This report is the result of research largely based on the “Market Research for MicroFinance” tools. It examines the high (25- 60%) drop-outs amongst MFIs throughout East Africa. The paper assess the impact of microfinance services on poverty and vulnerability provides recommendations on both systems and product design changes that might improve organisation’s efficiency and clients’ satisfaction with the financial services it offers explores the tools for studies in microfinance and the specific cases they can be used to investigate argues that one of the most powerful aspects of the tools is that they can be changed, combined and adapted to examine specific interest areas The author concludes that the eventual impact of microfinance on poverty and the sustainability of MFIs will ultimately depend on organisations’ systems and products. Thus in the increasingly competitive environment in which MFIs operate, the challenge for the future, is how to improve the quality of financial services available to clients.The more appropriate and the higher the quality of financial services on offer, the better business will be both for MFIs and for their clients.
Blog
Dropouts Amongst Kenyan Microfinance Institutions
Examines why the MFIs in Kenya suffer such remarkably high levels of drop-out amongst their clients. The field study also seeks to improve understanding of why the current systems and services being provided by the MFIs appear (on the basis of these drop-out rates) to be failing to meet the needs and demands of the clients, and draws lessons for MFIs that wish to effect change.
Client Exits (Drop-outs) Amongst Tanzanian Microfinance Institutions
The paper examines why the MFIs in Tanzania suffer such remarkably high levels of drop-out amongst their clients. The field study also seeks to improve understanding of why the current systems and services being provided by the MFIs appear (on the basis of these drop-out rates) to be failing to meet the needs and demands of the clients, and draws lessons for MFIs that wish to effect change.
Client Drop-outs From East African Microfinance Institutions
Synthesizes the country studies conducted in Kenya, Tanzania and Uganda and examines why MFIs in East Africa suffer such remarkably high levels of drop-out amongst their clients. The study also seeks to improve understanding of why the current systems and services being provided by the MFIs appear (on the basis of these drop-out rates) to be failing to meet the needs and demands of the clients, and draws lessons for MFIs that wish to effect change.
Savings And The Poor: The Methods, Use And Impact Of Savings By The Poor Of East Africa
This report is about how the East African poor manage their money, and how microfinance institutions (MFIs) might help them do it better. The report provides descriptions of the money management devices and services used by the poor, and with a discussion of the extent to which the poor and very poor have access to them. It also offers a conceptual framework for analysing the role of savings in the money management systems of the poor. The report concludes that MFIs would do well to explore how to broaden their work – to a much wider range of clients, including the poor and even the very poor, using a much broader mix of ‘swap’ services with a variety of term lengths and volumes.
Use and Impact of Savings Services for Poor People in Kenya
This study focuses on building the knowledge and understanding of how poor people in Kenya save to meet their various lump sum needs. This study further delves into the mechanisms adopted by various service providers including microfinance institutions (MFIs) – generally in the business of providing credit only – and the needs of poor people and their enterprises. It also discusses the ways and means through which poor people use different savings services and systems. Moreover, the impact of these systems on households’ financial, social and economic management in relation to gender and age is examined. This study also emphasises on the role of enabling regulatory environment for accepting savings from the clients.