SlideShare une entreprise Scribd logo
1  sur  25
Télécharger pour lire hors ligne
MFI financing and currency risk: current
mitigants and innovative instruments
European Microfinance Week 2007:
“European responses to global microfinance challenges”


ACP IF IV Division
Guadalupe de la Mata– Loan Officer
Agenda


1.    Risk-Related Issues in Microfinance
2.    Traditional Options to Reduce Foreign Exchange
      Risk
3.    Other Mechanisms
     3.1   Improving MFIs Access to Local Financial Markets
     3.2   Improving MFIs access to Local Capital Markets
     3.3   Tapping International Capital Markets
Risk-Related Issues in Microfinance


 increased role of microfinance
 increased foreign funds and higher commercial approach for
 microfinance support raise
 Issue of foreign exchange risk, its potential impact in MFI’s
 development and survival, and the mechanisms to avoid or limit it
  foreign exchange risk typically arises when an MFI borrows funds in a
 foreign currency and onlends to local micro-enterprises in domestic
 currency
Agenda


1.    Risk-Related Issues in Microfinance
2.    Traditional Options to Reduce Foreign Exchange
      Risk
3.    Other Mechanisms
     3.1   Improving MFIs Access to Local Financial Markets
     3.2   Improving MFIs access to Local Capital Markets
     3.3   Tapping International Capital Markets
Options to Reduce Foreign Exchange
Risk

 I. Options to reduce the foreign exchange risk traditionally used by
 stakeholders
 Mitigating mechanisms used by donors/ lenders ready to lend in
 local currency.
 Mitigating mechanism used by MFI accepting finance in foreign
 currency


 II. Exploring other mechanisms
 deepening local financial and capital markets
 attracting finance from the international capital markets
Traditional Options to Reduce Foreign
Exchange Risk (I)

Mitigating mechanisms used by donors/ lenders ready to
lend in local currency

1. Lending in local currency- apply a premium to cover the
   currency risk
2. Lending in local currency and issuing a bond in local currency
   to cover the exchange risk
3. Lending in local currency- Borrowing from a local bank and
   on-lending to the MFI
4. Hedging the risk through derivatives
Traditional Options to Reduce Foreign
 Exchange Risk (I)


B) Mitigating mechanism used by MFI accepting finance in foreign
   currency
1. Lending in hard currency- MFI accepts the foreign exchange risk
    and takes the loan in hard currency
2. Lending in hard currency- MFI Matches liabilities denominated
   in foreign-currency to assets denominated in that same
   currency
3. Lending in hard currency – MFI creates foreign currency
   reserves
4. Lending in hard currency -Back-to-back loans
Exploring Other Mechanisms (I)


1.   Improving MFIs access to local financial markets
    Using partial loan guarantees to facilitate local bank lending
    Using portfolio guarantees
    Hedging the risk through derivatives

2.   Improving MFIs access to local capital markets
     Guarantees to bond issuances
     Domestic securitizations of microcredits

3.   Linking international capital markets and microfinance
Agenda


1.    Risk-Related Issues in Microfinance
2.    Traditional Options to Reduce Foreign Exchange
      Risk
3.    Other Mechanisms
3.1   Improving MFIs Access to Local Financial Markets
3.2   Improving MFIs access to Local Capital Markets
3.3   Tapping International Capital Markets
Exploring Other Mechanisms (II)

Linking international capital markets and microfinance
by using diversification
Promoting private equity funds investing in the capital of local
MFIs
Promoting international lending in local currency through
international debt funds diversifying across local currencies
International securitisations (cross border)


by developing Hedging Instruments
Creating a international fund proposing hedge instruments to
microfinance lenders and donors
Attracting remittances to MFIs
Agenda


1.    Risk-Related Issues in Microfinance
2.    Traditional Options to Reduce Foreign Exchange
      Risk
3.    Other Mechanisms
3.1   Improving MFIs Access to Local Financial Markets
3.2   Improving MFIs access to Local Capital Markets
3.3   Tapping International Capital Markets
Improving MFIs Access to Local
 Financial Markets (I)

Using partial loan guarantees to facilitate local bank lending


   M
   E
   M                       Microfinance
   E                       Institutio
                           n
   M                                      Longer                        External
   E      Microcredits                                                  Guarantors
                                          Reduced
                                           Term/
                                                    Local               (Donor)
   M                                      Rate      Bank
                                                            Guarantee
   E
   M
   E
   M
                          Portfolio of
   E
   M                     Microcredits
   E
Improving MFIs Access to Local
 Financial Markets (II)

Hedging the risk through derivatives

 In order to develop the local financial market, some
  international donors are structuring hedging instruments to
  mitigate the foreign currency risks.
 For example, the International Finance Corporation (IFC)
  offers currency swaps to allow clients to transform existing or
  new foreign currency liabilities into local currency.
Agenda


1.    Risk-Related Issues in Microfinance
2.    Traditional Options to Reduce Foreign Exchange
      Risk
3.    Other Mechanisms
3.1   Improving MFIs Access to Local Financial Markets
3.2   Improving MFIs access to Local Capital Markets
3.3   Tapping International Capital Markets
Improving MFIs Access to Local
 Capital Markets (I)
Guarantees to bond issuance
  ME
  SME
  ME
  SME

  SME
  ME                   Microfinane
                        Instituion/
                        Institution/
  ME
  SME                   SME Bank

  ME
  SME                                   Bond
        Microcredits                   Issuance                      Local
  SME
  ME                                                               investors
                                                                    Pension
  SME
  ME                                                                 Funds
                          Portfolio
                          Micro
  SME
  ME                          of
                          credit
                         Microcred
                         portfolio
                         its or SME
  ME
  SME                       loans
  ME
  SME                                                          Debt service
                                                               guarantee
                                                      EIB
                                                  Investment
                                                  Guarantor
                                                    Facility
Improving MFIs Access to Local
  Capital Markets (II)
Local microfinance securitisation

                        MFI
                         MFI                                           Senior
                                                                        Senior
     ME
      ME

                                                SPV
     ME                                          SPV
      ME                          Purchase                 Issuance
                                      of                   of ABS
                                  microcredi
     ME                           t portfolio
      ME            Microcredit                                       Mezzanine
                                                                       Mezzanine
                     portfolio

     ME
      ME


                                                                       Junior
                                                                        Junior




                                                                         Investment or
                                                       Investor or        Debt service
                                                        Investor or
                                                        guarantor
                                                         guarantor         guarantee
                                                         (Donor)
                                                          (Donor)
Agenda


1.    Risk-Related Issues in Microfinance
2.    Traditional Options to Reduce Foreign Exchange
      Risk
3.    Other Mechanisms
3.1   Improving MFIs Access to Local Financial Markets
3.2   Improving MFIs access to Local Capital Markets
3.3   Tapping International Capital Markets
Tapping International Capital Markets (I)


 increasing number of institutions willing to fulfil certain
  Corporate Social Responsibility (CSR) requirements
 increasing number of socially responsible individuals are
  interested in investments and vehicles that combine financial
  returns and positive social impact

Microfinance as interesting opportunity for this type of
investors:
 it is increasingly moving from a pure development tool to a
   potential new asset class
 provides both a financial return and a positive social impact
Tapping International Capital Markets (II)


Private Equity Funds

 allow linking international investors with MFIs are equity
  funds.
 invest in MFI, improving its capital base and providing the
  soundness required to further mobilise debt funding
 MFIs are not exposed to exchange risk as equity
  investments are in local currency
 risk is absorbed by the fund and reduced by the country
  and currency diversification as investor’s participations in
  the fund are usually in hard currency
Tapping International Capital Markets (III)


