This paper analyzes the efficacy of various cash-transfer programs created by the Pakistani government and their ability to reach low-income women and promote economic gender equality. Prior to the COVID-19 pandemic, the Pakistani-government was in the process of building out multiple cash transfer schemes targeted at women, including the Kafaalat program which seeks to promote economic empowerment by helping women access bank accounts, digital payments, mobile phones and
Search Results for: covid
MICROCAPITAL BRIEF: IFC Loans $50m to Diamond Trust Bank Kenya to Support SMEs Challenged by COVID-19
To support small and medium-sized enterprises (SMEs) that are struggling during the COVID-19 pandemic, the International Finance Corporation (IFC), the private-investment arm of the World Bank Group, recently issued a loan of USD 50 million to Nairobi-based Diamond Trust Bank Kenya Limited (DTB Kenya). The targeted sectors include
MICROCAPITAL BRIEF: EIB Lends $12m to Credo Bank for Microfinance in Rural Georgia to Offset Effects of COVID-19 on Food Production
Credo Bank, a microfinance institution in Georgia, recently accepted a local-currency loan in an amount approximately equivalent to USD 11.8 million from the EU’s European Investment Bank (EIB). Credo will use the funds to on-lend primarily as working capital for people living in rural areas,
MICROCAPITAL BRIEF: State Bank of Pakistan Increases Limits on Microloan Size, Annual Income, Gold Loans to Help Microfinance Institutions, Clients Respond to COVID-19 Pandemic
The State Bank of Pakistan (SBP), that country’s central bank, recently took additional steps to relieve pressure on microborrowers and microbanks caused by the COVID-19 pandemic, including the following: (1) for general-purpose loans, increasing the maximum loan size from PKR 150,000 (USD 900) to PKR 350,000 (USD 2,100), with a loosened annual income cap of PKR 1.2 million (USD 7,000) to qualify; (2) for enterprise and housing loans, increasing the maximum loan size from PKR 1 million (USD 6,000) to PKR 3 million (USD 18,000), with an income cap of PKR 1.5 million (USD 9,000); and (3) increasing to 50 percent the portion of a microbank’s gross loan portfolio that may consist of loans secured by gold.
Additionally, SBP is allowing microborrowers to restructure their loans if they
MICROCAPITAL BRIEF: As Bank of Ghana Intervenes Due to COVID-19 Pandemic, Concerns of Failure, Profiteering Among Microfinance Institutions
The Bank of Ghana, the central bank of the country, recently introduced a series of measures to cushion the effects of the COVID-19 pandemic on microfinance institutions (MFIs). Many MFIs are struggling with liquidity for various reasons including that many have granted their borrowers repayment moratoria of up to 6 months. Citing a recent report from the Bank of Ghana, Samuel Darko, a local researcher, warns that a “liquidity stress-test conducted for the sub-sector shows minimal survival rate for
SPECIAL REPORT: Stakeholders Fearful, But with Tentative Hope Too in e-MFP’s Just-published “COVID-19 Financial Inclusion Compass”
The
European Microfinance Platform (e-MFP) has published the COVID-19 Financial Inclusion Compass, a special edition of the Compass series specifically focused on the current challenges, medium-term priorities, concerns, opportunities and forecasts for a sector facing probably the greatest crisis in its modern history.
The world – the financial inclusion sector included – is in the midst of twin crises: (1) a novel and highly contagious virus with no vaccine or cure that shows no signs of abating; and (2) a genuinely global recession as a result of the unavoidable containment measures put in place. The situation is uncertain and dynamic. Six months from now, the landscape will
MICROFINANCE PAPER WRAP-UP: “COVID-19 Crisis Through a Migration Lens,” by Dilip Ratha et al, published by World Bank Group
This paper explores the impact of the COVID-19 pandemic on past and potential future trends in international economic migration and remittances. The first section focuses on the general impact of the pandemic, considering topics such as changes in the earnings of migrant workers, declines in remittance flows and policy responses. The second section delves into the cost of remittances and migration patterns in six regions:
MICROCAPITAL BRIEF: Fonds National de la Finance Inclusive (FNFI) Cuts Interest Rates, Boosts Commissions for 9 MFIs in Togo Due to COVID-19 Pandemic
To support nine of its partner microfinance institutions (MFIs) in adapting to the COVID-19 pandemic, the Togolese government’s Fonds National de la Finance Inclusive (FNFI) is taking the following measures: (1) cutting interest rates on its loans to the MFIs by 1 percentage point; and (2) boosting the management fee that the MFIs receive for
MICROCAPITAL BRIEF: World Bank Approves $750m Loan to Support 1.5m MSMEs in India as Emergency Response to COVID-19
The World Bank’s Board of Directors recently approved a 19-year loan of USD 750 million, with a 5-year grace period, to create an emergency response program for micro-, small and medium-sized enterprises (MSMEs) in India that “have been severely impacted by the COVID-19 crisis.” The program is meant to provide “immediate liquidity” to
