| |
| A nationwide fora on microfinance best practices was
held last September 11, on the occasion of PCFC’s
eight founding anniversary. The event brought together
for the first time all program partners of PCFC from the
three major island groups of Luzon, Visayas and Mindanao,
in one forum entitled “Microfinance Evolution: Philippine
Experience --Lessons Learned and Successful Practices”.
The event was presided by leading researchers in the academia
i.e. Ms. Marcia Feria Miranda of Punla sa Tao Foundation
and Prof. Ronald T. Chua of the Asian Institute of Management
Center for Development Management. Around 300 guests attended
the affair which included not only all PCFC program partners
but stakeholders including Codespa and AECI who sponsored
the forum. The event was capped by the giving of citation
awards to around 125 microfinance institutions. A dinner
was held in celebration of PCFC’s 8th founding anniversary
. |
| |
| Status of Philippine Microfinance |
| |
| The People’s Credit & Finance Corporation (PCFC)
is the main reference institution for microfinance development
in the Philippines. |
| |
| As one of the leading finance companies in the country,
its wholesale portfolio grew by 60% per year . PCFC has
an extensive national coverage and has worked with a range
of MFI types. |
| |
| Microfinance has the goals of providing impact to poor
clients, increasing outreach to poor clients, and attaining
sustainability. Prof. Ron Chua enumerated in the forum
the various effective practices to achieve these goals. |
| |
 |
| Participants in Microfinance Best Practices
Forum |
| |
| Findings on the status of Philippine Microfinance presented
by the speakers, show that at the end of 2002, 25% of
4.3 million poor households have been reached through
loans to mostly married women. MF clients clustered around
the poverty threshold, including the vulnerable non-poor.
Estimated leakage to non-poor clients was 20%. Private
sector players fueled the growth of the sector. There
are 110 Banks in MF, where a vast majority are Rural Banks
(RBs). RBs accounted for 50% of MF institutions, and have
entered the sector on a commercial basis. The reach of
this segment is around 400,000 borrowers. |
| |
 |
| Microfinance Best Practices Forum |
| |
| A few large players account for the bulk of clients
and loan portfolio of PCFC. 10-15 NGOs accounted for 400,000
of the outreach of PCFC. PCFC active clients are 980,815
with a wholesale portfolio of P 2.32 Billion as of August
30, 2003. |
