Annual Progress Report
2066/2067
Centre for Micro-Finance (CMF)Nepal
Bhatbhateni Kathmandu
1.
Introduction
Center for Microfinance (CMF) Nepal was established in July 2000 to strengthen the capacity of
microfinance institutions and enable them to provide savings, credit and other financial services to
the poorest-of-the-poor families, especially women. CMF runs a wide range of programs designed
to meet the emerging needs of microfinance institutions. To promote the microfinance sector, CMF
engages in training, technical assistance, consultancy services, research, knowledge management,
publication and documentation, dissemination of best practices and networking in partnership with
national and international organizations. CMF's Articles of Association 13 (f) states that the surplus
earned by the organization shall not be distributed as dividends to the shareholders. Rather, such
profits shall be deployed for the development of microfinance sector and poverty alleviation
programs and CMF shall remain a not-for-profit organization.
Originally, CMF was a project implemented by Canadian Centre for International Studies and
Cooperation (CECI) funded by USAID and Ford Foundation. CMF is now an autonomous, privately
owned Nepali organization that works to strengthen microfinance sector in Nepal and in the region.
This annual report details explains the progress made towards achieving the set objectives and goal
of CMF in line with the long term mission and vision.
2.
Vision
“Sustainable access to microfinance services for the poor”
3.
Mission
Promote and strengthen MF services through capacity building, training, knowledge
management, research, policy lobbying, consultancy and networking with mutual trust and
cooperation among service receivers, practitioners and stakeholders
4.
Goals
4.1. Strengthen MFIs that serve the poor, particularly women and excluded groups
4.2. Enhance service delivery capacity of development partners that promote the
microfinance sector
5.
Objectives
5.1. Build institutional capacity of MFIs to provide their clients with prompt access to
microfinance services;
knowledge management services to microfinance practitioners and
institutions;
Undertake research and studies on microfinance and related development issues;
Promote policy advocacy in creating a conducive environment for microfinance;
Raise awareness about sustainable microfinance;
Provide support services to development partners in delivering microfinance services;
Establish national / international network among MF promoting partners.
5.2. Provide
5.3.
5.4.
5.5.
5.6.
5.7.
6.
Strategic Areas of CMF
6.1.
6.2.
6.3.
6.4.
6.5.
6.6.
6.7.
7.
Capacity Building and Training (CBaT)
Knowledge Management for Microfinance Services (KMMS)
Research and Studies (RaS)
Policy Advocacy on Microfinance Sector (PAMS)
Catalyst and Consultancy Services (CCS)
Network for MFI (NMFIs)
Organization Development (OD)
Progress on Development Programs
CMF has been implementing a rich mix of programs and services designed to meet the emerging
needs of individual micro-finance institutions as well as requirements of the industry as a whole.
They are designed to balance the full range of Microfinance models that are in operation in Nepal.
Among these are community-based savings and credit cooperatives (SCCSLs), Grameen
replications; bank/self-help group linkage programs, and FINGO models. CMF has implemented
several activities during the period from Shawan 2066 to Ashad 2067. The details of the activities
implemented and their progress are given below.
Major Activities under different areas
A) Capacity Building and Training
a)
b)
c)
d)
e)
f)
g)
Capacity building
Cooperative management & Member education training
Bookkeeping training
Financial management training
Credit management training
Computerization training
Technical assistance
B) Knowledge Management Services
a)
b)
c)
d)
Internship
Resource Center Management
Documentation of best practices
Newsletter Publication
C) Research and Studies
a)
b)
Research
Studies
D) Policy advocacy on microfinance sector
a)
b)
c)
Workshops
Meetings
Lobbying
E) Catalyst and Consultancy Services (CCS)
a)
b)
Catalyst services for training and BDS
Consultancy services
F) Network for MFI (NMFIs)
a)
b)
c)
d)
G)
Implementation of Microfinance Summit Nepal Declaration of 2010
MIX market data
Microfinance Market Nepal
Prepare CMF guidelines network for microfinance
Organization Development (OD)
a)
b)
c)
Financial Plan
Organizational development plan
Building construction preparatory works
8. Capacity Building and Training (CBaT)
CMF's CBaT is designed to meet the training needs in the country and region by utilizing its
qualified microfinance trainers, training materials and resources in their own business language.
This service enables MFIs to improve the quality of their services and product design, management
practices, financial performance, inclusion and governance, and outreach to poor clients, specifically
women and excluded groups. CMF has been offering trainings and technical assistance since 1999.
MF training programs are modified replications of the training program in Boulder, USA. CMF also
provides capacity building and training services to MFIs through project as well as promoted by
various development agencies. The position of MF sector has changed slightly from the past. An
increasing number of development agencies are involved in microfinance. The number of legally
established MFIs is also rising. A challenge facing the informal MF sector is to build capacity of the
informal groups and consolidate them into formal institutions. CMF’s rich experience in capacity
building and training could be an instrumental in addressing this need of MFIs across the country.
CMF, at present are engaged on capacity building and training under the following projects




Enhancing Efficiency and Impact of Women’s Managed Saving and Credit Cooperatives in
Nepal (Mahila Jagaran, Phase III)
Microfinance Professional Training (MFPT) Programs
Reproductive Health and Microfinance: Integrated Approach of Maternal and Newborn Health
in Mountain and Hill
Promotion of Migrants’ Savings and Alternative Investment (PAMSAI)
8.1. Enhancing Efficiency and Impact of Women’s Managed Saving and
Credit Cooperatives in Nepal (Mahila Jagaran, Phase III)
Mahila Jagaran, Phase III entitled “Enhancing Efficiency and Impact of Women’s Managed Savings
and Credit Cooperatives in Nepal” is a three year project implemented by CMF in partnership with
the Canadian Cooperative Association (CCA) signed on 18 November 2005. As an extension of
"Strengthening of women's savings and credit cooperatives in Nepal" Project (Mahila Jagaran
phase II), this three year project is operating from October 01, 2005 to September 30, 2008. The
project is now extended till March 2010. CCA's financial contribution of CAD $ 406,144 allowed the
project to further enhance the institutional capacity of 50 existing partner SCCs and institutionalize
an additional 150 NBS-promoted SCGs not covered in the previous project
The project focuses on increasing the institutional capacities of these SCCs/SCGs resulting in (a)
increase in the financial self sufficiency (b) increase in the outreach of the project to cover 25,000
poor rural women and (c) providing competitive services including savings, credit and micro
insurance products to their members.
8.1.1. Goal
“Increase the effectiveness and impact of saving and credit cooperatives in reducing poverty.”
8.1.2. Objective
The overall objective of the project was to strengthen the microfinance sector in Nepal. The specific
objectives were to:


