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Microfinance

Networks &

Promoting Innovation

Jenny Morgan

The SEEP Network

November 18, 2014

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The SEEP Network - A global network of international practitioner organizations dedicated to improving economic opportunities for vulnerable populations.

Using strategies that create new and better opportunities for all people, especially women and the rural poor, to participate in markets and improve the quality of their lives.

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The SEEP Network

132 Members | 173 Countries | 90 Million

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The SEEP Network’s Impact

Industry: Development strategies are influenced by

SEEP’s collective voice and experience and made more effective in improving the lives of

vulnerable populations

Community: Learning is accelerated across a large number of organizations. Successful innovations are replicated at scale.

Members: Access to learning opportunities, technical resources, and relationships increase the effectiveness of member organizations www.seepnetwork.org

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Citi Brazil – Network Strengthening Program

3 core pillars of the Citi Brazil program:

• Institutional strengthening of associations’ capacities and strategic planning;

• Technical support to provide improved services to members; and

• Facilitation of knowledge and international best practices among associations.

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Role of Networks in Promoting Innovation

Knowledge Creation and

Dissemination

Enabling Legal and Regulatory Environments

Evaluation

Reducing costs by supporting

Innovation Cycle

Product Design

Pilot Phase Experimentation

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RFR Ecuador – Mobile Banking

Since early 2012, Red Financiera

Rural (RFR) has been leading a

mobile banking initiative that has

provided 382, 220 rural

Ecuadorians with greater access to

financial services and products as

of July, 2014.

RFR’s initiative employs

technology-enabled solutions,

including mobile banking kiosks

and transaction networks, to bring

financial services to remote areas

and directly into underserved

communities.

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ASOMIF Peru – E-Money

Peru is the first country in Latin

America to implement an e-

money law, enabling the

development and expansion of

electronically-based, mobile

financial services for low-income

and rural populations.

ASOMIF Perú (the association of

regulated, non-bank financial

institutions in Peru) is leading

the implementation process in

the microfinance sector.

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AMFA Azerbaijan – Islamic Microfinance

In an effort to meet increasing

client demand for Islamic

microfinance products in

Azerbaijan, a broad group of

diverse stakeholders led by

the Azerbaijan Microfinance

Association (AMFA) is working

to enact legislation and build

the capacity of financial

service providers to deliver

these products.

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Brazil Program: Promising Practices

• Policy Advocacy – Presented proposal to improve business environment for SCMs to Central Bank & other stakeholders

• Capacity Building & Services to Members • SEMTEC I, 1-day seminar, Brasilia, 30 SCMs

• SEMTEC II 1-day seminar, Florianopolis, 70+ SMCs

• Governance - developed board governance manuals for members

• Launch of a guarantee fund for members

• Responsible Finance & Transparency – Diagnostic study of the labor market

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Brazil Program: Promising Practices

• Policy Advocacy – Developed a proposal for self-regulation for the OSCIP sector

• Capacity Building & Services to Members • Technology Forum – 2-day forum, Salvador, 90 participants

• Governance training for members

• BNDES partnership (Development Bank of Brazil) – computer systems for OSCIP members to manage self-regulation process

• Responsible Finance & Consumer Protection - Code of Ethics – launched Board committee

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Knowledge Sharing: Regional and Global

2014 LATIN AMERICAN NETWORK SUMMIT | Bogota, 12 August 1. Communications Strategies 2. Technology solutions & innovative products 3. Networks - evolving regulatory environments

2014 GLOBAL NETWORK SUMMIT | Washington DC, 25 September 1. Regional Trends in Financial Inclusion 2. Models for transparent market building 3. Opportunities for increased scale and impact