Related Resources

Lessons Learned from MicroSave’s Action Research Programme...
This note discusses the lessons learned from MicroSave’s two years of working in the Indian microfinance market. It highlights some of the broad issues and how these have been addressed by MicroSave and its partners, as well as where additional documents are available. It essentially...
368.76 KB
Making Business Correspondence Work in India
This note summarises the findings of a 3-month project by MicroSave India to clarify prospects for a sound business model for Banking Correspondent operators under the current regulations. The study analyses three diverse cases that involve differing institutional arrangements with business...
80.79 KB

The Andhra Pradesh Crisis: What Should MFIs Do?

Author: Graham A.N. Wright, Manoj Sharma
Published: December 13, 2010


Clearly the microfinance, or better said "microcredit", industry in India is undergoing a major shake-up. This note examines the nature of the shake-up and likely consequences including interest rate caps, sources of capital, equity valuations and the worst case scenario. It concludes that long-term the current turmoil in Indian microfinance may result in improved financial services for the poor - so long as they are easily accessible and not in high cost to operate areas. In the short run the options for poor people will shrink significantly - much to their detriment.

Tags: MicroSave , MicroSave india , Microfinance , AP MFI Crisis , Industry analysis , Business model , Policy , Reserve Bank of India , SIDBI , India , South Asia , IFN56 , IFN 56

0 Comment
0 Likes Like
89.56 KB

Leave a Comment