Increase the effectiveness and impact of savings and credit co-operatives in reducing poverty
;
Increase the outreach of saving and credit cooperatives with qualitative growth on the
previous program ensuring sustained financial services to 25,000 poor women;
8.1.3. Impact
Women-managed saving and credit cooperatives effectively reduced poverty of their members in
rural Nepal.
8.1.4. Outcome


Improved in the livelihoods of poor households (with particular reference to women)
Greater sustainability of co-ops serving poor households (with particular reference to women)
8.1.5. Output


Improved access of poor households to the benefits of co-op organizations
Increased economic efficiency and management effectiveness of co-op enterprises and
systems
 Increased responsiveness of co-ops to member needs
 Increased empowerment of women through co-ops
 Enhanced capacities of co-operatives to undertake policy research and advocacy activities
Increased awareness of co-operatives as vehicles of poverty reduction amongst
8.1.6. Planned Activities
S.N. Activities
1
Event
Institutional Strengthening of SCCs
1st
Quarter
2nd
Quarter
3rd
Quarter
4th
Quarter
1.1
Proposal Writing Training for
SCCs
1.2 Institutional Audit
1.3 Monitoring and Supervision
1.4 MIS Database update
1.5 Documentation of Best MF
Practices Through Cooperatives
1.6 Micro Insurance Scheme
1.7 Incentive Awards (at National
Seminar)
1.8 Annual Progress Sharing &
Planning Workshop
1.9 Need base technical
assistances
1.10 Business Plan Development
2
NBS Promoted SCGs & SCCs
2.1 Institutional Audit
2.2 Monitoring and Supervision
2.3 Annual Progress Sharing &
Planning Workshop
2.4 Incentive Awards (at National
Seminar)
2.5 Technical Assistance to
Cooperatives (2 times 20
SCCs)
2.6 Registration of New SCCs
2.7 Micro Insurance Scheme
2.8 Business Plan Development
Consultancy
3
MJ-Project Management
3.1
Narrative report
3.2
Proposal Development for
next project
1
30
2
2
1
5
1
30
30
10
20
2
20
1
2
3
5
10
Bhadra
2
Falgun
Initiative
1
8.1.7. Performed Activities
CMF has undertaken different project activities during this period. Due to extension period, some
activities have been extended, postponed and some cancelled during this fiscal year 2066/067.
Nevertheless, the activities performed during the period are described below.
S.N. Activities
Event
1
Institutional Strengthening of SCCs
1.1
1.2
Proposal Writing Training for SCCs
Institutional Audit
1st
Quarter
3rd
Quarter
Magh
1
30
2nd
Quarter
30 SCCs
Shrawan
4th
Quarter
-Bhadra
1.3
2
Monitoring and Supervision
1.4
2
MIS Database update
1.5
1.6
1.7
2
Annual Progress Sharing &
Planning Workshop
Need base technical assistances
30
Business Plan Development
NBS Promoted SCGs & SCCs
10
Institutional Audit
20
Monitoring and Supervision
2
2.2
Annual Progress Sharing &
Planning Workshop
Technical Assistance to
Cooperatives (2 times 20 SCCs)
2.4
2.5
9 SCCs
20 SCCs
Shrawan
-Bhadra
20 SCCs
Shrawan
-Bhadra
3 new
coops
3
10 NBS
promoted
SCCs
and
SCGs
10
MJ-Project Management
Narrative report
Proposal Development for next
project
3.1
3.2
20 SCCs
Poush Magh
1 ARP
magh
Regular
2
Business Plan Development
Consultancy
3
30+20
SCCs
MaghFalgun
ARP in 27 SCCs
(Poush –Magh)
Regular
20
Registration of New SCCs
2.6
30SCCs
Posh Magh
30
2.1
2.3
30SCCs
Shrawan
-Bhadra
30+20
SCCs
Shrawan
-Bhadra
2
Bhadra
Falgun
Initiative
1
8.1.8. Proposal Writing Training for SCCs
A one Kathmandu based five days training on Proposal writing training was organized during this
period. The main objective of the training is to develop proposal writing skills in the members of the
partner cooperatives
Events and participants
Event
Training
Date
Venue
I
Jan 19-22,
Kathmand
Target
16
Total no of
participant
s
17
Janjati
Dalit
Bramin
/ Chetri
2
0
14
Madhesi
/
Tharu
1
2009
u
(Details of List of participants on Annex III.)
The training became effective in providing the orientation on proposal writing for cooperatives. The
participants prepared a model/dummy proposal out of their learning in the training. Participants own
evaluation shows that they appreciated the facilitation skills and very satisfied with the content of
the training. However, they requested for the longer time duration of the training programs and
refreshment programs in the future
8.1.9. Institutional Audit of partner coops
Institutional Assessments (IA) of all SCCs selected as partners were conducted to assess their
outreach, financial and institutional health. The questionnaires were filled by the cooperative itself
and in some cases it was performed by the project staff. Each cooperative awarded points itself or
in some cases project staffs, based on the fulfillment of the different criteria present in the
assessment tool. Based on the institutional assessment and financial performance of the
cooperative, the incentive awards were also distributed to the partner cooperative.
The institutional assessment revealed that majority of the partner SCCs are in good condition. The
average score of all 30 SCCs is 70%. Among the 30SCCs, 3 cooperative were rated A1 (Excellent),
9 Coops falls under B (Good) category and the rest 17 partner cooperatives are rated C (Moderate)
as assessed through Institutional Assessment tool during this project period. Likewise, the average
score of all 20 NBS promoted SCCs & SCGs were found to be 64%. Among the NBS promoted
coops, 1 coop was rated A (Excellent), whereas 4 coops fell under B (Good) and the rest fell under
Category C. The newly formed coops and sleepy coops under the project were not assessed during
this period.
Earlier the project interventions, majority of cooperative were weak and seeking guidelines in terms
of capacity building and sustainability of the cooperative. Most of them did not have effective
governance structures, did not have up to date record-keeping and books of account and lack
vision of growing as a sustainable community based microfinance institution. The institutional
assessment shows that majority of the cooperative (considering average score obtained) had
improvised services to members, improved account and MIS bookkeeping system, developed
management and governance system and increased and improvised membership coverage of the
cooperative.
Furthermore, majority of the cooperative have its VMGO and business plan
developed. Likewise we could observe improvement in other functional areas like Training,
Infrastructure, Financial health and Productivity. However, the assessment also shows that the
cooperative still need to improve its efficiency regarding the increment in net profit and reducing the
operating expenses in terms of its assets. The cooperative now should focus on cooperatives' self
reliance and effectiveness in meeting the cooperative members' practical needs and strategic
interest.
1
A-Excellent (having points within 85-100), B-Good (70-84), C-Moderate (55-69) and D-Weak (0-54).
8.1.10. Monitoring and Supervision
Monitoring and providing technical assistance to
the partner cooperative society is practiced twice
a fiscal year. Altogether 55 cooperatives were
monitored onsite as well as offsite of 30 SCCS
and 20 NBS, plus 3 new registered cooperative
(NBS promoted SCCs & SCGs). During this year,
48 partner cooperative societies were monitored
onsite whereas 5 were monitored offsite during
first semester (Feb-august 2009). In second
semester (Sept, 2009 - Feb, 2010), 38partner
cooperative societies were monitored onsite
whereas 16 were monitored offsite.
8.1.11. MIS database
The data collected as in monitoring tool format from the respective societies were tabulated in their
respective column for the overall analysis of the progress on the project. In this period three new
cooperatives formed in NBS promoted cooperatives were added to the database.
8.1.12. Annual Progress Sharing & Planning Workshop
The participatory approach has been an interest and an appropriate medium for social
development, especially in case of Cooperative. Participatory annual review and planning in
cooperative will help to inform activities of the cooperative to all the committee members and also
provide useful contribution to develop a growing interest in the cooperative for its improvement and
promotion. CCA_CMF project on enhancing efficiency and impact on women managed cooperative
conducted a one (1) day annual progress sharing and planning workshop at each partner
cooperative.
The main objective of the workshop was to incorporate the knowledge and opinion of Board
members and other committee members in annual review and planning of the cooperatives. In this
period, annual review and planning workshop was conducted on 27 different women partner
cooperatives. Altogether 336 participants attained the workshops, majority of which included
management committee, account committee, loan sub-committee, loan supervision sub-committee,
children sub-committee, few members and staffs of the respective cooperatives.
The cooperative members find the process very needful and important for prolongation and
sustainability of the cooperative, especially in case of women managed cooperatives. Furthermore,
they suggested for 2 to 3 days workshops instead of one day for more productive results.
8.1.13. Need based Technical Assistances
13 events on technical assistance to cooperative were conducted this year. During this fiscal year,
the technical assistance provided on

