Main recommendations

The project's main recommendations are the following:

Key recommendations for policy makers

  1. Recognise that microfinance is a key tool for increasing employment and moving people out of poverty, in that it fights social and financial exclusion. A favourable EU policy environment will have a significant impact across the whole of Europe.
  2. Recognise that microfinance is broader than the provision of credit. It includes a range of other financial services, such as savings, insurance and leasing. However, other non-financial services such as Business Development Services (BDS) and financial literacy are needed to fight all aspects of social and financial exclusion. Support for this will significantly enhance the operations of microfinance institutions (MFIs), which will in turn increase their impact, accelerating the inclusion process.
  3. Work to improve the microfinance policy environment in their own country. In addition, encourage co-operation between the EU member countries, (especially between those in the East and West), NGOs and private corporations to harness all in the effort to combat social and financial exclusion.

Key recommendations for practitioners

  1. Develop a wide range of services and products relevant to the needs of people on low incomes and microentrepreneurs.
  2. Develop their organisation’s capacity to understand and use indicators in established and emerging assessment frameworks.
  3. Create a culture of innovation which can respond to the changing needs of the market.

Key recommendations for networks

  1. Promote the creation of a favourable microfinance environment at EU and member state levels.
  2. Develop partnerships with EU member states, NGOs and private corporations which can strengthen work towards the shared goals of social and financial inclusion.
  3. Promote the concept and develop the understanding of microfinance among stakeholders and a more general audience.