Microfinance debt funds

 allow diversifying the risk by providing loans to MFIs in
  different countries in selected local currencies
 risk might be reduced by the portfolio approach as
  movements in one currency might be offset by movements
  in another
 exposures to each individual currency should be limited to a
  certain percentage of the total portfolio
 some of these funds can also hedge exposures through
  swaps when available
 bonds in the local currency of the loan to the MFI to fund the
  local currency financing can be issued
    – BVVA
    – Dexia
Tapping International Capital Markets (IV)
Cross border microfinance securitisation
   ME
    ME
                           MFI 11
   ME                       MFI
    ME
         Micro-finance
   ME        loans
    ME
                                                    Special
                                                     Special    Senior
                                                    Purpos       Senior
                                                     Purpos
   ME                                               Vehicle
    ME                                   Funding     Vehicle
                                       granted to
   ME                      MFI 22       the MFIs
    ME                      MFI

          Micro-finance
                                                               Mezzanine
   ME         loans                                             Mezzanine
    ME

   ME
    ME
                                                                Junior
                                                                 Junior
                          MFI (...)
   ME                      MFI (...)
    ME
         Micro-finance                                           Debt service
             loans                                              guarantee or
   ME                                                            Investment
    ME                                                         Investor or
                                                                Investor or
                                                                Guarantor
                                                                 Guarantor
                                                                  (donor)
                                                                   (donor)
Tapping International Capital Markets (V)

Creating a international fund proposing hedge
instruments
     Donors are exploring other mechanisms to solve the
      problem in a sustainable manner
     two sample projects: TCX and Match

TCX
    partnership structured by FMO to pool local currency
     exposures with other donors and investment partners
    Main benefits
   –     more efficient management of forex risk
   –     a faster and deeper diversification;
   –     improvement of terms available for this activity
   –     a professional and specialised management team
Tapping International Capital Markets (VI)


IFC Matching Assets Through Currency Hedging (Match)

    IFC is working on creating a global fund to provide local
     currency hedges for loans disbursed by IFC
    will begin as a pilot project capitalised with USD 30
     million, which is expected to facilitate between USD
     100 to USD 200 million of local currency loans.
    Initial focus will be on microfinance, health and
     education, and SME projects
Tapping International Capital Markets (VII)

Funds targeting Second tier and rural MFIs
Rural Impulse Fund (RIF)

    Majority of existing microfinance investment vehicles
     targets urban MFIs
    RIF makes debt and/or equity investments in MFIs which
     provide financial services to the rural poor
    RIF focusses on rural MFIs with at least 20% of clients in
     rural areas
    contributes to the alleviation of poverty in rural areas
     underserved by the microfinance industry (especially in
     sub-Saharan Africa)
    expected to promote the expansion of urban MFIs into
     rural areas
    complements existing microfinance investment vehicles
     by
Your Experiences and Ideas


Experiences from the working group
-Challenges
-Opportunities
Other instruments not mentioned
Other ideas

                              Thank you for your kind attention.

Contenu connexe

Tendances

Financial intermediaries
Financial intermediariesFinancial intermediaries
Financial intermediariesAliza Racelis
 
Financeiro da Habitação Workshop - Allan Cain, 17 Fev 2012
Financeiro da Habitação Workshop - Allan Cain, 17 Fev 2012Financeiro da Habitação Workshop - Allan Cain, 17 Fev 2012
Financeiro da Habitação Workshop - Allan Cain, 17 Fev 2012Development Workshop Angola
 
01 securitization in india – issues and challenges
01 securitization in india – issues and challenges01 securitization in india – issues and challenges
01 securitization in india – issues and challengesJithin Zcs
 
Sbi life insurance distributuion channel
Sbi life insurance distributuion channelSbi life insurance distributuion channel
Sbi life insurance distributuion channelsahilmonga001
 
Securitisation in india
Securitisation in indiaSecuritisation in india
Securitisation in indiaShreya Ganguly
 
A project report on customer perception towards insurance
A project report on customer perception towards insuranceA project report on customer perception towards insurance
A project report on customer perception towards insuranceProjects Kart
 
Synthetic securitization
Synthetic securitizationSynthetic securitization
Synthetic securitizationLaura Loddo
 
Mortgage backed securities
Mortgage backed securitiesMortgage backed securities
Mortgage backed securitiesStudsPlanet.com
 
Whole Story Life
Whole Story LifeWhole Story Life
Whole Story Lifeguest4a21e5
 
InsUraNce, Re-InSurAnce & BanCaSSuraNce
InsUraNce, Re-InSurAnce & BanCaSSuraNceInsUraNce, Re-InSurAnce & BanCaSSuraNce
InsUraNce, Re-InSurAnce & BanCaSSuraNceSonu Sah
 
Pricing and modelling under the Italian Direct Compensation Card Scheme
Pricing and modelling under the Italian Direct Compensation Card SchemePricing and modelling under the Italian Direct Compensation Card Scheme
Pricing and modelling under the Italian Direct Compensation Card SchemeGiorgio Alfredo Spedicato
 
Bwrr3063 topic 08b_credit_derivatives
Bwrr3063 topic 08b_credit_derivativesBwrr3063 topic 08b_credit_derivatives
Bwrr3063 topic 08b_credit_derivativesMNZWAJ ASSOCIATES
 

Tendances (20)

Financial intermediaries
Financial intermediariesFinancial intermediaries
Financial intermediaries
 
Chapter 14
Chapter 14Chapter 14
Chapter 14
 
Financeiro da Habitação Workshop - Allan Cain, 17 Fev 2012
Financeiro da Habitação Workshop - Allan Cain, 17 Fev 2012Financeiro da Habitação Workshop - Allan Cain, 17 Fev 2012
Financeiro da Habitação Workshop - Allan Cain, 17 Fev 2012
 
Securitization
SecuritizationSecuritization
Securitization
 
01 securitization in india – issues and challenges
01 securitization in india – issues and challenges01 securitization in india – issues and challenges
01 securitization in india – issues and challenges
 
Value chain finance and risk management
Value chain finance and risk managementValue chain finance and risk management
Value chain finance and risk management
 
14 role of insurance
14 role of insurance14 role of insurance
14 role of insurance
 
securitization
securitizationsecuritization
securitization
 
Sbi life insurance distributuion channel
Sbi life insurance distributuion channelSbi life insurance distributuion channel
Sbi life insurance distributuion channel
 
Securitisation in india
Securitisation in indiaSecuritisation in india
Securitisation in india
 
A project report on customer perception towards insurance
A project report on customer perception towards insuranceA project report on customer perception towards insurance
A project report on customer perception towards insurance
 
Synthetic securitization
Synthetic securitizationSynthetic securitization
Synthetic securitization
 
Mortgage backed securities
Mortgage backed securitiesMortgage backed securities
Mortgage backed securities
 
Whole Story Life
Whole Story LifeWhole Story Life
Whole Story Life
 
Sharanafms
SharanafmsSharanafms
Sharanafms
 
SMSFs - Super & Property, what's the big deal
SMSFs - Super & Property, what's the big dealSMSFs - Super & Property, what's the big deal
SMSFs - Super & Property, what's the big deal
 
Birla sun life insurance
Birla sun life insuranceBirla sun life insurance
Birla sun life insurance
 
InsUraNce, Re-InSurAnce & BanCaSSuraNce
InsUraNce, Re-InSurAnce & BanCaSSuraNceInsUraNce, Re-InSurAnce & BanCaSSuraNce
InsUraNce, Re-InSurAnce & BanCaSSuraNce
 
Pricing and modelling under the Italian Direct Compensation Card Scheme
Pricing and modelling under the Italian Direct Compensation Card SchemePricing and modelling under the Italian Direct Compensation Card Scheme
Pricing and modelling under the Italian Direct Compensation Card Scheme
 
Bwrr3063 topic 08b_credit_derivatives
Bwrr3063 topic 08b_credit_derivativesBwrr3063 topic 08b_credit_derivatives
Bwrr3063 topic 08b_credit_derivatives
 

En vedette

Riesgo reputacional y microfinanzas.guadalupe de la mata
Riesgo reputacional y microfinanzas.guadalupe de la mataRiesgo reputacional y microfinanzas.guadalupe de la mata
Riesgo reputacional y microfinanzas.guadalupe de la mataGuadalupe de la Mata
 
Women entreprenurs and microfinance
 Women entreprenurs and microfinance Women entreprenurs and microfinance
Women entreprenurs and microfinanceGuadalupe de la Mata
 