Micro Credit to Deepjyoti Cooperative








Accounting to Nari Srijit Cooperative
Recording and accounting to Shiv Jyoti Cooperative
Account Merging to the New group in Keraun
Preparation of Business Plan to Kerabari Cooperative
Preparation of Business Plan and Computerization of records to Deepjyoti Cooperative
Computerization of records to Deepjyoti Cooperative
Preparation of Business Plan to Kalyan NB Cooperative
Orientation on Cooperative Operation and Management to the New Cooperative, Santoshi
SCC at Jhorahat
Orientation on Cooperative Operation and Management to the New Cooperative, Lakhantari
SCC at Biratnagar
Accounting and the product diversification to Hatemalo Savings and Credit Cooperative
MIS and the database to Mahila Prayash Savings and Credit Cooperative



8.1.14. Monitoring visit with the Donor

Barahi Mahila Multipurpose Cooperative Jamune, Tanahu

Srijana Mahila Savings and Credit Cooperative Simalchaur, Kaski

Nava Siddhartha Savings and Credit Cooperative Bagalatol, Kaski

Nari Pathibhara Savings and Credit Cooperative Itahara, Morang

Nari Srijana Savings and Credit Cooperative Uralabari, Morang

DeepJoyoti Mari Savings and Credit Cooperative Balbari, Morang

Kalyan Nari Multipurpose Cooperative Banigama Morong

Sayapatri NBS cooperative Dharan, Sunsari

Mahila Savings and Credit Cooperative Itahari, Sunsari

8.1.15. Registration of New SCCs
The project Mahila Jagaran Phase III promotes institutionalization of 150 SCGs promoted by NBS.
With the constant support and assistance of the project, four (4) new cooperatives are registered
during this period, namely Ekikrit SCCS, Kerun; Lakhanteri Mahila SCCS, Santooshi -and Nari
Chatana Morang.
8.1.16. Business Plan Development Consultancy
Business planning training was conducted under MJ/III activities for the 20 different partner
cooperatives. During the training, the participants created a draft of five year business plan of their
society based on the learning from the training program. CMF hired consultant to provide technical
assistance and to compose a complete report out of draft submitted by cooperatives. Names of the
cooperative that created the business plan are as follows:










Hatemalo
Mahila
Multipurpose
Cooperative Society Ltd. Maharajgunj
,Kathmandu
Jyotikunja Mahila Saving & Credit
Cooperative Society Ltd. Nepaljung,
Banke
Kalpabrikcha Mahila Saving & Credit
Cooperative Society Nepaljung- Banke
Mahila Kalyankari Saving & Credit
Cooperative
Ltd.
GaidakotNawalparasi
Nari Kalyan Saving & Credit
Cooperative Society Ltd. Gaidakot
Nawalparasi
Nava- Siddhartha Mahila Saving &
Credit Cooperative Society Ltd. Kaski
,Pokhara
Neelkantha Mahila Saving & Credit
Cooperative Ltd. Society Neelkantha-5
Dhading
Pokhari Bhanjyang Mahila Bikash
Multipurpose Cooperative Society Ltd.
Pokhari Bhanjyang,Tanahu
Saraswoti Mahila Saving & Credit
Cooperative Society Ltd. Lalitpur
Chapagaun-5
Srijana Mahila Saving & Credit
Cooperative
Society
Ltd.
Kaski,Pokhara










