by Stefanie Rubin -

MICROCAPITAL BRIEF: Dubai Slump Affects Remittances to Poorer Neighbors in Middle East

According to a recent article in Indian daily The Economic Times, Dubai’s financial crisis has caused a ripple around the Arab world, “eating away at the money many Middle East families depend on, sent home from relatives who work in Persian Gulf countries.”

by Hio Kyeng Lee -

MICROCAPITAL.ORG STORY: Developments in the Past Year of Microfinance Regulation Coverage by Microcapital.org

     Microfinance regulation has provided rich fodder for reporting over the past twelve months of coverage by Microcapital.org.  Nearly twelve months ago, in November 2008, Microcapital.org reported on the World Economic Forum’s Inaugural Summit on the challenges posed by regulatory frameworks as policy makers grappled with the question of how to advance microfinance.  Since that time, there have been a number of international agencies as well as developed country governments involved in researching and collaborating on guidelines for the strengthening of microfinance regulation. On the other hand, there have also been doubts about the relevance of regulation to microfinance sector:

by Radhika Chandrasekhar -

MICROFINANCE EVENT: Developing Inclusive Financial Systems hosted by CGAP on November 9-13, 2009 in Dakar, Senegal (in French)

Event Name: Developing Inclusive Financial Systems: The CGAP Course for Funders of Microfinance

Event Description: This course provides participants with knowledge of the microfinance industry and tools needed to make financing decisions. It will use case studies and group work based on real-life situations. It also involves a visit to a MFI. Those who opt to attend the full course (5 days) will be able to attend both sessions and practical application of principles learned, while those staying for the short course (3 days) will receive an overview of the fundamentals of microfinance.

See Our Comprehensive Event Calendar Here: http://microfinanceassociation.ning.com/events

by Zoran Stanisljevic -

MEET THE BOSS: Interview with Elissa McCarter, Director of the Office of Development Finance for NGO, CHF International (Part three of a three part series)

Founded in 1952, CHF International (CHF) has worked in over 100 countries and currently operates in more than 25 nations.  CHF’s mission is to serve as a catalyst for long-lasting positive change in low- and moderate-income communities around the world, helping people improve their social, economic, and environmental conditions. One component of fulfilling that mission has been improving access to financial services. In the last five years, CHF International has disbursed over 200,000 loans totaling more than USD 482 million and has a particular niche in establishing microfinance programs in conflict, post-conflict, and post-disaster settings.  CHF currently oversees lending operations in 11 countries across Africa, Asia, Europe, Latin America, and the Middle East. As of June 2009, CHF International had assets under management of over USD 200 million (microfinance portfolio outstanding of USD 107.6 million plus middle market portfolio outstanding of USD 93.5 million).

Elissa McCarter, Director of the Office of Development Finance that oversees Microfinance, SME and Housing Finance Initiatives at CHF International (CHF)

by Chinq Yee Chong -

MICROCAPITAL.ORG STORY: Basix Chairman Vijay Mahajan Advocates The Use Of Interest-Free Microfinance And Islamic Finance Techniques To Help Muslim Clients in Small Communities In India

According to a report entitled ‘Islamic way of microcredit the best way to help the poor: Basix Chief’ [1] which is available on the Two Circles online information portal [2], the chairman of the Indian MFI, Basix [3], Mr Vijay Mahajan, was stated to have strongly advocated the use of interest free microcredit or equity financing as an appropriate way of enabling the poor in India gain financial independence. Speaking at the inaugural session of an orientation and training camp on interest free micro-financing in Hyderabad, Mr Mahajan was quoted as stating that financing techniques where the investor and the microentrepreneur share both the loss and profit or ‘micro equity finance’ is particularly suitable for poor people although he did caution that it will work most effectively in small communities where people know and trust each other and where the Islamic concept of ‘Iman’ or honesty can thrive.

by Zoran Stanisljevic -

MEET THE BOSS: Interview with the CEO of OpenRevolution, a Mobile Financial Services Network (Mobile Banking Services) for Microfinance Institutions, Individuals, Merchants, and Micro-Entrepreneurs

OpenRevolution develops mobile banking services in emerging markets.  Through partnerships with local mobile network operators and microfinance organizations, OpenRevolution seeks to expand financial access in communities underserved by traditional banking institutions and to develop an integrated set of mobile financial products tailored to the needs of individuals, merchants and micro-entrepreneurs.