Microfinanzas. Crisis Financiera y Falta de Liquidez
Microfinanzas. Crisis Financiera y Falta de LiquidezMicrofinanzas. Crisis Financiera y Falta de Liquidez
Microfinanzas. Crisis Financiera y Falta de LiquidezGuadalupe de la Mata
 
Foro alianzas publico privadas: alianzas sector financiero
Foro alianzas publico privadas: alianzas sector financieroForo alianzas publico privadas: alianzas sector financiero
Foro alianzas publico privadas: alianzas sector financieroGuadalupe de la Mata
 
Final guadalupe conferencia simo 10 consejos-3
Final guadalupe conferencia simo 10 consejos-3Final guadalupe conferencia simo 10 consejos-3
Final guadalupe conferencia simo 10 consejos-3Guadalupe de la Mata
 
Foro alianzas publico privadas negocios inclusivos
Foro alianzas publico privadas negocios inclusivosForo alianzas publico privadas negocios inclusivos
Foro alianzas publico privadas negocios inclusivosGuadalupe de la Mata
 
Guadalupe de la Mata. Curso Negocios Inclusivos UEM
Guadalupe de la Mata. Curso Negocios Inclusivos UEMGuadalupe de la Mata. Curso Negocios Inclusivos UEM
Guadalupe de la Mata. Curso Negocios Inclusivos UEMGuadalupe de la Mata
 
The role of International Financial Institutions to promote microsavings. gua...
The role of International Financial Institutions to promote microsavings. gua...The role of International Financial Institutions to promote microsavings. gua...
The role of International Financial Institutions to promote microsavings. gua...Guadalupe de la Mata
 
Guadalupe de la Mata. Simulación negocios inclusivos
Guadalupe de la Mata. Simulación negocios inclusivosGuadalupe de la Mata. Simulación negocios inclusivos
Guadalupe de la Mata. Simulación negocios inclusivosGuadalupe de la Mata
 
CURSO LIDERAZGO TRANSFORMADOR PARA DIRECTORES DE MICROFINANCIERAS
CURSO LIDERAZGO TRANSFORMADOR PARA DIRECTORES DE MICROFINANCIERASCURSO LIDERAZGO TRANSFORMADOR PARA DIRECTORES DE MICROFINANCIERAS
CURSO LIDERAZGO TRANSFORMADOR PARA DIRECTORES DE MICROFINANCIERASGuadalupe de la Mata
 
Financiación Internacional para Instituciones de Microfinanzas. Proceso de Du...
Financiación Internacional para Instituciones de Microfinanzas. Proceso de Du...Financiación Internacional para Instituciones de Microfinanzas. Proceso de Du...
Financiación Internacional para Instituciones de Microfinanzas. Proceso de Du...Guadalupe de la Mata
 
Guadalupe de la Mata.Clase uem emprendedores sociales
Guadalupe de la Mata.Clase uem emprendedores sociales Guadalupe de la Mata.Clase uem emprendedores sociales
Guadalupe de la Mata.Clase uem emprendedores sociales Guadalupe de la Mata
 
Guadalupe de la mata negociacion harvard-metodologia-guadalupe-de-la-mata
Guadalupe de la mata negociacion harvard-metodologia-guadalupe-de-la-mataGuadalupe de la mata negociacion harvard-metodologia-guadalupe-de-la-mata
Guadalupe de la mata negociacion harvard-metodologia-guadalupe-de-la-mataGuadalupe de la Mata
 
Design thinking for social change. guadalupe de la mata
Design thinking for social change. guadalupe de la mataDesign thinking for social change. guadalupe de la mata
Design thinking for social change. guadalupe de la mataGuadalupe de la Mata
 
Toma Un Respiro Mayo 16
Toma Un Respiro Mayo 16Toma Un Respiro Mayo 16
Toma Un Respiro Mayo 16Javier Perdomo
 
Concepto y actores innovacion social. Guadalupe de la Mata
Concepto y actores innovacion social. Guadalupe de la MataConcepto y actores innovacion social. Guadalupe de la Mata
Concepto y actores innovacion social. Guadalupe de la MataGuadalupe de la Mata
 

En vedette (18)

Riesgo reputacional y microfinanzas.guadalupe de la mata
Riesgo reputacional y microfinanzas.guadalupe de la mataRiesgo reputacional y microfinanzas.guadalupe de la mata
Riesgo reputacional y microfinanzas.guadalupe de la mata
 
Women entreprenurs and microfinance
 Women entreprenurs and microfinance Women entreprenurs and microfinance
Women entreprenurs and microfinance
 
Microfinanzas. Crisis Financiera y Falta de Liquidez
Microfinanzas. Crisis Financiera y Falta de LiquidezMicrofinanzas. Crisis Financiera y Falta de Liquidez
Microfinanzas. Crisis Financiera y Falta de Liquidez
 
Foro alianzas publico privadas: alianzas sector financiero
Foro alianzas publico privadas: alianzas sector financieroForo alianzas publico privadas: alianzas sector financiero
Foro alianzas publico privadas: alianzas sector financiero
 
Final guadalupe conferencia simo 10 consejos-3
Final guadalupe conferencia simo 10 consejos-3Final guadalupe conferencia simo 10 consejos-3
Final guadalupe conferencia simo 10 consejos-3
 
Foro alianzas publico privadas negocios inclusivos
Foro alianzas publico privadas negocios inclusivosForo alianzas publico privadas negocios inclusivos
Foro alianzas publico privadas negocios inclusivos
 
Guadalupe de la Mata. Curso Negocios Inclusivos UEM
Guadalupe de la Mata. Curso Negocios Inclusivos UEMGuadalupe de la Mata. Curso Negocios Inclusivos UEM
Guadalupe de la Mata. Curso Negocios Inclusivos UEM
 
The role of International Financial Institutions to promote microsavings. gua...
The role of International Financial Institutions to promote microsavings. gua...The role of International Financial Institutions to promote microsavings. gua...
The role of International Financial Institutions to promote microsavings. gua...
 
Guadalupe de la Mata. Simulación negocios inclusivos
Guadalupe de la Mata. Simulación negocios inclusivosGuadalupe de la Mata. Simulación negocios inclusivos
Guadalupe de la Mata. Simulación negocios inclusivos
 
CURSO LIDERAZGO TRANSFORMADOR PARA DIRECTORES DE MICROFINANCIERAS
CURSO LIDERAZGO TRANSFORMADOR PARA DIRECTORES DE MICROFINANCIERASCURSO LIDERAZGO TRANSFORMADOR PARA DIRECTORES DE MICROFINANCIERAS
CURSO LIDERAZGO TRANSFORMADOR PARA DIRECTORES DE MICROFINANCIERAS
 
Financiación Internacional para Instituciones de Microfinanzas. Proceso de Du...
Financiación Internacional para Instituciones de Microfinanzas. Proceso de Du...Financiación Internacional para Instituciones de Microfinanzas. Proceso de Du...
Financiación Internacional para Instituciones de Microfinanzas. Proceso de Du...
 