Mahila
Savings
and
Credit
Cooperative Society Ltd, Itahari
Kalyan Nari Bikash Cooperative
Society Ltd., Banigama, Morang
Nari Sirjeet Nari Bikash Cooperative
Society Ltd., Bargachi, Morang
Sanchhit Nari Bikash Cooperatives
Society Ltd., Mahandranagar, Sunsari
Sayapatri Nari Bikash Cooperative
society Ltd., Railwayline, Dharan
Sunsari
Kerabari
Nari Bikash Cooperative
Society Ltd., Karibari VDC, Morang
Deep jyoti Nari Bikash Cooperative
Society Ltd., Belbari VDC, Morang
Nari Pathibhara Savings and Credit
Cooperative Society Ltd. Itahara,
Morang
Narisrijana
Saving and Credit
Cooperative Society Ltd. Urlabari,
Morang
Chetana Nari Bikash Savings and
Credit Cooperative Society Ltd.,
Lakhanpur,
Jhapa
8.1.17. Prepare Narrative Report
The project provides two narrative reports for every six months based on the activities performed.
The narrative reports provide update and progress report on the activities performed during the
period. First narrative report (for the year 2009/10) was prepared during August 2009 encompassing
the activities from April-August 2009 and another report included activities from Sept, 2009 to Feb
2010. Training programs, in country exposure visit and Annual progress sharing and planning
workshop are some of the activities included in the report. Also, all the data collected during
monitoring were tabulated, compiled and analyzed to make a comprehensive narrative report. The
analysis showed that there is significant progress in growth of outreach and activities of the partner
cooperatives. It portrayed the importance of training programs, technical support as and when
required for the partner organizations and showed the need of continuous support for sustainability
of these cooperatives. These narrative reports prepared are sent to CCA as a part of reporting along
with CMF_CCA reporting format. See narrative reports for details.
8.1.18. Variance in Performance
Unplanned Activity

Exposure Visit within Nepal to 13 participants from 12 different NBS promoted SCCS/SCGs
partner
This project was designed to serve the poor rural women for their participation in activities through
women managed cooperatives. The exposure visit within the country to selected 25 NBS promoted
SCCLs/Groups was organized during this period.
The 13 participants were selected from 12 different partners NBS promoted SCCLS and SCGs. The
seven days exposure visit was organized from November 2 to Nov 8, 2009 basically based on
Sunsari, Morang, Siraha, Nawalparasi, Tanahu and Kaski. The organizations visited are as follows:
1.
2.
3.
4.
5.
6.
7.
8.
Mahila SSCL, Itahari, Sunsari
Sudar SSCL, Tarhara,
Sunsari Kalyan Naroi Bikash Multipurpose Cooperative Society ltd, Banigama, Morang
Deepjyoti Nari bikash SSCL, Belbari, Morang
Buddha Mahila SSCL, Dhangadi, Siraha
Bikku SSCL, Gaidakot, Nawalparasi
Barahi Mahila SSCL, Jamune, Tanahu and
Nava Siddhartha SSCL, Pokhara, Kaski.
Postponed activities:





Documentation of Best MF practices through cooperative
Micro-insurance Scheme
ARP in NBS promoted SCCs/SCGs
Incentive Awards
National Seminar on dissemination of best practices
8.1.19. Reason for Variance

Rescheduling of project activities and transfer of the field officer.
8.2. Ensuring the Inclusion of Women in Nepal’s Emerging Democracy:
Developing Women’s Savings and Credit Co-operatives as Schools of
Democracy
The project titled "Ensuring the Inclusion of Women in Nepal’s Emerging Democracy: Developing
Women’s Savings and Credit Cooperatives as Schools of Democracy." was initiated by CMF under
the financial support CIDA/CCA for a time period of one year (March 2007 – February 2008). The
prime aim of the project was to provide civic education on the ongoing democratic processes
through women’s managed savings and credit cooperatives, leading to increased understanding of
the election of the constituent assembly and drafting of the new constitution, and increased
confidence of women, especially those socially-excluded, to participate in informed debate.8.2.1.
Rationale:
Most Nepalese were not much familiar about the way to submit their suggestions/issues at the
upcoming constitution.
In order to make this a truly democratic process, it was important to create social and political
awareness at the grassroots level. Specific and practical efforts were needed to ensure inclusion of
historically marginalized groups, such as women and Dalits. Illiteracy and discrimination have long
prevented these groups from understanding their rights and roles as citizens.
Women’s Savings and Credit Cooperatives (SCCs) was an ideal platform to collect issues to be
included at the constitution with following reasons:





The 49 established SCCs that partner with CMF and CCA cover 19 districts across Nepal
(both rural and urban) have remarkable networks and outreach within their communities.
These women-headed co-operatives have thrived even during the decade long conflict and
gained community support despite the political instability. There was significant trust between
CMF/CCA and these SCCs have enabled the project in achieving its objectives.
The SCCs include a diverse group of women from different regions, age groups, and castes.
Thus, they are ideal for reaching all sections of Nepali society.
The structure of a Cooperative is democratic. The ultimate power of decision-making rests
with the Cooperative members. The members form a General Assembly which in turn elects
representatives to the Executive Body. All the regulations made by the Executive Body are
approved by the General Assembly. Cooperative members have thus internalized the concept
of democracy at a micro-level. Their knowledge was extremely useful in enabling their
communities to understand the concept at a macro-level. By using the Cooperative as model,
they were able to explain the meaning and process of democracy to fellow community
members. Cooperatives have proven as schools of democracy.
The process of gaining economic independence, women in cooperatives has become leaders
in their communities. They have earned the trust of the community, regardless of their political
inclinations. Leadership from local cooperatives was useful in mobilizing their communities to
participate in the democratic process. Due to their physical and cultural proximity with the
community, cooperative society women were better positioned for this work than external
actors.
To increase awareness and ability of Nepalese, particularly women and the socially excluded,
to participate in informed debate related to democracy, development of Constitution and
constitutional issues.
8.2.2. Objectives:
The project was implemented in 19 districts of Nepal, including high and mid-hill areas as well as
districts within the Terai. The project was designed to reach 20,608 members of the 50 SCCs and
other indirect beneficiaries. A conservative estimate of the indirect reach of this project is over
70,000 people.
The specific purpose of the project is to
processes through women’s savings
understanding of the election of the
constitution, and increased confidence
participate in informed debate.
provide civic education on the ongoing democratic
and credit co-operatives, leading to increased
constituent assembly and drafting of the new
of women, especially those socially-excluded, to
8.2.3. Methodology:
CMF initiated the voter's education program by designing and delivering a training of
trainers' (TOT) approach specific to the level of literacy and understanding of Cooperative
members. Training materials and strategies were primarily guided by the concerns and
suggestions of the cooperatives through a training needs assessment.
Few members from each of the 49 women’s cooperatives were selected as representatives
of their communities and they were exposed to ToT from democratic development experts
known to CMF. Using the Cooperative structure as a model, the training has focused on
expanding the new trainers’ vision and knowledge of a democratic state. Once they have a
clear understanding on advocacy process, they have organized many focus group
discussions and collected the issues from their Cooperative members for upcoming
constitution. Then they themselves organized district level workshops in each districts to
discuss on the issues they collected from grass roots with the district level politician,
government officials, federations, CA Members NGOs, INGOs, and others. This has not
only brought about active participation of people in the democratic process, but also
enhances the knowledge and leadership of these women for the long-term benefit of their
communities. Following stepwise processes was adapted to complete the full cycle of the
issue collection and submission to the constitution making committee:

Three ToTs were organized at two different locations to train 101 trainers at the
Cooperative level.
The 101 trainers organized altogether 250 focus group discussions by reaching more
than 9,000 members and non-members of the community.
District level workshop in 19 districts to share and get feedback on the issues
collected from grassroots with district level politicians, CA Members, Government
Officials, Federations, NGOs, INGOs and others
After compiling all the 19 districts issues, a National Level Workshop in Kathmandu
was organized by themselves. After finalization from the National Level Workshop all
the issues were handed over to Constitution Making Committee.



8.2.4.
Planned activities

Evaluation of the training by the international expert

Publish a report for development partner

Publish report for partner cooperative

TV talk program on the issues for women, cooperative and microfinance
8.2.5. Accomplished activities
8.2.6. Training Evaluation
A Canadian Consultant was hired by CCA for the training evaluation. The consultant visited Nepal
during the beginning of this fiscal year and he submitted his report in September 2009. The
evaluation was completed with the support of the leader of partner cooperatives. During the
evaluation for the data enumeration junior consultant were haired from the cooperative. Plan was
finalized in Ottawa in the meeting of consultant, CCA's program manager and project coordinator.
Ms. Sushila Gautam provides support to consultant during the evaluation. The report of this
evaluation was positive and it is recommended that CIDA should finance for the similar project in
other countries for awareness creating activities.
8.2.7. Publish a report for development partner
A report of containing activities, best practices, challenge, issues and recommendation was
published for the development partner of Nepal. This report speculated to the development
agencies and DDN forum. This report showed that the outcome of mobilizing the local resources for
the development. This report showed that how CMF create the demand for this political and the
constitutional knowledge in the rural community through training. Cooperative is the school of
democracy is the main objective of the project. Leadership of the women increased and they
enhanced the capacity to debate with the leaders and the government officers for their need.
8.2.8.Publish report for partner cooperative
The constituent assembly training and the collection issues related to cooperative, women and
microfinance make the good relationship and the coordination with different origination (NGOs and
GOs). The leader of the cooperative became popular in their community. They took ownership and
perform better in this activity. When they completed the district and national level workshop they
submit all documents in CMF. They have nothing in their hand to continue their advocacy in the
community in any issues. Seeing this reality project planned a activities to print report on behalf of
the partner cooperatives. A though of the project was that they can use this report to show their
ability and get linkages with different organization. This makes them to access new activities and the
project. A report was composed in Nepali and circulated to the partner cooperative. Cooperative
disbursed that in the concern organization in their working district.
8.2.9. TV talks program on the issues for women, cooperative and microfinance
A TV talks program was organize in The Kantipur television November 2009. The program was on
the issue on women's economic right, cooperative and microfinance issues. The name of the
program was SAROKAR and host was Mr. Bajaya Poudel. In the program two women member of
constituent assembly and one microfinance expert was guests. The women leader asked their issue
and the CA member assured them that they will take their suggestions and request to incorporate
that in new constitution of Nepal. About 10 million people watch that program from all over the
world.
8.2.10. Other DDN Related Activities
8.2.10.1. Participate in different DDN partner’s workshops and meetings





Participated in a DDN Partners meeting to update the activities at CCO on July 24, 2008
DDN Partner's meeting at Newa DEY DABOO on preparation of Rally and submission of
memorandum on September 11, 2009
DDN Partner's meeting at NGO Federation on Sharing of upcoming activities on Sepetmber
19, 2009.
Participated in a book inauguration written by Mr. Malla K.Sundar at CCO
DDN Partners Meeting at RCDSC on February 8, 2009



DDN Meeting at CCO on experience Sharing of DDN events and upcoming activities
DDN meeting on remaining activities of the project at NGO Federation - June 4 and 9, 2009
CIDA-CCO Visit at CMF May 27, 2009
8.2.11. Variance in Performance

TV shows was late due to the time of the SAROKAR
8.2.12. Prepare final report
A final report prepared and sends to CCA in February 2010. The report content plan and perform
activities. Report prepared was finalized and incorporate some agenda and send it CIDA from CCA
8.2.13. Lessons Learnt
Following lessons were learned from the project:









IEC materials prepared for the trainings were effective in raising awareness and the transfer
of knowledge to diverse community people
Training/orientation duration should be sufficient for diverse level of community peoples.
Include representatives of district and central level cooperatives in such orientations and
training programs
Include more women savings and credit cooperatives from each region in TOT to educate to
more people.
Audio visual IEC materials would be more effective when training community level people.
IEC materials in different languages would also be more useful for different native language
community people.
Many other activities happening (meetings, workshops etc) at district headquarter at the
same time which decreases the number of participants.
Programs organized by women are neglected and are given a lower preference for
participation by district level government authorities, politicians, journalists and others.
Difficulties are faced due to load shedding and frequent bandas
Representatives of partner cooperatives were confident to speak and present their
views in front of large audiences at the National Level Workshop but due to the
limited time were not allowed to do so
Best Practices





