The Andhra Pradesh Crisis: So What Next?

Abstract:

This note examines how the Indian MFIs should respond to save their industry - denial is no longer an option. It examines how MFIs need to improve transparency of interest rates, governance and operations; as well as analysing and documenting their social performance management. It looks at the role of a credit bureau and concludes that ultimately, MFIs will have to move towards 3rd generation microfinance, probably on the mobile money platforms.

Tags: Interest rate, Multiple borrowing , Andhra Pradesh, South Asia, India, Graham AN Wright, Manoj Sharma, Microfinance, AP MFI Crisis, Industry analysis, Risk management, MicroSave, MicroSave india, Microfinance institution, Multiple lending, Andhra Crisis, Responsible lending , Wright, Overindebtedness, Transparency, MFIs, IFN57, IFN 57