Clases de Negocios Inclusivos
Clases de Negocios InclusivosClases de Negocios Inclusivos
Clases de Negocios Inclusivos
 
Guadalupe de la Mata.Clase uem emprendedores sociales
Guadalupe de la Mata.Clase uem emprendedores sociales Guadalupe de la Mata.Clase uem emprendedores sociales
Guadalupe de la Mata.Clase uem emprendedores sociales
 
Guadalupe de la mata negociacion harvard-metodologia-guadalupe-de-la-mata
Guadalupe de la mata negociacion harvard-metodologia-guadalupe-de-la-mataGuadalupe de la mata negociacion harvard-metodologia-guadalupe-de-la-mata
Guadalupe de la mata negociacion harvard-metodologia-guadalupe-de-la-mata
 
Design thinking for social change. guadalupe de la mata
Design thinking for social change. guadalupe de la mataDesign thinking for social change. guadalupe de la mata
Design thinking for social change. guadalupe de la mata
 
Toma Un Respiro Mayo 16
Toma Un Respiro Mayo 16Toma Un Respiro Mayo 16
Toma Un Respiro Mayo 16
 
Concepto y actores innovacion social. Guadalupe de la Mata
Concepto y actores innovacion social. Guadalupe de la MataConcepto y actores innovacion social. Guadalupe de la Mata
Concepto y actores innovacion social. Guadalupe de la Mata
 
Metodología World Cafe
Metodología World CafeMetodología World Cafe
Metodología World Cafe
 

Similaire à MFI financing and currency risk: current mitigants and innovative instruments

Microfinance Consolidation - Wagane Diouf
Microfinance Consolidation - Wagane DioufMicrofinance Consolidation - Wagane Diouf
Microfinance Consolidation - Wagane DioufWagane Diouf
 
S Vohra Ceo Panel 4 Revised
S Vohra Ceo Panel 4 RevisedS Vohra Ceo Panel 4 Revised
S Vohra Ceo Panel 4 RevisedADFIAP
 
Petit dejeuner Phitrust Partenaires - PERMICRO - 3/03/2011
Petit dejeuner  Phitrust Partenaires - PERMICRO - 3/03/2011Petit dejeuner  Phitrust Partenaires - PERMICRO - 3/03/2011
Petit dejeuner Phitrust Partenaires - PERMICRO - 3/03/2011PhiTrust Partenaires
 
A veritable product diversification option for micro finance institutions in ...
A veritable product diversification option for micro finance institutions in ...A veritable product diversification option for micro finance institutions in ...
A veritable product diversification option for micro finance institutions in ...Alexander Decker
 
Lessons from various microinsurance schemes and key success factors
Lessons from various microinsurance schemes and key success factorsLessons from various microinsurance schemes and key success factors
Lessons from various microinsurance schemes and key success factorsGlobal Risk Forum GRFDavos
 
Microfinance An Introduction
Microfinance An IntroductionMicrofinance An Introduction
Microfinance An IntroductionKabare Piyush
 
Industry association of rural banks: strategic partner for developing access ...
Industry association of rural banks: strategic partner for developing access ...Industry association of rural banks: strategic partner for developing access ...
Industry association of rural banks: strategic partner for developing access ...MABSIV
 
Presentation taoufiq-lahrach-caisse-centrale-de-garantie-morocco
Presentation taoufiq-lahrach-caisse-centrale-de-garantie-moroccoPresentation taoufiq-lahrach-caisse-centrale-de-garantie-morocco
Presentation taoufiq-lahrach-caisse-centrale-de-garantie-moroccoBilal Chrigui
 
Mdv corp presentation for m de-c johor
Mdv corp presentation for m de-c johorMdv corp presentation for m de-c johor
Mdv corp presentation for m de-c johorEsue Ishak
 
Yields of mortgage backed securities
Yields of mortgage   backed securitiesYields of mortgage   backed securities
Yields of mortgage backed securitiesAli Ünal
 
Custodial services
Custodial servicesCustodial services
Custodial servicesSupriya M D
 
Analysis of banking risks and the role of insurance indu (1)
Analysis of banking risks and the role of insurance indu (1)Analysis of banking risks and the role of insurance indu (1)
Analysis of banking risks and the role of insurance indu (1)anglo99
 
Rajan Uttamchandani Ceo Panel 4
Rajan Uttamchandani Ceo Panel 4Rajan Uttamchandani Ceo Panel 4
Rajan Uttamchandani Ceo Panel 4ADFIAP
 
Final term paper emerging market finance (1)
Final term paper   emerging market finance (1)Final term paper   emerging market finance (1)
Final term paper emerging market finance (1)Lehana Singh
 
Sortis group presentation 20130209 en
Sortis group presentation 20130209 enSortis group presentation 20130209 en
Sortis group presentation 20130209 enMartin Paev
 

Similaire à MFI financing and currency risk: current mitigants and innovative instruments (20)

Value chain finance
Value chain financeValue chain finance
Value chain finance
 
Microfinance Consolidation - Wagane Diouf
Microfinance Consolidation - Wagane DioufMicrofinance Consolidation - Wagane Diouf
Microfinance Consolidation - Wagane Diouf
 
S Vohra Ceo Panel 4 Revised
S Vohra Ceo Panel 4 RevisedS Vohra Ceo Panel 4 Revised
S Vohra Ceo Panel 4 Revised
 
Capital formation
Capital formationCapital formation
Capital formation
 
Petit dejeuner Phitrust Partenaires - PERMICRO - 3/03/2011
Petit dejeuner  Phitrust Partenaires - PERMICRO - 3/03/2011Petit dejeuner  Phitrust Partenaires - PERMICRO - 3/03/2011
Petit dejeuner Phitrust Partenaires - PERMICRO - 3/03/2011
 
A veritable product diversification option for micro finance institutions in ...
A veritable product diversification option for micro finance institutions in ...A veritable product diversification option for micro finance institutions in ...
A veritable product diversification option for micro finance institutions in ...
 
Lessons from various microinsurance schemes and key success factors
Lessons from various microinsurance schemes and key success factorsLessons from various microinsurance schemes and key success factors
Lessons from various microinsurance schemes and key success factors
 
Financial intermederies
Financial intermederiesFinancial intermederies
Financial intermederies
 
Microfinance An Introduction
Microfinance An IntroductionMicrofinance An Introduction
Microfinance An Introduction
 
Industry association of rural banks: strategic partner for developing access ...
Industry association of rural banks: strategic partner for developing access ...Industry association of rural banks: strategic partner for developing access ...
Industry association of rural banks: strategic partner for developing access ...
 
Presentation taoufiq-lahrach-caisse-centrale-de-garantie-morocco
Presentation taoufiq-lahrach-caisse-centrale-de-garantie-moroccoPresentation taoufiq-lahrach-caisse-centrale-de-garantie-morocco
Presentation taoufiq-lahrach-caisse-centrale-de-garantie-morocco
 
Mdv corp presentation for m de-c johor
Mdv corp presentation for m de-c johorMdv corp presentation for m de-c johor
Mdv corp presentation for m de-c johor
 
Cemap 1-final-copy
Cemap 1-final-copyCemap 1-final-copy
Cemap 1-final-copy
 
Yields of mortgage backed securities
Yields of mortgage   backed securitiesYields of mortgage   backed securities
Yields of mortgage backed securities
 
Icd corporate profile march 2012 - Financiamento do Banco Islâmico de Des...
Icd   corporate profile  march 2012 - Financiamento  do Banco Islâmico de Des...Icd   corporate profile  march 2012 - Financiamento  do Banco Islâmico de Des...
Icd corporate profile march 2012 - Financiamento do Banco Islâmico de Des...
 
Custodial services
Custodial servicesCustodial services
Custodial services
 
Analysis of banking risks and the role of insurance indu (1)
Analysis of banking risks and the role of insurance indu (1)Analysis of banking risks and the role of insurance indu (1)
Analysis of banking risks and the role of insurance indu (1)
 
Rajan Uttamchandani Ceo Panel 4
Rajan Uttamchandani Ceo Panel 4Rajan Uttamchandani Ceo Panel 4
Rajan Uttamchandani Ceo Panel 4
 
Final term paper emerging market finance (1)
Final term paper   emerging market finance (1)Final term paper   emerging market finance (1)
Final term paper emerging market finance (1)
 
Sortis group presentation 20130209 en
Sortis group presentation 20130209 enSortis group presentation 20130209 en
Sortis group presentation 20130209 en
 

Plus de Guadalupe de la Mata

Material negotiation techniques Harvard
Material negotiation techniques Harvard Material negotiation techniques Harvard
Material negotiation techniques Harvard Guadalupe de la Mata
 
Conferencia Crisis Microfinanzas 2010
Conferencia Crisis Microfinanzas 2010Conferencia Crisis Microfinanzas 2010
Conferencia Crisis Microfinanzas 2010Guadalupe de la Mata
 