Use of local women trainers to deliver trainings is very good to make more community
people aware.
Non financial support to SCCs improves their linkages with different stakeholders;
establishes their presence in community; and provides district level support to increase their
SCC membership.
The community level training on civic rights to members, their family and local leaders was
very effective as a means to disseminate information.
Sharing of IEC materials with other DDN partners is supportive and useful to each.
District level and national level workshops were effective forums to discuss and finalize the
issues to submit to the constitution making committee
8.3. Microfinance Professional Training (MFPT) Programs
CMF's microfinance training has been designed to meet the training needs in the country and region
by utilizing its qualified microfinance trainers, training materials and resources in their own business
language. This service enables MFIs to improve the quality of their services and product design,
management practices, financial performance, inclusion and governance, and outreach to poor
clients, specifically women and excluded groups. CMF has been offering trainings and technical
assistance since 1999. The goal of this regular training program is to improve the professional
capacity of microfinance and promoting institutions specially serving the poor women and excluded
groups. Major objectives of the training are to: develop quality microfinance professionals to meet
the industry standards, and encourage peer learning through exposure, knowledge sharing and
retreats.
8.3.1 Planned Activities
Activities
1st
Quarter
Event
Events
2nd
Quarter
3rd
Quarter
4th
Quarter
Clients
Risk and Delinquency
Management (RDM)
Financial Management (FM)
1
20
1
20
Business Planning and
Financial Modeling (BPFM)
Book Keeping
1
20
1
20
Branch Management
1
20
Microfinance Management
(MFM)
1
20
Apr 5-9
Apr 2630
Nov 2-6
Aug 31Sept 04
May 1721
Nov 16-20
Curriculum Development
Curriculum Draft
2
Finalization of Curriculum
2
Manual Revision and Development
Manual Revision – MDM
5
As per MDM Plan
Manual Development - MDM
5
As per MDM Plan
Communication and Marketing
Web hosting- Uploading
Regular
Regular
Regular
Regular
List serve, individual and
institutional communication
Regular
Regular
Regular
Regular
Participants and
management
Regular
Regular
Regular
Regular
resource
Tailor made Training
Microfinance Management in
Development
Programs
(MMDP)
1
Commercial
Management
1
Fund
As per demand (Source: MFDBs)
8.3.2. Performed Activities
8.3.2.1.Regular Trainings:
Participants 1st
Quarter
15
Activities
Event
Financial
Management (FM)
Business Planning
and Financial
Modeling (BPFM)
1
1
20
Microfinance
Management
(MFM)
1
11
2nd Quarter 3rd Quarter
4th Quarter
April 26-30,
2010
Held on
December
14-18,
2010
Held on
January
25-29,
2010
Curriculum Development
Curriculum Draft
2
Finalization of Curriculum
2
Manual Revision and Development
Manual Revision – MDM
5
Completed As per MDM Plan
Manual Development - MDM
5
Completed As per MDM Plan
Communication and Marketing
Web hosting- Uploading
Regular
Regular
Regular
Regular
List serve, individual and
institutional communication
Regular
Regular
Regular
Regular
Participants and
management
Regular
Regular
Regular
Regular
resource
Tailor Made Training
Microfinance Management,
Care, Chitawan
1
22
Sept 1317
Marketing Training, Care
Nepal, Lalbandi, Siraha
1
30
October,
2009
Microfinance Management
Training conducted for SCDC
Lalghad, Dhanusha
Cooperative Mgmt TOT,
World vision, Pokhara
1
30
Dec. 31,
2009-Jan
04, 2010
1
30
Feb 1-3,
2010
Financial Management
Training held for
Paschimanchal Grameen
Bank, Bhairahawa
Microfinance Management in
Development Program,
RWSC, Makwanpur
Financial Management
Training held for
Paschimanchal Grameen
Bank, Pokhara
Book keeping, World Vision,
Butwal
1
28
March 1012, 2010
1
15
March 2226, 2010
1
34
April 29May 1,
2010
1
24
April 1-5,
2010
1st quarter
Tailor Made Training on Microfinance Management was held on Sept 13-17 at Chitawan for Care
Nepal. Total 22 participants participated the training.
Management of list serve and website updating word was done in this quarter as these activities are
regular activities. An Intern was hired to rearranged the Resource Center in this quarter.
A Curriculum on Financial Management Training was prepared by Ms. Anne Marie Burnside,
UNITERA Volunteer in this period.
2nd Quarter
One training out of Scheduled 2 was held in this quarter. Business Planning and Financial
Modeling (BPFM) training was held from December 14-18, 2010 at Paradise Plaza, Kathmandu.
Total 20 participants from different organizations related to microfinance, including NUBL, Sahara
Nepal, CBB, GTZ, PGBBL, and Plan-Nepal Unit participated the training.
Similarly, two tailor made trainings were held in this quarter. Marketing Training for Care Nepal in
Lalbandi, Siraha was held on October 2009 and from December 31-January 04, 2010,
Microfinance Management Training was conducted for SCDC Lalghad, Dhanusha. There were
30 participants in each of the training.
3rd Quarter
Training on Microfinance Management for MFIs was held on January 25-29, 2010. Total 11
participants including only one female from Care Nepal, Chhimek Bikas Bank and Nirdhan Utthan
Bank participated the training. This training was scheduled for January 18, 2010. Considering the
request from Sahara Nepal to accumulate 7 participants from Sahara Nepal, the training was push
forward. Due to their internal problem, Sahara Nepal decline whole 7 participants.
Three Tailor Made Trainings were conducted in this quarter. ToT on Cooperative Management was
conducted for World vision in Pokhara from Feb 1-3, 2010. There were total 30 participants
benefited from this training.
Training on Financial Management was held for Paschimanchal Grameen Bank in Bhairahawa from
March 10-12, 2010. Total 28 participants participated this training. Similarly, Microfinance
Management in Development Program was held for RWSC, Makwanpur on March 22-26, 2010
where total 15 participants benefited from the training.
4th Quarter
Financial Management of MFIs training was held on April 26-30, 2010. There were 15 participants
from SB Bank, CBB, NUBL, SCDC, CAP and Anandi Charity at Hotel Manang, Thamel,
Kathmandu.
Two Tailor Made Trainings were held in this quarter. Financial Management Training was
conducted for Paschimanchal Grameen Bank in Pokhara. This training was held on April 29-May 1,
2010 with total 34 participants. Similarly, Training on Book keeping was held for World Vision in
Butwal, Rupendehi. Total 24 participants participated the training which was conducted on April 1-5,
2010.
8.3.3. Variance in Performance



