#emnac2016 Preliminary results of the EMN- MFC Microcredit Overview Survey 2014-15 Diego Dagradi Fondazione Giordano Dell Amore
22 countries 1 149 MFIs Microcred it providers Partic ipants % of answ ers TG1 73 66 90% TG2 143 83 58% Total 216 149 69% 1 2 8 26 1 3 4 1 5 13 13 13 28 6 3 2 8 4 2 4 1 In red the countries with National Networks
Year started operating in microfinance Type of institution 13% 10% MFIs: 149/149 89 13% 18% 46 22% 24% 5 5 1 3 Before 1989 1990-1994 1995-1999 2000-2004 2005-2009 2010-2015
Paid staff (full-time equivalent) MFIs: 146/149 57 55 % turnover from microlending activities MFIs: 147/149 8% 6% 20 53% 12% 7% 4 10 14% 0 < 10 11-50 51-100 > 100 Average: 48,5 NA <5% 6%-25% 26%-50% 51%-75% 76%-100%
MFIs mission MFIs: 149/149 Other 13 Ethnic minorities and/or immigrants empowerment Youth employment (18-25 year) 32 33 Women empowerment Small and Medium Enterprise (SME) promotion 53 58 Social inclusion and poverty reduction Microenterprise promotion 88 90 Job creation Financial inclusion 105 107 Financial inclusion main mission
Products and services offered MFIs: 148/149 MFIs that offer ONLY financial products and services MFIs that offer financial & nonfinancial products and services Number Percentage 62 42% 86 58% Total 148 100% MFIs offering only financial products and services 79% are from East Europe 84% are NBFI MFIs offering financial and non-financial products and services 59% are from West Europe Majority of commercial bank, cooperative and NGO
Financial products and services - type Other Mobile banking services Money transfer services Insurance 9 2 2 6 MFIs : 148/149 Only Business microloans Only Personal microloans 16,2% Current/Checking accounts Savings products Mortgages Factoring 4 5 0 26 51,4% 32,4% Business & Personal microloans Leasing 1 Business loans 62 Personal microloans 72 Business microloans 124
Green microloans MFIs: 138/149 YES, specifically to finance renewable energies (photovoltaic solar panels, solar water-heaters, biogas digesters, electric vehicles, etc.) 8 YES, specifically to finance energy efficiency (energy-efficient technologies, apartment insulation, etc.) 14 14 MFIs YES, specifically to finance environmentally friendly activities (organic farming, waste collection, recycling, ecotourism, etc.) 6 NO, we do not have specific green microloans, BUT in our normal microloan activities we also finance environmentally friendly activities or NO, BUT we are planning to develop such green microloans in the next years. 15 49 61 MFIs NO 63 63 MFIs
Debt counselling Non-financial products and services - type MFIs: 86/86 33 Business Development Services (BDS) Entrepreneurship training 40 47 Percentage of MFIs by number of non-financial products and services offered Financial education Mentoring 46 44 16% 6% 2% 23% E-learning courses 5 Other 12 27% 26% NONE 62 1 2 3 4 5 6
Non-financial products and services - how MFIs: 85/86 Other Through externalized voluntary service 8 15 2% Through online service Through externalized paid service 13 58% In person 40% Both online and in person Through a subsidiary 11 On your own 75
100 Target groups served in microlending MFIs: 131/149 117 108 79% 53% 47% 29% 26% Rural population Urban population Number of MFIs 65 30% 22% Unemployed people or people on welfare 39% 35% Women 54 24% 10% Ethnic minorities and/or immigrants 66 8% 6% Youth (18-25 years old) 26 3% 0% Disabled people 50 18% People excluded from mainstream financial services % of active borrowers for target group / total active borrowers for target group % of active borrowers for target group / total active borrowers 29% 11 12% Other
61% 31 30% Informal business 77 28% 27% 17 13% 0% Entrepreneurs in pre-start-up phase Number of MFIs Start-up enterprises Type of business 31% 88 43% Registered businesses (<5 employees) 3% 61 8% Registered businesses (6-9 employees) 37% 73 61% Self-employed without employees MFIs: 102/124 20 11% 4% 4 0% 0% Social enterprises Other % of business microloans disbursed for type of business / total business microloan disbursed for type of business % of business microloan disbursed for type of business / total business microloan disbursed
Microloan portfolio Evolution from Overview Reports Value of microloan disbursed (million EUR) Number of microloan disbursed Average microloan disbursed (EUR) MFIs: 137/149 2007 2008 2009 2010 2011 2012 2013 2014 2015 Value of microloan disbursed (million EUR) 2007 2008 2009 2010 2011 2012 2013 2014 2015 394 802 828 779 1.074 1.303 1.528 1.347 1.567 N. of microloan disbursed 42.750 90.605 84.523 178.572 204.080 324.406 387.812 494.781 552.834 Average microloan disbursed (EUR) 11.002 9.373 9.641 9.091 8.931 8.810 8.606 7.116 7.271
Microloan portfolio Business 2014 Business 2015 Personal 2014 MFIs: 137/149 Personal 2015 Value of the gross microloan portfolio outstanding 1.644.005.142 1.790.549.187 549.344.220 740.817.021 Number of active borrowers 362.994 393.115 291.682 344.900 Value of microloans disbursed 862.225.666 914.280.564 485.356.660 653.141.549 Number of microloans disbursed 204.400 220.305 290.381 332.529 Average microloan disbursed 9.260 9.500 1.976 2.135 Average microloan term (month) 40 30 Annual interest rate 10,9% 19,3%
Microloan portfolio Percentage per type of institution (data as of 31/12/2015) MFIs: 137/149 Other (2 inst.) NBFI (83 inst.) 35% 45% 35% 54% NGO (42 inst.) Government body (1 inst.) Coop./Credit Union (4 inst.) Commercial Bank (4 inst.) 26% 38% 24% 31% 23% 42% 19% 27% Value of the gross microloan portfolio outstanding Number of active borrowers Value of microloans disbursed Number of microloans disbursed
European Code of Good Conduct for Microcredit Provision MFIs: 136/149 Do you know it? Has you already adhered to it? Do you intend to adhere to it? 24% 76% 103 MFIs 39% 61% 40 MFIs 63 MFIs 87% 13% 55 MFIs NO YES YES NO YES NO
MFIs that already adhered or intend to do it Already adhered Intend to adhere East Europe 20 37 West Europe 20 18 GROSS MICROLOAN PORTFOLIO Already adhered Intend to adhere no data 1 1 <100.000 0 13 100.001-1.000.000 8 17 1.000.001-10.000.000 17 19 10.000.001-50.000.000 9 4 50.000.001-100.000.000 2 1 >100m 3 0 TYPE OF INSTITUTION Already Intend to adhered adhere Commercial Bank 2 2 Coop./Credit Union 3 1 Government body 1 0 NGO 16 11 NBFI 18 40 Other 0 1 % OF TURNOVER Already Intend to adhered adhere NA 5 3 <5% 2 2 6%-25% 3 5 26%-50% 4 1 51%-75% 6 11 76%-100% 20 33
Thanks Diego Dagradi Microfinance Project Manager Via Andegari 18-20121 Milano, Italia Tel. +39 02 89012767 Fax +39 02 98652653 Email: progetti@fgda.org skype: diego_dagradi www.fgda.org