In this video, Head of Microfinance at International Finance Corporation (IFC), Martin Holtman, discusses the New Customer Identification and Filter Process of lending cycle of Individual Loan Product of Equity Bank. The concept of Lending Cycle is an excellent training tool for new loan officers and other staff engaged in lending operations. Using the individual loan product of Equity Bank Kenya as an illustrative example, the video moves through the first steps of the Lending Cycle, namely New Customer Introduction and Filter.
Blog
Individual Lending Product Features: Equity Bank
In this video, Equity Bank team shares the challenges faced while developing Biashara Imara – an individual loan product in Kenya for people with low earnings – and what steps did they take to overcome the initial glitch. Further the branch manager attributes Biashara Imara’s success on its excellent performance based on various parameters such as growth, repayment and portfolio. The Equity bank team also outlines the product features of Biashara Imara and elaborate the key marketing strategy adopted to promote the loan product.
Microfinance – Challenges and Response
This note briefly discusses four major concerns/opinions voiced by different stakeholders, namely the promoters, the beneficiaries and the general public. First is the justification for a new breed of financial institutions in order to meet the varied financial needs of the poor. Secondly, the cost of providing financial services by MFIs which are largely dependent on nature of services they provide (doorstep) and the cost of capital for them. Third concerns are on the nature and types of services they could provide that includes “plus” such as insurance and remittances which adds to their administration cost. The final one is on getting trained human resources, who have understanding of both banking as well as social development.
MicroSave project completion report for FSD Kenya
The Market-led Microfinance Project or MicroSave started in 1998 as a four-year project funded by the Financial Sector Deepening Kenya (FSD Kenya) or the Department for International Development (DFID), the Consultative Group to Assist the Poor (CGAP), the Austrian Development Agency (ADA) and the Norwegian Agency for Development Cooperation (NORAD). MicroSave was converted into a commercial service-providing organization after its final phase (2004–2007). This paper assesses the performance of its final phase and overall experience over nine years. It also highlights the achievements of the project and the lessons learned, and critically analyzes the strategy employed for the development of MicroSave.
Individual Lending(IL): Biashara Imara (Flagship microfinance product of Equity Bank Kenya)
In this video, Mark Pickens, Microfinance Analyst, CGAP, describes the characteristics and features of Biashara Imara, the individual loan product of Equity Bank Kenya. Biashara Imara means “strong, solid business.” He also describes the profile of clients that Biashara Imara is designed to target at. Elaborating the client base of Biashara Imara, Elizabeth Wambui Gathai Head of Microcredit, Equity Bank, describes that Biashara Imara has been developed for small business owners; market traders; shopkeepers etc. and is designed to function in a non-conventional manner.
Equity Bank Employees’ Market led Success-Equity Bank Kenya
The video depicts the journey of Equity Bank Kenya from a Society to a commercial Bank. The Equity Bank business model has attracted both local and international recognition. Equity has also become a hub of other institutions worldwide keen on learning and exchanging insights on the Equity model of extending financial services to the low income segment and the un-banked population. The CEO and other employees discuss the challenges faced in this journey and the methods adopted by Bank to overcome them. It also has testimonials from clients of Equity Bank.