Book Keeping
Risk and Delinquency Management (RDM)
Branch Management/ Commercial Fund Management
8.3.4. Reason for Variance
First Quarter
Book Keeping Training
About 20 applications for scholarship had been submitted at Master Card Foundation for this
training as per their offer. CMF had planned to do this trainings in previous FY but due to
unavailable of MCF scholarship; the training was rescheduled for August 31 – September 04, 2009.
Even in the rescheduled date MCF did not provided scholarship and cancelled their scholarship due
to their budget scarcity. All the applicants were from the cooperatives and were not able to pay the
training fee. This was the main reason to cancel this training.
Fourth Quarter

Risk and Delinquency Management (RDM)
This training was not completed due to not available the enough number of participants

Branch Management/ Commercial Fund Management
Lots of preparation to conduct this training was needed but due to not having enough time for
preparation this training was not done in this quarter.
8.4. Reproductive Health and Microfinance Integrated Project
As per the partnership agreement of Center for Microfinance Nepal (CMF Nepal) with Medecins du
Monde Nepal (MDM Nepal), “Reproductive Health and Microfinance: Integrated Approach of
Maternal and Newborn Health in Mountain and Hill” project is extended to implement till May 2010
in twelve VDCs of Sindupalchok district.
CMF agrees to implement the microfinance related activities as per the project document in close
coordination with MDM Nepal. The MDM Nepal and CMF wish to enter into this agreement to set
forth the terms and conditions on which project activities shall be implemented to achieve the
project objectives.
8.4.1. Goal
Reduce maternal and newborn mortality rates through reproductive health education and
microfinance in Sidhupalchowk district
8.4.2. Objectives
The objectives of the Project are to:
1. Improve the availability, access and quality of maternal and newborn care and emergency
obstetric and newborn care; and
2. Increase access and utilization of microfinance services.
8.4.3. Expected Results
8.4.4. Impact:
Reduced maternal and newborn mortality rates and increased household incomes in
Sindhupalckowk district
8.4.5. Outcome:

Improved availability, access and quality of maternal and newborn care and emergency
obstetrics
Increased access to microfinance services

8.4.6. Output:


The availability of emergency obstetric and newborn care has increased;
The quality of maternal and newborn care services has improved Community awareness on
birth preparedness is enhanced;
Utilization of maternal and newborn care services has increased;
A sustainable network for provision of combined reproductive health education and microfinance
services is created;
Obstetric emergency funds are available and managed by communities



