, on the occasion of conferences, forums, or internal events organised by private companies. Ask for a presentation by using the contact form, or by phoning: ADA Information Center, (+352) 45.68.68-1.