Risk and performance in microfinance

Trainer: Microfinanza srl (Italy)

The training course aims to help participants to better understand the risk involved in microfinance activities and how to measure the performance of MFIs, in particular financial performance. Understanding risks and measure performance is a crucial step to better manage and improve the performance of the organisations and represents a crucial base for consequently analyzing properly the investment they need to grow and better respond to their clients’ needs.

The training course combines lectures, practical applications in groups and individually, while ample time is dedicated to sharing experiences amongst participants from their work in various countries in Europe.

The course will cover the following subjects:

• Overview of risks involved in microfinance activities
• General concept of risk management framework
• Introduction to financial analysis and risk measurement
• Introduction to financial statements
• Analysis of financial performance:

            - Portfolio quality
            - Efficiency and productivity
            - Assets and liability management
            - Profitability and sustainability

• Benchmarking

During the course the main indicators will be presented providing a theoretical background and practical examples and applications. The relevance of benchmarking process within the sector will be also explored.

Language: English

Target group: Senior and mid-level managers from European microfinance organizations

Duration: 2 days