Lessons for Strengthening Microfinance Institutions through Financial Crises, Fluctuations in Food and Fuel Prices, and Other Major Risks

Abstract

Many, although not all, of the problems observed in microfinance sectors recently were triggered by the latest financial crisis and fluctuations in both food and fuel prices. At the same time, many problems began before the most recent financial crisis, or were intensified by other elements, including saturated microfinance markets, deficient credit policies and governance structures, and negative policy interventions. This report, Lessons for Microfinance Institutions from Financial Crises, Fluctuations in Food and Fuel Prices, and Other Major Risks, aims to identify and share lessons for strengthening microfinance institutions (MFIs) to weather the challenges of future financial crises, fluctuations in food and fuel prices, and other major risks.