Guadalupe de la mata Presentation eu china trade project Microfinance in the EU
Guadalupe de la mata Presentation eu china trade project Microfinance in the EUGuadalupe de la mata Presentation eu china trade project Microfinance in the EU
Guadalupe de la mata Presentation eu china trade project Microfinance in the EUGuadalupe de la Mata
 
articulomercadosemergentesyreequilibrioglobalguadalupe-120405175623-phpapp01-3
articulomercadosemergentesyreequilibrioglobalguadalupe-120405175623-phpapp01-3articulomercadosemergentesyreequilibrioglobalguadalupe-120405175623-phpapp01-3
articulomercadosemergentesyreequilibrioglobalguadalupe-120405175623-phpapp01-3Guadalupe de la Mata
 
10 consejos para innovar y emprender por Steves Jobs
10 consejos para innovar y emprender por Steves Jobs10 consejos para innovar y emprender por Steves Jobs
10 consejos para innovar y emprender por Steves JobsGuadalupe de la Mata
 
Instrumentos europeos de apoyo al emprendimiento. acceso a la financiación d...
Instrumentos europeos de apoyo al emprendimiento. acceso  a la financiación d...Instrumentos europeos de apoyo al emprendimiento. acceso  a la financiación d...
Instrumentos europeos de apoyo al emprendimiento. acceso a la financiación d...Guadalupe de la Mata
 
The ecosystem of social innovation in madrid
The ecosystem of social innovation in madridThe ecosystem of social innovation in madrid
The ecosystem of social innovation in madridGuadalupe de la Mata
 
Cuestionario para desarrollar tu liderazgo innovador
Cuestionario para desarrollar tu liderazgo innovadorCuestionario para desarrollar tu liderazgo innovador
Cuestionario para desarrollar tu liderazgo innovadorGuadalupe de la Mata
 
Foro alianzas publico privadas negocios inclusivos
Foro alianzas publico privadas negocios inclusivosForo alianzas publico privadas negocios inclusivos
Foro alianzas publico privadas negocios inclusivosGuadalupe de la Mata
 
resumen ejecutivo libro base de la pirámide
resumen ejecutivo libro base de la pirámideresumen ejecutivo libro base de la pirámide
resumen ejecutivo libro base de la pirámideGuadalupe de la Mata
 
Articulo nuevos instrumentos financieros guadalupe
Articulo nuevos instrumentos financieros guadalupeArticulo nuevos instrumentos financieros guadalupe
Articulo nuevos instrumentos financieros guadalupeGuadalupe de la Mata
 
Articulo mercados emergentes y reequilibrio global guadalupe
Articulo mercados emergentes y reequilibrio global guadalupeArticulo mercados emergentes y reequilibrio global guadalupe
Articulo mercados emergentes y reequilibrio global guadalupeGuadalupe de la Mata
 
Leadershipfora betterworldinstructormanual
Leadershipfora betterworldinstructormanualLeadershipfora betterworldinstructormanual
Leadershipfora betterworldinstructormanualGuadalupe de la Mata
 
Exploring leadershipii instructorsguide
Exploring leadershipii instructorsguideExploring leadershipii instructorsguide
Exploring leadershipii instructorsguideGuadalupe de la Mata
 
Guia Alianzas Publico Privadas para el Desarrollo
Guia Alianzas Publico Privadas para el DesarrolloGuia Alianzas Publico Privadas para el Desarrollo
Guia Alianzas Publico Privadas para el DesarrolloGuadalupe de la Mata
 
Retos y oportunidades de la crisis para las microfinanzas.
Retos y oportunidades de la crisis para las microfinanzas. Retos y oportunidades de la crisis para las microfinanzas.
Retos y oportunidades de la crisis para las microfinanzas. Guadalupe de la Mata
 
Aprendiendo de-las-empresas-sociales-6-casos-en-europa
Aprendiendo de-las-empresas-sociales-6-casos-en-europaAprendiendo de-las-empresas-sociales-6-casos-en-europa
Aprendiendo de-las-empresas-sociales-6-casos-en-europaGuadalupe de la Mata
 

Plus de Guadalupe de la Mata (20)

Material negotiation techniques Harvard
Material negotiation techniques Harvard Material negotiation techniques Harvard
Material negotiation techniques Harvard
 
Conferencia Crisis Microfinanzas 2010
Conferencia Crisis Microfinanzas 2010Conferencia Crisis Microfinanzas 2010
Conferencia Crisis Microfinanzas 2010
 
Guadalupe de la mata Presentation eu china trade project Microfinance in the EU
Guadalupe de la mata Presentation eu china trade project Microfinance in the EUGuadalupe de la mata Presentation eu china trade project Microfinance in the EU
Guadalupe de la mata Presentation eu china trade project Microfinance in the EU
 
articulomercadosemergentesyreequilibrioglobalguadalupe-120405175623-phpapp01-3
articulomercadosemergentesyreequilibrioglobalguadalupe-120405175623-phpapp01-3articulomercadosemergentesyreequilibrioglobalguadalupe-120405175623-phpapp01-3
articulomercadosemergentesyreequilibrioglobalguadalupe-120405175623-phpapp01-3
 
10 consejos para innovar y emprender por Steves Jobs
10 consejos para innovar y emprender por Steves Jobs10 consejos para innovar y emprender por Steves Jobs
10 consejos para innovar y emprender por Steves Jobs
 
Impact investing in west africa
Impact investing in west africaImpact investing in west africa
Impact investing in west africa
 
Instrumentos europeos de apoyo al emprendimiento. acceso a la financiación d...
Instrumentos europeos de apoyo al emprendimiento. acceso  a la financiación d...Instrumentos europeos de apoyo al emprendimiento. acceso  a la financiación d...
Instrumentos europeos de apoyo al emprendimiento. acceso a la financiación d...
 
20 circles
20 circles20 circles
20 circles
 
Zinc shower 3
Zinc shower 3Zinc shower 3
Zinc shower 3
 
The ecosystem of social innovation in madrid
The ecosystem of social innovation in madridThe ecosystem of social innovation in madrid
The ecosystem of social innovation in madrid
 
Cuestionario para desarrollar tu liderazgo innovador
Cuestionario para desarrollar tu liderazgo innovadorCuestionario para desarrollar tu liderazgo innovador
Cuestionario para desarrollar tu liderazgo innovador
 
Foro alianzas publico privadas negocios inclusivos
Foro alianzas publico privadas negocios inclusivosForo alianzas publico privadas negocios inclusivos
Foro alianzas publico privadas negocios inclusivos
 
resumen ejecutivo libro base de la pirámide
resumen ejecutivo libro base de la pirámideresumen ejecutivo libro base de la pirámide
resumen ejecutivo libro base de la pirámide
 
Articulo nuevos instrumentos financieros guadalupe
Articulo nuevos instrumentos financieros guadalupeArticulo nuevos instrumentos financieros guadalupe
Articulo nuevos instrumentos financieros guadalupe
 
Articulo mercados emergentes y reequilibrio global guadalupe
Articulo mercados emergentes y reequilibrio global guadalupeArticulo mercados emergentes y reequilibrio global guadalupe
Articulo mercados emergentes y reequilibrio global guadalupe
 
Leadershipfora betterworldinstructormanual
Leadershipfora betterworldinstructormanualLeadershipfora betterworldinstructormanual
Leadershipfora betterworldinstructormanual
 
Exploring leadershipii instructorsguide
Exploring leadershipii instructorsguideExploring leadershipii instructorsguide
Exploring leadershipii instructorsguide
 
Guia Alianzas Publico Privadas para el Desarrollo
Guia Alianzas Publico Privadas para el DesarrolloGuia Alianzas Publico Privadas para el Desarrollo
Guia Alianzas Publico Privadas para el Desarrollo
 
Retos y oportunidades de la crisis para las microfinanzas.
Retos y oportunidades de la crisis para las microfinanzas. Retos y oportunidades de la crisis para las microfinanzas.
Retos y oportunidades de la crisis para las microfinanzas.
 
