Course objective:

This course will provide participants with an understanding of the different tools used by MFIs, what they mean, and how they can be used to keep financial management on track for efficiency of an institution’s microfinance program.

Course audience:

Management and officers of micro-finance institutions, finance managers and credit officers.

Course Contents:

Key factors that affect the efficiency of a MFI:

Key Financial Factors

• Determinants of Income
• Portfolio size/build-up

Financial Analysis

• Ratio Analysis
• Measuring Efficiency, Productivity, and Profitability
• Yield on Portfolio
• Break-even Portfolio Size
• Operating Cost Ratio
• Measuring Delinquency
• Portfolio at Risk
• Arrears Rate

Measuring Self-Sufficiency and Sustainability

• Operational Self-Sufficiency:
• Operational Sustainability
• Financial Self-Sufficiency