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This article explores the multifaceted impact of microfinance, examining key questions about its effectiveness in reaching the poor and excluded. With a focus on the social impact of organizations like Spandana, we discuss the complexities of measuring impact, the importance of retention, and the significance of providing quality services. New initiatives such as the Social Performance Task Force and tools for social performance management and reporting are highlighted, offering insights for organizations to better address social goals while achieving sustainable change.
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ENHANCING IMPACT IN MICROFINANCE Frances Sinha EDA Rural Systems
Impact is key • Impressive numbers • Double bottom line attraction • Who benefits?
Study of Spandana: careful research design Impact – complex to do • Issue of microfinance competition • Issue of time – how long for sustainable change?
Who do we aim to reach? Are we reaching the “poor and excluded” Are we providing appropriate, quality services? Are we able to retain clients? Are we contributing to positive change? What information do we have? How can organisations use information to improve? Impact to Imp-Act Key questions
NEW INITIATIVES • Social performancetask force (SPTF) Social rating Poverty assessment Social performance management Social audit Social reporting
Resources, tools and examples – now available Putting the ‘social’ into management and reporting Thank you