Aprendiendo de-las-empresas-sociales-6-casos-en-europa
Aprendiendo de-las-empresas-sociales-6-casos-en-europaAprendiendo de-las-empresas-sociales-6-casos-en-europa
Aprendiendo de-las-empresas-sociales-6-casos-en-europa
 

Dernier

BÀI TẬP BỔ TRỢ TIẾNG ANH 11 THEO ĐƠN VỊ BÀI HỌC - CẢ NĂM - CÓ FILE NGHE (FRIE...
BÀI TẬP BỔ TRỢ TIẾNG ANH 11 THEO ĐƠN VỊ BÀI HỌC - CẢ NĂM - CÓ FILE NGHE (FRIE...BÀI TẬP BỔ TRỢ TIẾNG ANH 11 THEO ĐƠN VỊ BÀI HỌC - CẢ NĂM - CÓ FILE NGHE (FRIE...
BÀI TẬP BỔ TRỢ TIẾNG ANH 11 THEO ĐƠN VỊ BÀI HỌC - CẢ NĂM - CÓ FILE NGHE (FRIE...Nguyen Thanh Tu Collection
 
2024 March 11, Telehealth Billing- Current Telehealth CPT Codes & Telehealth ...
2024 March 11, Telehealth Billing- Current Telehealth CPT Codes & Telehealth ...2024 March 11, Telehealth Billing- Current Telehealth CPT Codes & Telehealth ...
2024 March 11, Telehealth Billing- Current Telehealth CPT Codes & Telehealth ...Marlene Maheu
 
AUDIENCE THEORY - PARTICIPATORY - JENKINS.pptx
AUDIENCE THEORY - PARTICIPATORY - JENKINS.pptxAUDIENCE THEORY - PARTICIPATORY - JENKINS.pptx
AUDIENCE THEORY - PARTICIPATORY - JENKINS.pptxiammrhaywood
 
BBA 205 BUSINESS ENVIRONMENT UNIT I.pptx
BBA 205 BUSINESS ENVIRONMENT UNIT I.pptxBBA 205 BUSINESS ENVIRONMENT UNIT I.pptx
BBA 205 BUSINESS ENVIRONMENT UNIT I.pptxProf. Kanchan Kumari
 
Certification Study Group - Professional ML Engineer Session 3 (Machine Learn...
Certification Study Group - Professional ML Engineer Session 3 (Machine Learn...Certification Study Group - Professional ML Engineer Session 3 (Machine Learn...
Certification Study Group - Professional ML Engineer Session 3 (Machine Learn...gdgsurrey
 
How to Customise Quotation's Appearance Using PDF Quote Builder in Odoo 17
How to Customise Quotation's Appearance Using PDF Quote Builder in Odoo 17How to Customise Quotation's Appearance Using PDF Quote Builder in Odoo 17
How to Customise Quotation's Appearance Using PDF Quote Builder in Odoo 17Celine George
 
VIT336 – Recommender System - Unit 3.pdf
VIT336 – Recommender System - Unit 3.pdfVIT336 – Recommender System - Unit 3.pdf
VIT336 – Recommender System - Unit 3.pdfArthyR3
 
Metabolism , Metabolic Fate& disorders of cholesterol.pptx
Metabolism , Metabolic Fate& disorders of cholesterol.pptxMetabolism , Metabolic Fate& disorders of cholesterol.pptx
Metabolism , Metabolic Fate& disorders of cholesterol.pptxDr. Santhosh Kumar. N
 
LEAD6001 - Introduction to Advanced Stud
LEAD6001 - Introduction to Advanced StudLEAD6001 - Introduction to Advanced Stud
LEAD6001 - Introduction to Advanced StudDr. Bruce A. Johnson
 
Auchitya Theory by Kshemendra Indian Poetics
Auchitya Theory by Kshemendra Indian PoeticsAuchitya Theory by Kshemendra Indian Poetics
Auchitya Theory by Kshemendra Indian PoeticsDhatriParmar
 
AI Uses and Misuses: Academic and Workplace Applications
AI Uses and Misuses: Academic and Workplace ApplicationsAI Uses and Misuses: Academic and Workplace Applications
AI Uses and Misuses: Academic and Workplace ApplicationsStella Lee
 
Awards Presentation 2024 - March 12 2024
Awards Presentation 2024 - March 12 2024Awards Presentation 2024 - March 12 2024
Awards Presentation 2024 - March 12 2024bsellato
 
THYROID HORMONE.pptx by Subham Panja,Asst. Professor, Department of B.Sc MLT,...
THYROID HORMONE.pptx by Subham Panja,Asst. Professor, Department of B.Sc MLT,...THYROID HORMONE.pptx by Subham Panja,Asst. Professor, Department of B.Sc MLT,...
THYROID HORMONE.pptx by Subham Panja,Asst. Professor, Department of B.Sc MLT,...Subham Panja
 
HỌC TỐT TIẾNG ANH 11 THEO CHƯƠNG TRÌNH GLOBAL SUCCESS ĐÁP ÁN CHI TIẾT - HK2 (...
HỌC TỐT TIẾNG ANH 11 THEO CHƯƠNG TRÌNH GLOBAL SUCCESS ĐÁP ÁN CHI TIẾT - HK2 (...HỌC TỐT TIẾNG ANH 11 THEO CHƯƠNG TRÌNH GLOBAL SUCCESS ĐÁP ÁN CHI TIẾT - HK2 (...
HỌC TỐT TIẾNG ANH 11 THEO CHƯƠNG TRÌNH GLOBAL SUCCESS ĐÁP ÁN CHI TIẾT - HK2 (...Nguyen Thanh Tu Collection
 
Metabolism of lipoproteins & its disorders(Chylomicron & VLDL & LDL).pptx
Metabolism of  lipoproteins & its disorders(Chylomicron & VLDL & LDL).pptxMetabolism of  lipoproteins & its disorders(Chylomicron & VLDL & LDL).pptx
Metabolism of lipoproteins & its disorders(Chylomicron & VLDL & LDL).pptxDr. Santhosh Kumar. N
 
UNIT I Design Thinking and Explore.pptx
UNIT I  Design Thinking and Explore.pptxUNIT I  Design Thinking and Explore.pptx
UNIT I Design Thinking and Explore.pptxGOWSIKRAJA PALANISAMY
 
Arti Languages Pre Seed Send Ahead Pitchdeck 2024.pdf
Arti Languages Pre Seed Send Ahead Pitchdeck 2024.pdfArti Languages Pre Seed Send Ahead Pitchdeck 2024.pdf
Arti Languages Pre Seed Send Ahead Pitchdeck 2024.pdfwill854175
 
Pharmacology chapter No 7 full notes.pdf
Pharmacology chapter No 7 full notes.pdfPharmacology chapter No 7 full notes.pdf
Pharmacology chapter No 7 full notes.pdfSumit Tiwari
 
25 CHUYÊN ĐỀ ÔN THI TỐT NGHIỆP THPT 2023 – BÀI TẬP PHÁT TRIỂN TỪ ĐỀ MINH HỌA...
25 CHUYÊN ĐỀ ÔN THI TỐT NGHIỆP THPT 2023 – BÀI TẬP PHÁT TRIỂN TỪ ĐỀ MINH HỌA...25 CHUYÊN ĐỀ ÔN THI TỐT NGHIỆP THPT 2023 – BÀI TẬP PHÁT TRIỂN TỪ ĐỀ MINH HỌA...
25 CHUYÊN ĐỀ ÔN THI TỐT NGHIỆP THPT 2023 – BÀI TẬP PHÁT TRIỂN TỪ ĐỀ MINH HỌA...Nguyen Thanh Tu Collection
 
LEAD5623 The Economics of Community Coll
LEAD5623 The Economics of Community CollLEAD5623 The Economics of Community Coll
LEAD5623 The Economics of Community CollDr. Bruce A. Johnson
 

Dernier (20)

BÀI TẬP BỔ TRỢ TIẾNG ANH 11 THEO ĐƠN VỊ BÀI HỌC - CẢ NĂM - CÓ FILE NGHE (FRIE...
BÀI TẬP BỔ TRỢ TIẾNG ANH 11 THEO ĐƠN VỊ BÀI HỌC - CẢ NĂM - CÓ FILE NGHE (FRIE...BÀI TẬP BỔ TRỢ TIẾNG ANH 11 THEO ĐƠN VỊ BÀI HỌC - CẢ NĂM - CÓ FILE NGHE (FRIE...
BÀI TẬP BỔ TRỢ TIẾNG ANH 11 THEO ĐƠN VỊ BÀI HỌC - CẢ NĂM - CÓ FILE NGHE (FRIE...
 
