ADDING INDIVIDUAL LENDING TO LOAN PORTFOLIO
Group micro-lending has been used successfully in some parts of the world, but many group borrowers ask for individual loans. So, individual lending is a market-driven product that also provides a good return to microfinance institutions (MFIs) and makes credit accessible to small businesses that have been historically “unbanked”. In this way, MFIs greatly contribute to economic diversification and social stability.
When a microfinance institution decides to introduce individual lending, it is essential that everyone in the MFI has some familiarity with the individual lending product, from the internal audit, who must be informed of risks, policies, procedures and reporting, to board members who have overall risk responsibilities. Obviously, credit managers and loan officers require a more in-depth knowledge.
Our three-day seminar “Adding Individual Lending to MFIs’ Loan Portfolio” helps microfinance institutions in developing and transition countries to establish good practices in individual lending. The program is primarily tailored to the needs of credit managers and loan officers. However, for provisioning of excellent service to small businesses and profitability of individual lending, it is fundamental for financial institutions that everyone in the MFI has some understanding of the individual lending methodology.
Audience: Loan officers, credit managers and others related to individual lending staff including top management and board members
Format: Classroom training including lectures, case studies, practical assignments
Duration: 3 days
Language: English or Russian
Content: The seminar focuses on:
- Benefits of individual lending
- Risks associated with individual lending
- Individual lending credit technology
- Responsible finance and client protection principles in individual lending
- Qualitative analysis
- Quantitative analysis (financial analysis of balance sheet, profit and loss statement and cash flow statement)
- Cross-checking. Interconnection of the three reports
- Typical mistakes in financial analysis
Certification: To qualify for a certificate, candidates must pass a written evaluation test after the seminar.