Microfinance Information Exchange (MIX), a nonprofit that seeks to offer objective data and analysis on microfinance players, recently examined historical data from 2003 to the present from 100 MFIs in India to assess the hypothetical impact of capping interest rates at 24 percent and return on assets (ROA) at 3 percent, two limits effectively imposed by the state government on MFIs amidst the ongoing crisis in the microfinance industry in India’s Andhra Pradesh state.
Search Results for: Microfinance Institutions Bill India
MICROCAPITAL BRIEF: Standard Chartered Bank Tanzania Arranges, USAID Guarantees Local-Currency Bond for Tanzanian Microfinance Institution (MFI) Promotion for Rural Initiatives and Enterprise Limited (PRIDE Tanzania)
Standard Chartered Bank Tanzania, a division of the London-based international bank Standard Chartered PLC, recently arranged a bond issue for Tanzanian microfinance institution (MFI) Promotion for Rural Initiatives and Enterprise Limited (PRIDE Tanzania), which is reportedly the first MFI bond ever issued on the Tanzania Stock Exchange.
MICROCAPITAL BRIEF: Lok Capital Announces $52m Close for Indian Microfinance Fund, Lok II
Lok Advisory Services, an Indian firm that manages two microfinance investment vehicles (MIVs) based in Mauritius, has reportedly announced the first close of USD 52 million for its second fund, Lok Capital II.
MICROCAPITAL BRIEF: Finance Minister of India Vows Not to Strangle Indian Microfinance Industry
At a recent event, the Finance minister of India, Pranab Mukherjee, reassured Indian microfinance institutions (MFIs) that the government is not trying to suffocate the industry with new regulation.
MICROCAPITAL BRIEF: Under Pressure from State Government of Andhra Pradesh, Indian Microfinance Institutions Agree to Cap Interest Rates at 24%
Several major microfinance institutions (MFIs) in the Indian state of Andhra Pradesh have agreed to cap interest rates at 24 percent per year after a series of politically-triggered freezes on bank lending to MFIs that followed an uproar regarding debt collector harassment that was linked to a number borrower suicides.
MICROCAPITAL BRIEF: Grameen Foundation Announces Creation of Bankers Without Borders (BwB) Alliance Program to Expand Microfinance Institution (MFI) Volunteering Initiative
Grameen Foundation, a US-based nonprofit, has announced the creation of the Alliance Program, within its Bankers Without Borders initiative, which will focus on increasing volunteerism in the microfinance and development technology sectors in Asia and Latin America.
MICROCAPITAL BRIEF: India’s Microfinance Industry on Brink of “Collapse” Due to Credit Freeze in State of Andhra Pradesh
India’s microfinance industry is reportedly on the verge of “collapsing,” according to the UK’s Financial Times newspaper, due to politically-triggered bank freezes on credit in the state of Andhra Pradesh, where outstanding loans reportedly measure USD 2.7 billion distributed to 6.7 million borrowers.
MICROCAPITAL BRIEF: Indian Government Considers Legislation Banning Microfinance Institutions (MFIs) from Making Multiple Loans to Borrowers
Legislators in India are reportedly considering banning microfinance institutions (MFIs) from multiple lending.
MICROCAPITAL BRIEF: Microfinance Information Exchange (MIX) Receives Funding From Michael & Susan Dell Foundation and the Ford Foundation to Expand Social Performance Initiative
Microfinance Information Exchange (MIX), a source of financial and social performance data on microfinance institutions (MFIs), funders and service providers, has received grants from the Michael & Susan Dell Foundation and the Ford Foundation to expand its Social Performance Information Program.
MICROCAPITAL BRIEF: Smart Campaign Partners With African Microfinance Network (AFMIN) and Plan International to Promote Client Protection Among African and Asian MFIs
The Smart Campaign, an initiative housed at the Center for Financial Inclusion to promote the use of a set of client protection principles, has partnered with the African Microfinance Network (AFMIN), an association of African microfinance networks, and Plan International, a UK-based children’s development organization, to promote and institutionalize client protection among microfinance institutions (MFIs) throughout Africa and Asia.
MICROCAPITAL BRIEF: Reserve Bank of India to Publish Report on Regulating the Indian Microfinance Industry by End of January 2011
According to the website of the Hindustantimes Newspaper, the Reserve Bank of India (RBI), the central bank of India, is preparing a report making recommendations on regulating the Indian microfinance industry, which has recently come under intense scrutiny.
MICROCAPITAL BRIEF: Former CEO of Jammu and Kashmir Bank Calls Efforts to Regulate Indian Microfinance Institutions (MFIs) “Flawed”, Argues NABARD Has Conflicts of Interest
Haseeb Drabu, former CEO of Jammu and Kashmir Bank, a bank owned by the Indian state governments of Jammu and Kashmir, recently wrote an article published on the LiveMint website calling recent efforts by authorities to rein in the Indian microfinance industry “flawed”.
MICROCAPITAL BRIEF: Experts Warn that New Legislation in Andhra Pradesh Might Reduce Profitability of Indian Microfinance Institutions (MFIs)
On the website of the LiveMint newspaper, a number of experts in India recently cautioned that legislations currently proposed in Andhra Pradesh, India, might cause a sharp drop in profitability of microfinance institutions (MFIs).
MICROCAPITAL BRIEF: SKS Microfinance Lowers Interest Rates in Andhra Pradesh to 24.55%
SKS Microfinance, a publicly traded microfinance institution (MFI) based in India, recently announced that it will lower interest rates to for new borrowers borrowers in the state of Andhra Pradesh from 26.69 percent to 24.55 percent.
MICROCAPITAL BRIEF: United Kingdom’s CDC Group Invests $10m in Lok Capital II, Private Equity Fund Focused on Microfinance in India
CDC Group, the UK’s government-owned development finance institution, recently invested USD 10 million in Lok Capital II, a private equity fund managed by Lok Capital, partner organization of the non profit Lok Foundation based in New York City, USA.
MICROCAPITAL BRIEF: Indian Banks Amend Loan Requirements in Bid to Lower Microfinance Institution Lending Rate to 24%
Several large Indian banks have joined forces to modify requirements on loans made to microfinance institutions (MFIs) in an effort to bring change to the lending practices of MFIs.
MICROCAPITAL BRIEF: Indian Government Ponders Role of NABARD in New Microfinance Regulatory Framework
The Indian government is considering giving the National Bank for Agriculture and Rural Development (NABARD), a development bank that formulates the credit and banking policy for the rural sector, more supervisory powers over microfinance institutions (MFIs) in India.
MICROCAPITAL EVENT: National Bank for Agriculture and Rural Development (NABARD) and Siddaganga Institute of Technology Host National Seminar on Microfinance and Sustainable Livelihood Promotions in India, Karnataka, India, December 15–16, 2010
Event Name: National Seminar on Microfinance and Sustainable Livelihood Promotions in India
Event Date: December 15 – December 16, 2010
Event Location: Karnataka, India