Oikocredit Commits to Better Measure Progress out of Poverty

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Register for the 17th Microcredit Summit today!

Join us in Mexico for the 17th Microcredit Summit this September 3-5 where savings will take an important place in the agenda.

The Microcredit Summit Campaign welcomes Oikocredit as the newest Campaign Commitment member, joining a global coalition to help 100 million families lift themselves out of extreme poverty. Read the full Press Release


Oikocredit has been increasingly focused on measuring social impact to ensure that the organizations it funds are properly targeting their outreach and have launched their Campaign Commitment to actions fulfilling this aim.

Image courtesy of Oikocredit.

Image courtesy of Oikocredit.

Oikocredit managing director, David Woods, said committing to the Microcredit Summit was in line with Oikocredit’s social mission. “Measuring and monitoring change in microfinance partners and their clients is an important part of Oikocredit’s social and financial activities,” said Mr. Woods.

Key excerpts of Oikocredit’s Campaign Commitment:

  • Supporting at least four MFI partners in developing capacity in using Progress out of Poverty Index (PPI) data over time.
  • Providing MFI staff with training in data analysis and management.
  • Providing MFI management with training on how analysis and usage of PPI data can help to improve products and services, be accountable to stakeholders and profile their organization.
  • Encouraging its microfinance partners to use the PPI tool for targeting purposes and increase the number of MFIs reporting PPI data by the end of 2014 to 100.
  • Where possible, provide or facilitate access to needed support in the use of the PPI tool and the installation of needed systems to capture and process data within the MFIs.

 

Join Oikocredit in stating YOUR Campaign Commitment

Learning from a Heretic

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By Larry Reed, Director, Microcredit Summit Campaign What can we say about a book that exposes a huge vulnerability in the microfinance industry, but does so by exposing only those facts which make its case and excluding those which give … Continue reading

Auditing MFIs

Is it possible to get genuine performance measures concerning the social performance of microfinance institutions (MFIs)? In a recent article, I was pleased to notice that CERISE provided a tool to “capture” this information.

Microfinance Knowledge Network (CERISE), based in Paris, gathers five leaders in French microfinance to provide technical assistance to MFIs around the world. One of the expertises of CERISE is to perform social auditing of MFIs with their own tool that has been created.
The Reuters article mentions: “The latest innovation in social performance measurement is to look not only at the performance of the microfinance institutions, but also to undertake a social audit of private financiers. […] Cerise is at the forefront of social performance, and serves as an exchange platform on practices in microfinance. Cerise’s Social Performance Indicator tool, a social audit instrument for microfinance institutions, is recognized by CGAP, SEEP network and donors worldwide. The tool is currently being developed to analyze financier’s internal systems and processes.”
As mentioned in the article, Oikocredit, one of the world’s largest sources of private funding to the microfinance sector, has recently released the results of it social audit results “to know that investments of some EUR 370 million lead to positive changes in the lives of the working poor.” You can have a glimpse of the audit results and read the article here. You can also visit their Website for a detailed analysis.