2024 March 11, Telehealth Billing- Current Telehealth CPT Codes & Telehealth ...
2024 March 11, Telehealth Billing- Current Telehealth CPT Codes & Telehealth ...2024 March 11, Telehealth Billing- Current Telehealth CPT Codes & Telehealth ...
2024 March 11, Telehealth Billing- Current Telehealth CPT Codes & Telehealth ...
 
AUDIENCE THEORY - PARTICIPATORY - JENKINS.pptx
AUDIENCE THEORY - PARTICIPATORY - JENKINS.pptxAUDIENCE THEORY - PARTICIPATORY - JENKINS.pptx
AUDIENCE THEORY - PARTICIPATORY - JENKINS.pptx
 
BBA 205 BUSINESS ENVIRONMENT UNIT I.pptx
BBA 205 BUSINESS ENVIRONMENT UNIT I.pptxBBA 205 BUSINESS ENVIRONMENT UNIT I.pptx
BBA 205 BUSINESS ENVIRONMENT UNIT I.pptx
 
Certification Study Group - Professional ML Engineer Session 3 (Machine Learn...
Certification Study Group - Professional ML Engineer Session 3 (Machine Learn...Certification Study Group - Professional ML Engineer Session 3 (Machine Learn...
Certification Study Group - Professional ML Engineer Session 3 (Machine Learn...
 
How to Customise Quotation's Appearance Using PDF Quote Builder in Odoo 17
How to Customise Quotation's Appearance Using PDF Quote Builder in Odoo 17How to Customise Quotation's Appearance Using PDF Quote Builder in Odoo 17
How to Customise Quotation's Appearance Using PDF Quote Builder in Odoo 17
 
VIT336 – Recommender System - Unit 3.pdf
VIT336 – Recommender System - Unit 3.pdfVIT336 – Recommender System - Unit 3.pdf
VIT336 – Recommender System - Unit 3.pdf
 
Metabolism , Metabolic Fate& disorders of cholesterol.pptx
Metabolism , Metabolic Fate& disorders of cholesterol.pptxMetabolism , Metabolic Fate& disorders of cholesterol.pptx
Metabolism , Metabolic Fate& disorders of cholesterol.pptx
 
LEAD6001 - Introduction to Advanced Stud
LEAD6001 - Introduction to Advanced StudLEAD6001 - Introduction to Advanced Stud
LEAD6001 - Introduction to Advanced Stud
 
Auchitya Theory by Kshemendra Indian Poetics
Auchitya Theory by Kshemendra Indian PoeticsAuchitya Theory by Kshemendra Indian Poetics
Auchitya Theory by Kshemendra Indian Poetics
 
AI Uses and Misuses: Academic and Workplace Applications
AI Uses and Misuses: Academic and Workplace ApplicationsAI Uses and Misuses: Academic and Workplace Applications
AI Uses and Misuses: Academic and Workplace Applications
 
Awards Presentation 2024 - March 12 2024
Awards Presentation 2024 - March 12 2024Awards Presentation 2024 - March 12 2024
Awards Presentation 2024 - March 12 2024
 
THYROID HORMONE.pptx by Subham Panja,Asst. Professor, Department of B.Sc MLT,...
THYROID HORMONE.pptx by Subham Panja,Asst. Professor, Department of B.Sc MLT,...THYROID HORMONE.pptx by Subham Panja,Asst. Professor, Department of B.Sc MLT,...
THYROID HORMONE.pptx by Subham Panja,Asst. Professor, Department of B.Sc MLT,...
 
HỌC TỐT TIẾNG ANH 11 THEO CHƯƠNG TRÌNH GLOBAL SUCCESS ĐÁP ÁN CHI TIẾT - HK2 (...
HỌC TỐT TIẾNG ANH 11 THEO CHƯƠNG TRÌNH GLOBAL SUCCESS ĐÁP ÁN CHI TIẾT - HK2 (...HỌC TỐT TIẾNG ANH 11 THEO CHƯƠNG TRÌNH GLOBAL SUCCESS ĐÁP ÁN CHI TIẾT - HK2 (...
HỌC TỐT TIẾNG ANH 11 THEO CHƯƠNG TRÌNH GLOBAL SUCCESS ĐÁP ÁN CHI TIẾT - HK2 (...
 
Metabolism of lipoproteins & its disorders(Chylomicron & VLDL & LDL).pptx
Metabolism of  lipoproteins & its disorders(Chylomicron & VLDL & LDL).pptxMetabolism of  lipoproteins & its disorders(Chylomicron & VLDL & LDL).pptx
Metabolism of lipoproteins & its disorders(Chylomicron & VLDL & LDL).pptx
 
UNIT I Design Thinking and Explore.pptx
UNIT I  Design Thinking and Explore.pptxUNIT I  Design Thinking and Explore.pptx
UNIT I Design Thinking and Explore.pptx
 
Arti Languages Pre Seed Send Ahead Pitchdeck 2024.pdf
Arti Languages Pre Seed Send Ahead Pitchdeck 2024.pdfArti Languages Pre Seed Send Ahead Pitchdeck 2024.pdf
Arti Languages Pre Seed Send Ahead Pitchdeck 2024.pdf
 
Pharmacology chapter No 7 full notes.pdf
Pharmacology chapter No 7 full notes.pdfPharmacology chapter No 7 full notes.pdf
Pharmacology chapter No 7 full notes.pdf
 
25 CHUYÊN ĐỀ ÔN THI TỐT NGHIỆP THPT 2023 – BÀI TẬP PHÁT TRIỂN TỪ ĐỀ MINH HỌA...
25 CHUYÊN ĐỀ ÔN THI TỐT NGHIỆP THPT 2023 – BÀI TẬP PHÁT TRIỂN TỪ ĐỀ MINH HỌA...25 CHUYÊN ĐỀ ÔN THI TỐT NGHIỆP THPT 2023 – BÀI TẬP PHÁT TRIỂN TỪ ĐỀ MINH HỌA...
25 CHUYÊN ĐỀ ÔN THI TỐT NGHIỆP THPT 2023 – BÀI TẬP PHÁT TRIỂN TỪ ĐỀ MINH HỌA...
 
LEAD5623 The Economics of Community Coll
LEAD5623 The Economics of Community CollLEAD5623 The Economics of Community Coll
LEAD5623 The Economics of Community Coll
 

