Evaluating Risk Management in the Microfinance Community (Presentation)

  • Date Posted: June 2, 2010
  • Authors: Pam Brown, Robert Mora, Brian Cox
  • Organizations/Projects: Cygma
  • Document Types: Guidance, Tool, Other
  • Donor Type: U.S. Agency for International Development

On Wednesday, December 9, 2009, USAID's Microenterprise Development office held its 37th Microfinance Innovations After Hours Seminar on the topic of "Evaluating Risk Management in the Microfinance Community through Tools, Case Studies and Guiding Principles." The event, which was moderated by Thomás Debass of OPIC, introduced participants to the work conducted by the microRisk Alliance (MRA) Network, and the case studies and tools being developed by the MRA grantees. Mr. Debass opened the event by explaining the concept behind Learning Networks and the impetus for creating the MRA Network. Pam Brown, of Cygma, introduced MRA's mission and how the Alliance decided on the Principles of Risk Management in Microfinance; Brian Cox, of MFX Solutions, provided an overview of his organization's currency hedging products and services; and Robert Mora, of TriLinc Analytics Systems, introduced a case study on an NGO in Bangladesh and explained the risk management tools developed by his company. The event concluded with a plenary discussion about how risk management is being addressed by the larger microfinance community and the tools being used to identify risk.