Published Apr 16
Funding Sources for Microfinance BanksFunding sources for microfinance banks are regulated and the need to adhere to regulatory provisions cannot be over emphasized. WHAT IS MICROFINANCEMicrofinance refers to the financial services provided to low-income individuals or groups who are typically excluded from traditional banking. Most microfinance institutions focus on offering credit in the form of small working capital loans, sometimes called microloans or microcredit. Sources from funding sources for ease of understanding. #A Shareholders’ funds (Paid-up share capital and reserves): This is the owners’ equity...
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