MFI financing and currency risk: current mitigants and innovative instruments

  • 1. MFI financing and currency risk: current mitigants and innovative instruments European Microfinance Week 2007: “European responses to global microfinance challenges” ACP IF IV Division Guadalupe de la Mata– Loan Officer
  • 2. Agenda 1. Risk-Related Issues in Microfinance 2. Traditional Options to Reduce Foreign Exchange Risk 3. Other Mechanisms 3.1 Improving MFIs Access to Local Financial Markets 3.2 Improving MFIs access to Local Capital Markets 3.3 Tapping International Capital Markets
  • 3. Risk-Related Issues in Microfinance increased role of microfinance increased foreign funds and higher commercial approach for microfinance support raise Issue of foreign exchange risk, its potential impact in MFI’s development and survival, and the mechanisms to avoid or limit it  foreign exchange risk typically arises when an MFI borrows funds in a foreign currency and onlends to local micro-enterprises in domestic currency
  • 4. Agenda 1. Risk-Related Issues in Microfinance 2. Traditional Options to Reduce Foreign Exchange Risk 3. Other Mechanisms 3.1 Improving MFIs Access to Local Financial Markets 3.2 Improving MFIs access to Local Capital Markets 3.3 Tapping International Capital Markets
  • 5. Options to Reduce Foreign Exchange Risk I. Options to reduce the foreign exchange risk traditionally used by stakeholders Mitigating mechanisms used by donors/ lenders ready to lend in local currency. Mitigating mechanism used by MFI accepting finance in foreign currency II. Exploring other mechanisms deepening local financial and capital markets attracting finance from the international capital markets
  • 6. Traditional Options to Reduce Foreign Exchange Risk (I) Mitigating mechanisms used by donors/ lenders ready to lend in local currency 1. Lending in local currency- apply a premium to cover the currency risk 2. Lending in local currency and issuing a bond in local currency to cover the exchange risk 3. Lending in local currency- Borrowing from a local bank and on-lending to the MFI 4. Hedging the risk through derivatives
  • 7. Traditional Options to Reduce Foreign Exchange Risk (I) B) Mitigating mechanism used by MFI accepting finance in foreign currency 1. Lending in hard currency- MFI accepts the foreign exchange risk and takes the loan in hard currency 2. Lending in hard currency- MFI Matches liabilities denominated in foreign-currency to assets denominated in that same currency 3. Lending in hard currency – MFI creates foreign currency reserves 4. Lending in hard currency -Back-to-back loans
  • 8. Exploring Other Mechanisms (I) 1. Improving MFIs access to local financial markets  Using partial loan guarantees to facilitate local bank lending  Using portfolio guarantees  Hedging the risk through derivatives 2. Improving MFIs access to local capital markets  Guarantees to bond issuances  Domestic securitizations of microcredits 3. Linking international capital markets and microfinance
  • 9. Agenda 1. Risk-Related Issues in Microfinance 2. Traditional Options to Reduce Foreign Exchange Risk 3. Other Mechanisms 3.1 Improving MFIs Access to Local Financial Markets 3.2 Improving MFIs access to Local Capital Markets 3.3 Tapping International Capital Markets
  • 10. Exploring Other Mechanisms (II) Linking international capital markets and microfinance by using diversification Promoting private equity funds investing in the capital of local MFIs Promoting international lending in local currency through international debt funds diversifying across local currencies International securitisations (cross border) by developing Hedging Instruments Creating a international fund proposing hedge instruments to microfinance lenders and donors Attracting remittances to MFIs
  • 11. Agenda 1. Risk-Related Issues in Microfinance 2. Traditional Options to Reduce Foreign Exchange Risk 3. Other Mechanisms 3.1 Improving MFIs Access to Local Financial Markets 3.2 Improving MFIs access to Local Capital Markets 3.3 Tapping International Capital Markets
  • 12. Improving MFIs Access to Local Financial Markets (I) Using partial loan guarantees to facilitate local bank lending M E M Microfinance E Institutio n M Longer External E Microcredits Guarantors Reduced Term/ Local (Donor) M Rate Bank Guarantee E M E M Portfolio of E M Microcredits E
  • 13. Improving MFIs Access to Local Financial Markets (II) Hedging the risk through derivatives  In order to develop the local financial market, some international donors are structuring hedging instruments to mitigate the foreign currency risks.  For example, the International Finance Corporation (IFC) offers currency swaps to allow clients to transform existing or new foreign currency liabilities into local currency.
  • 14. Agenda 1. Risk-Related Issues in Microfinance 2. Traditional Options to Reduce Foreign Exchange Risk 3. Other Mechanisms 3.1 Improving MFIs Access to Local Financial Markets 3.2 Improving MFIs access to Local Capital Markets 3.3 Tapping International Capital Markets
  • 15. Improving MFIs Access to Local Capital Markets (I) Guarantees to bond issuance ME SME ME SME SME ME Microfinane Instituion/ Institution/ ME SME SME Bank ME SME Bond Microcredits Issuance Local SME ME investors Pension SME ME Funds Portfolio Micro SME ME of credit Microcred portfolio its or SME ME SME loans ME SME Debt service guarantee EIB Investment Guarantor Facility
  • 16. Improving MFIs Access to Local Capital Markets (II) Local microfinance securitisation MFI MFI Senior Senior ME ME SPV ME SPV ME Purchase Issuance of of ABS microcredi ME t portfolio ME Microcredit Mezzanine Mezzanine portfolio ME ME Junior Junior Investment or Investor or Debt service Investor or guarantor guarantor guarantee (Donor) (Donor)
  • 17. Agenda 1. Risk-Related Issues in Microfinance 2. Traditional Options to Reduce Foreign Exchange Risk 3. Other Mechanisms 3.1 Improving MFIs Access to Local Financial Markets 3.2 Improving MFIs access to Local Capital Markets 3.3 Tapping International Capital Markets
  • 18. Tapping International Capital Markets (I)  increasing number of institutions willing to fulfil certain Corporate Social Responsibility (CSR) requirements  increasing number of socially responsible individuals are interested in investments and vehicles that combine financial returns and positive social impact Microfinance as interesting opportunity for this type of investors:  it is increasingly moving from a pure development tool to a potential new asset class  provides both a financial return and a positive social impact
  • 19. Tapping International Capital Markets (II) Private Equity Funds  allow linking international investors with MFIs are equity funds.  invest in MFI, improving its capital base and providing the soundness required to further mobilise debt funding  MFIs are not exposed to exchange risk as equity investments are in local currency  risk is absorbed by the fund and reduced by the country and currency diversification as investor’s participations in the fund are usually in hard currency
  • 20. Tapping International Capital Markets (III) Microfinance debt funds  allow diversifying the risk by providing loans to MFIs in different countries in selected local currencies  risk might be reduced by the portfolio approach as movements in one currency might be offset by movements in another  exposures to each individual currency should be limited to a certain percentage of the total portfolio  some of these funds can also hedge exposures through swaps when available  bonds in the local currency of the loan to the MFI to fund the local currency financing can be issued – BVVA – Dexia
  • 21. Tapping International Capital Markets (IV) Cross border microfinance securitisation ME ME MFI 11 ME MFI ME Micro-finance ME loans ME Special Special Senior Purpos Senior Purpos ME Vehicle ME Funding Vehicle granted to ME MFI 22 the MFIs ME MFI Micro-finance Mezzanine ME loans Mezzanine ME ME ME Junior Junior MFI (...) ME MFI (...) ME Micro-finance Debt service loans guarantee or ME Investment ME Investor or Investor or Guarantor Guarantor (donor) (donor)
  • 22. Tapping International Capital Markets (V) Creating a international fund proposing hedge instruments  Donors are exploring other mechanisms to solve the problem in a sustainable manner  two sample projects: TCX and Match TCX  partnership structured by FMO to pool local currency exposures with other donors and investment partners  Main benefits – more efficient management of forex risk – a faster and deeper diversification; – improvement of terms available for this activity – a professional and specialised management team
  • 23. Tapping International Capital Markets (VI) IFC Matching Assets Through Currency Hedging (Match)  IFC is working on creating a global fund to provide local currency hedges for loans disbursed by IFC  will begin as a pilot project capitalised with USD 30 million, which is expected to facilitate between USD 100 to USD 200 million of local currency loans.  Initial focus will be on microfinance, health and education, and SME projects
  • 24. Tapping International Capital Markets (VII) Funds targeting Second tier and rural MFIs Rural Impulse Fund (RIF)  Majority of existing microfinance investment vehicles targets urban MFIs  RIF makes debt and/or equity investments in MFIs which provide financial services to the rural poor  RIF focusses on rural MFIs with at least 20% of clients in rural areas  contributes to the alleviation of poverty in rural areas underserved by the microfinance industry (especially in sub-Saharan Africa)  expected to promote the expansion of urban MFIs into rural areas  complements existing microfinance investment vehicles by
  • 25. Your Experiences and Ideas Experiences from the working group -Challenges -Opportunities Other instruments not mentioned Other ideas Thank you for your kind attention.

Notes de l'éditeur

  1. Between Management Committee and Board of Directors the project information is passed by the Member States and Commission for tacit approval/opinion.
  2. Between Management Committee and Board of Directors the project information is passed by the Member States and Commission for tacit approval/opinion.