MICROFINANCE PAPER WRAP-UP: “The Impact of the COVID-19 Pandemic on Education Financing,” by Samer Al-Samarrai et al, published by the World Bank Group
This paper explores the economic implications of COVID-19 and arguments for mobilizing resources from government and development partners to alleviate educational losses in terms of educational services, student enrollment rates and student achievement. The authors also consider recent policy interventions and proposals in contrast to similar efforts made during past crises. The
MICROCAPITAL BRIEF: African Development Bank (AfDB) Joins NASDAQ Sustainable Bonds Network with 10 Listings, Including “Fight COVID-19 Social Bond”
The African Development Bank (AfDB), a multilateral institution that works to alleviate poverty in Africa, recently joined the NASDAQ (National Association of Securities Dealers Automated Quotations) Sustainable Bonds Network (NSBN), an online platform promoting bonds that fund projects addressing the UN’s Sustainable Development Goals. As of July 2020, 10 of AfDB’s bonds are
MICROCAPITAL BRIEF: ADA, Grameen Crédit Agricole Foundation Respond to COVID-19 with Information Sharing, Funding, Partnerships
Luxembourg-based NGOs ADA (Appui au Développement Autonome) and the Grameen Crédit Agricole (GCA) Foundation have launched a range of resources in response to the COVID-19 pandemic including the following:
MICROFINANCE EVENT: The Economic Impact of COVID-19: Results of a Global Survey of Microfinance Customers; July 16, 2020; Webinar Hosted by FINCA
This online event will showcase the results of a survey of 5,000 microborrowers in Africa, Eurasia and Latin America regarding the “economic impacts of COVID-19” on their livelihoods. Two representatives of FINCA International will open the webinar, Scott Graham, the Director of Customer Research, and Anahit Tevosyan, the
MICROCAPITAL BRIEF: Paytm of India Expands Retailer Network Accepting Digital Payments, Quintuples Consumer Credit Limit in Response to COVID-19 Pandemic
Paytm, an Indian digital payment firm, recently expanded the network of locations that participates in its payment system, which is based on purchasers scanning QR codes with their mobile phones, as well as its service Postpaid, which allows users to delay paying for these purchases by one month. Paytm’s expansion focused on neighborhood shops known as kiranas, which sell groceries and home essentials, and other
MICROCAPITAL BRIEF: Singapore Offers $1.8m Global FinTech Innovation Challenge for Responses to COVID-19, Climate Change
The Monetary Authority of Singapore (MAS), Singapore’s central bank, is hosting a competition to encourage financial technology (fintech) firms to address the changes in the business world caused by COVID-19 as well as to promote innovation relating to climate change, including in “green finance.” The competition, which is named the Global FinTech Innovation Challenge, is composed of the MAS Global FinTech Hackcelerator and the MAS FinTech Awards. The finalists for both competitions will be selected in September, and the winners
MICROCAPITAL BRIEF: Via Atlas, CGAP Begins Releasing Results from Biweekly “Pulse” Survey of Microfinance Institutions (MFIs) on COVID-19 Impact
In an effort to understand the needs of microfinance institutions (MFIs) and their clients during the COVID-19 pandemic, the US-based NGO CGAP (Consultative Group to Assist the Poor) recently launched a biweekly survey called the “Global Pulse Survey of Microfinance Institutions.” CGAP is releasing the results on the Atlas data platform, which is a service of Italy-based MFR (MicroFinanza Rating), in the form of 13 charts. These charts can be manipulated to group the data by
SPECIAL REPORT: Digital Education: Up-skill Yourself for Life After COVID-19
As the world continues its fight against COVID-19, we are all beginning to wonder just what “normal” life may look like in a post-pandemic world. For education, the disease has acted as a catalyst for online learning, with even grade-school teachers and students grappling with lessons delivered virtually.
The ability to study at one’s own pace, whenever, wherever and however one desires, makes online learning hugely accessible for most, especially in a time when direct interaction is not an option. That said, it must be noted that the benefits of classroom training have not been completely superseded – it is hard to imagine a world where the value of learning through direct human interaction becomes obsolete.
The progressive way: Blended learning
With this in mind, the FS Sustainable World Academy is delighted to unveil brand-new diplomas in Financial Inclusion and Green Finance. These 12-month blended learning programmes combine the benefits of online learning with classroom training, allowing participants to develop their skills beyond what they can learn in our standalone Certified Expert courses.
The new programmes allow participants to create their own
MICROFINANCE PAPER WRAP-UP: “Impact of COVID-19 to MFIs in Indonesia: A Rapid Assessment,” published by Rise Research and Training
The authors of this paper conducted a “rapid assessment” of microfinance institutions (MFIs) that operate in ten provinces of Indonesia to: (1) identify key challenges that MFIs face due to the COVID-19 pandemic; and (2) define support mechanisms to sustain their business operations. The data is based on a survey of