Paper
What Matters in Rural and Microfinance
What can aid the development of rural and microfinance?
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61 pages
This paper examines the question of what matters in rural and microfinance. It identifies client experience as one of the items that matter. The paper also discusses items that matter in the following areas:
- The origin, history and culture of rural and microfinance;
- The financial systems, institutions and operations;
- Donor policy and coordination.
The paper concludes with the following recommendations:
- Sustainable development requires continual growth of the rural economy, access to all sections of the rural population and a conducive policy environment;
- Sustainable rural microfinance requires local initiatives and careful donor support for the development of institutions;
- Governments, along with donor assistance, should provide a sound legal, regulatory and policy framework;
- Donors can contribute to the development of rural financial systems in many ways;
- Self help groups in marginal areas have to be supported.
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