Asia Network Summit 2009 Singapore – Online Resources Available Now!

Posted by admin on 18 November, 2009

Read through to the end to watch Asia’s microfinance networks discuss the effect of the Global Financial Crisis and more!

Regional information sharing and collaboration between microfinance practitioner associations in Asia was further strengthened at the Asia Microfinance Summit 2009 held in Singapore 27 – 28 August. Hosted by the BWTP Network and funded by the Citi Foundation, SEEP and ADA, the ANS 2009 was attended by representatives of 13 national level and 2 regional microfinance practitioner association from countries across Asia.

These networks were:

Afghanistan Microfinance Associations;
The Banking With the Poor Network;
Cambodia Microfinance Association;
Centre for Microfinance (Nepal);
China Association of Microfinance;
The Credit and Development Forum (Bangladesh);
Indonesia Microfinance Association;
Lao Microfinance Working Group;
Lanka Microfinance Practitioners Association;
Microfinance Council of the Philippines;
Pakistan Microfinance Network;
Sa-Dhan (India);
South Asian Microfinance Network;
Vietnam Microfinance Working Group.

These national and regional microfinance networks, as representatives of microfinance providers in developing countries, play an increasingly important role in facilitating growth and development in microfinance. These networks are professional associations that represent a wide spectrum of microfinance providers and act as catalysts for change in the sector. The Asia Network Summit 2009 is a unique opportunity for networks based in Asia to talk about shared challenges and opportunities in the spirit of a shared goal of increasing access to financial services in the region.

The SEEP Network ‘Building Strong Networks’ Workshop

The Asia Network Summit began with a pre-event, ‘Building Strong Networks’, which was attended by nine microfinance networks and hosted by the SEEP Network. Predominantly attended by ‘nascent’ networks in the early stages of their growth, the workshop focused on some of the central challenges facing the development of effective practitioner networks including governance, operations, human resource management, financial viability, the provision of member services and external relations. The ‘Building Strong Networks’ workshop reaffirmed the shared challenges of networks, but also highlighted the challenges unique to different networks in what is a diverse microfinance landscape in Asia.

Asia Network Summit 2009 – Serving Members, Advocating and Communicating, Social Peformance Management.

Based on the results of a network survey of lead issues pertinent to the sector, attendees at the ANS 2009 participated in workshops on member service delivery, advocacy and communication and social performance management. Each of these consisted of presentations from network leaders on each issue, and workshops focused on providing tools for networks in improving their overall effectiveness within their respective industries.Copies of the presentations made by network representatives can be found by following the links at the bottom of this item.

The Asia Network Summit Evening Forum – A Global Financial Crisis?

In addition to workshops on a range of issues central to the role of microfinance networks, an evening public forum was held on the 27th August where network representatives answered questions on a range of topics, including challenges and opportunities facing the microfinance industry. Discussed were issues such as diverse as the role of networks in regulatory change, consumer protection, microfinance and the elderly, client over-indebtedness, the role of peer to peer lending and network sustainability.

However it was the question regarding the effects of the Global Financial Crisis (GFC) on the networks respective industries that was of greatest interest to those in attendance.

The general consensus of all representatives was that the effects of the GFC have not yet been felt greatly by member microfinance institutions in terms of access to funding, however while client repayment rates are yet to drop drastically; the effect of clients has been noticeable.

Although there has been some minor fluctuations in liquidity access, across the region, according to the network representatives this has yet to have any major impact on their members. The fact that many industries continue to source funding locally has meant that exposure to international financial markets has somewhat insulated industries including China, Pakistan, India and Nepal. An interesting counterpoint to that of the Cambodia Microfinance Association, whose members have recognised large scale affects , due greatly to the fact that the microfinance sector in Cambodia sources 80% of its funding from foreign sources.Some of the other reason discussed for this reduced impact was the foresight and timely government intervention (for example in India and Pakistan) and a surprising robustness of remittance flows (Philippines and Bangladesh).

However, a note of caution must be raised in light of the recognition by all networks that the downturn internationally has had an effect on clients in all countries, be it increased food and oil prices, currency fluctuations and reduced demand for exports from all countries.

While all networks were confident that in the short-term MFIs will be able to weather the storm, there was a recognition that the increasing pressures on clients may soon translate into difficulties ahead.

Click here to view video of the Asia Network Summit 209 Evening Forum and watch Asia’s microfinance networks discuss the effects of the Global Financial Crisis and more.

Links to presentations from the ANS 2009 can be found here:

Member Services
Ms Mehr Shah, Pakistan Microfinance Network, ‘Service Menu and Industry Life Cycle Curve’.
Mr. Alan Sicat, MCPI, ‘A network Experience on Starting a New Set of Service too Members’.Advocacy and Communication
Achla Savyasaachi, Sa-Dhan, ‘Policy making landscape of microfinance in India’.