Strategies and Structures for Commercial Banks in Microfinance
AbstractThis paper is a checklist of all the factors a bank should consider when deciding the type of organizational structure it should use to do microlending. In addition, the paper discusses key best practices banks should follow in order to be successful in microlending in addition to picking the best structure. Some (though not all) of these best practices provide a useful test: if the bank is not willing to follow them, it may be best to stay away from microlending, for the chances of success are greatly diminished. This paper is aimed both at banks entering microfinance and at banks with existing microfinance operations which they may wish to expand or reorganize.
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Bibliographic InfoPaper provided by Inter-American Development Bank in its series IDB Publications with number 78872.
Date of creation: Aug 2006
Date of revision:
Microbusinesses & Microfinance; Financial Services;
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