Allen Gilstrap, Chief Executive Officer, OpenRevolution

by Chinq Yee Chong -

MICROCAPITAL.ORG STORY: Microfinance Organisations In The Kashmir Valley Should Increase Their Focus On The Urban Poor – Observations From Jammu And Kashmir

In a recent report available the Microfinance Focus portal [1] entitled ‘Rising urban poverty in Jammu and Kashmir calls for focus on microfinance’ [2] by the journalist Bilal Hussain [3] in Srinagar, Mr Hussain calls for microfinance participants to increase their focus on the urban poor in the Kashmir Valley. Whilst a good number of MFIs and related organisations focus on alleviating poverty in rural areas of the Kashmir valley, Mr Hussain is of the view that there are significant numbers of urban poor who would benefit greatly from access to microcredit.

by Uyen Tran -

MICROCAPITAL.ORG STORY: Grameen-Jameel Pan-Arab Microfinance Ltd. in Dubai Appoints Julia Assaad as Its New General Manager

For discussion of this topic click here: http://microfinanceassociation.ning.com/forum/topics/gossip-column-human-interest

Grameen-Jameel Pan-Arab Microfinance Ltd. (Grameen-Jameel), a joint venture based in Dubai between the Grameen Foundation and Abdul Latif Jameel Group, announced it would appoint Julia Assaad as its new General Manager [1, 2]. Grameen Foundation is a Washington, DC-based non–profit, and Abdul Latif Jameel Group is a Saudi Arabia-based for-profit business group [3, 5]. Alex Counts, Grameen-Jameel Director and President of Grameen Foundation, stated that Ms. Assaad was brought on to help reach its goal of adding one million new microfinance clients by 2011 [2]. As reported in a previous MicroCapital story on the Arab Microfinance Investment Symposium that took place in November 2008, the Arab microfinance industry has an estimated total market of USD 5.5 billion in the Arab world [13]. Moreover, Heather Henyon, the General Manager of Grameen-Jameel at the time, cited that currently there are 2.9 million borrowers in Arab countries that make up less than four percent of the total demand for microfinance in Arab countries [13]. The untapped market for microfinance is valued at USD 3.96 billion, only slightly less than the USD 5.29 billion that is calculated as the total microfinance market [13].

by the MicroCapital Team -

CGAP Microfinance Dealbook: May 2009 Transactions

The CGAP Microfinance Dealbook publicizes microfinance capital market transactions in an effort to bring greater transparency to the industry. This information is made freely available as a public service. Parties to microfinance transactions are encouraged to submit their deals to this effort. The following deals were collected for May 2009:

by Zoran Stanisljevic -

MICROCAPITAL STORY: Grameen-Jameel Issues a USD 2.7 Million Local-Currency Guarantee to Aga Khan Agency, First Microfinance Institution (FMFI) Syria

Grameen-Jameel, a social business established in 2007 that serves the Arab microfinance industry, has recently announced that it has issued local-currency guarantee worth USD 2.7 million to Aga Khan Agency the First Microfinance Institution (FMFI) Syria, part of the Aga Khan Agency for Microfinance (AKAM).  The multi-million dollar credit facility focuses to improve the lives of 2,700 underprivileged Syrians through credit, deposits and other financial services.  No additional information regarding how the fund will function is provided.

by the MicroCapital Team -

CGAP Microfinance Dealbook: April 2009 Transactions

The CGAP Microfinance Dealbook publicizes microfinance capital market transactions in an effort to bring greater transparency to the industry. This information is made freely available as a public service. Parties to microfinance transactions are encouraged to submit their deals to this effort. The following deals were collected for April 2009:

by Laura Anderson -

MICROCAPITAL STORY: Enda Inter-Arabe Rolls Out Grameen Foundation’s Mifos Information Management Platform to 52 Branches with Assistance from Grameen-Jameel and ThoughtWorks

Grameen-Jameel Pan-Arab Microfinance Limited and Grameen Foundation (GF) have announced that enda Inter-Arabe of Tunisa (enda) has gone live on Mifos, the management information system for microfinance institutions.  Mifos is an open source software program, meaning, among other things, the source code is accessible and the software is freely redistributable. The platform was developed by Grameen Foundation and launched in the Arab World by Grameen-Jameel.  According to the press release in CSRwire, enda expects the investment in Mifos to assist it in managing its growth from the current 100,000-plus poor clients across Tunisia to its target of 300,000 by the end of 2012.  The announcement was made at the 2009 Sanabel Microfinance Conference in Beirut, Lebanon, a gathering of microfinance practitioners and stakeholders in the Middle East and North Africa.