8.4.7. Planned Activities
SN
Activities
1.
1.1
Cooperative Promotion
Support microfinance groups to
form/integrate cooperative
Stationery support to
cooperatives
Microfinance group functioning
and support
Capacity Building of
Cooperatives
Developed Business Plan
Cooperative Management and
Member Education Training
1.2
1.3
2
2.1
2.2
2.3
Book Keeping Training
2.4
Portfolio management training
Event
1st
Quarter
6 VDCs
Jul, Aug
12 coops
Aug
12 VDCs
Regular
12
1 event,
24
members
of coop.
1 event,
24
members
of coop.
1 event,
24
members
of coop.
2nd
Quarter
Regular
3rd
Quarter
Regular
4th
Quarter
Regular
Apr, May
1
1
1
2.5
Financial management training
2.6
Business planning training
3.
Obstetric and Emergency
Fund
Establish O&E Fund
Provide Rs.10, 000 as O&E
Fund
Provide O&E Fund
Management Training to OEF
management committees.
Financial Literacy
TOT on Financial Literacy
3.1
3.2
3.3
4.
4.1
4.2
Facilitate with financial literacy
package at each centers under
cooperatives-
5.
5.1
Networking
District level microfinance and
health stakeholders meeting to
share project performance
Monitoring and Field Visit
Project Evaluation
6
7
1 event,
24
members
of coop.
1 event,
24
members
of coop.
9 VDCs
9 VDCs
9 VDCs
1 event
16 field
staffs
4528
members
in 12
VDCs
(252
Centers)
1
1
Sept
Sept
Sept
Aug
Regular
Regular
1 time
12 VDCs
1 event
Regular
Regular
Nov
Regular
Regular
Regular Regular
Jan-Mar
8.4.8. Performed Activities
SN
Activities
1.
1.1
Cooperative Promotion
Support microfinance groups to
form/integrate cooperative
Stationery support to
cooperatives
Microfinance group functioning
and support
Capacity Building of
Cooperatives
1.2
1.3
2
Event
6 VDCs
12 coops
12 VDCs
1st
Quarter
2nd
Quarter
3rd
Quarte
r
4th
Quarter
2.1
Cooperative Management and
Member Education Training
2.2
Book Keeping Training
2.3
Portfolio management training
2.4
Financial management training
3.
Obstetric and Emergency
Fund
Establish O&E Fund
Provide Rs.10, 000 as O&E
Fund
Provide O&E Fund
Management Training to OEF
management committees.
Financial Literacy
TOT on Financial Literacy
3.1
3.2
3.3
4.
4.1
4.2
5.
5.1
6
1 event,
24
members
of coop.
1 event,
24
members
of coop.
1 event,
24
members
of coop.
1 event,
24
members
of coop.
1
1
1
1
8 VDCs
8 VDCs
8 VDCs
Facilitate with financial literacy
package at each centers under
cooperativesNetworking
District level microfinance and
health stakeholders meeting to
share project performance
Monitoring and Field Visit
1 event
16 field
staffs
12 VDCs
1 time
12 VDCs
8.4.9. Variance in performance
SN
2
2.1
Activities
Capacity Building of
Cooperatives
Developed Business Plan
Event
12
1st
Quarte
r
2nd
Quarte
r
3rd
Quarte
r
4th
Quarte
r
Apr,
May
Reason
Business
planning training
not completed
2.2
Business planning training
3.
Obstetric and
Emergency Fund
Establish O&E Fund
Provide Rs.10, 000 as
O&E Fund
Provide O&E Fund
Management Training to
OEF management
committees.
3.1
3.2
3.3
4.
4.1
Networking
Project Evaluation
1 event,
24
members
of coop.
1 VDC
1 VDC
1 VDC
1 event
1
Sept
The training
rescheduled as
participants of
the training are
not well adopting
the previous
training.
Remaining in
Chautara VDC
as MDM has
planned for OEF
distribution at
district
stakeholders
meeting time
Sept
Sept
JanMar
MDM not
interested for the
evaluation
8.5. Promotion of Migrants Saving and Alternative Investment (PMSAI)
This is a joint venture project between the Centre for Micro Finance (CMF) and The International
Fund for Agricultural Development (IFAD) to implement the Project “Promotion of Migrants’ Savings
and Alternative Investment” through selected microfinance institutions (MFIs) in Nepal. This project
was started from March 30, 2009.
8.5.1 Goal
The goal of this Project is to improve financial services; including remittance delivery capacity of10
selected MFIs to the rural poor and migrant worker families by promoting migrant’s saving and
investment through community based MFIIs in the migrant workers home village
8.5.2. Objectives
1. Diversify microfinance products targeting migrant workers and their families.
2. Enhance the sustainability of MFIs and migrant family enterprise through savings and
alternative investment.
3. Increase awareness on financial and business literacy among MFI clients and migrant
workers.
4. Create an enabling environment for migrant workers
5. Use remittance as technology for rural development.
6. Pilot test unemployment insurance.
8.5.3. Expected Results
8.5.4. Impact:
Improved financial services and implement the unemployment insurance and remittance delivery
programs for 10 selected MFIs for the rural poor and migrant worker families . Migrant workers and
their families empowered on financial and business matters through training.
8.5.5. Outcome:
 Pilot the unemployment insurance on the selected youths/candidates in the working area of
the 10 selected MFIs.
 Empowerment of Migrant Workers and their families.
 Linked the 10 selected MFIs with Remittance Agencies/Commercial Banks in order to
launch the remittance service through the MFIs.
8.5.6. Output:
 Institutions Strengthen
 Provide training and technical assistance to the 10 MFIs which will have willingness and
capacity to design and pilot the unemployment insurance
 Project Monitored, evaluated and disseminated.
8.5.7. Planned Activities
S.N
1
1.1
1.2
1.3
1.4
1.5
1.6
1.7
1.12
2
2.1
2.2
Activities
Event
1st
Quarter
2nd
Quarter
3rd
Quarter
4th
Quarter
Institutional Strengthening and Capacity Building
Institutional Assessments (IA)
Tool and Assessments tool in
55 MFIs
55
Jun- July
Select 10 MFIs. Analysis and
Report
1
July
Institutional Assessments
Financial Management and
Business Planning Training
Product Diversification and
Remittance Management
Training
TOT on entrepreneurship
Development to the MFIs
Design unemployment
insurance
Purchase and provide Desktop
Computer to each partner MFI
2
July
Aug
Feb
2
2
Aug
2
Sep
Jul
Sep
Empowerment of migrant workers and their families
Training on Migrant Issues
and Strategies to the MFIs
Migrant Awareness
Nov
Campaigns
2.2.1
IEC material
Sep
2.2.2
Posters/Pamphlets
Sep
2.2.3
Banner
Sep
Jan-Mar
Jan
2.3
Advocacy and Lobbying to
build local channel for
remittance
Jan-Mar
Stakeholders Meeting
Jan-Mar
Apr-Jul
Workshop National Level
2.4
2.5
2.6
2.7
2.8
2.9
2.10
3
3.1
Jul
Proceeding and Outcome
Documentation
Develop a training manual for
financial and Business
Literacy Class
Apr-May
May-Jun
TOT on Financial and
Business Literacy
Educational Materials Printing
for Literacy Classes
Financial and Business
Literacy class to migrant
families
Jun
Jul
Jul
Literacy Class Monitoring
Training on Enterprise
Development to migrant
families
Link MFI with remittance
agencies/commercial banks
July
Dec
Project monitoring, evaluation and dissemination
Regular Monitoring to 10 MFIs
Dissemination Workshop in
Kathmandu
Draft & Produce Final Report
8.5.8. Performed Activities
S.N
1
1.1
1.2
1.3
1.4
Activities
Event
1st
Quarter
2nd
Quarter
3rd
Quarter
Institutional Strengthening and Capacity Building
Institutional Assessments (IA)
Tool and Assessments tool in
June55 MFIs
55
July
Select 10 MFIs. Analysis and
Report
1
July
Institutional Assessments
Financial Management and
Business Planning Training
2
2
July
August
Feb
4th
Quarter
1.5
1.6
1.7
1.12
2
2.1
2.2
Product Diversification and
Remittance Management
Training
TOT on entrepreneurship
Development to the MFIs
Design unemployment
insurance
Purchase and provide Desktop
Computer to each partner MFI
2
2
August
Aug Nov
July
June
Empowerment of migrant workers and their families
Training on Migrant Issues
and Strategies to the MFIs
Migrant Awareness
Campaigns
Jan-Mar
2.2.1
IEC material
Jun-Jul
2.2.2
Posters/Pamphlets
Jun-Jul
2.2.3
Banner
Jun-Jul
Advocacy and Lobbying to
build local channel for
remittance
Develop a training manual for
financial and Business
Literacy Class
Jun
2.3
2.4
2.5
2.10
3
3.1
Jan
July
July
TOT on Financial and
Business Literacy
Link MFI with remittance
agencies/commercial banks
Apr-Jun
Mar
Project monitoring, evaluation and dissemination
Regular Monitoring to 10 MFIs
July
8.5.9. Institutional Strengthening and Capacity Building
8.5.9.1. Institutional Assessment Tool and Assessment of 55 MFIs
8.5.9.2. Profile Collection:
The profiles of 178 MFIs were collected using a checklist containing general management and
financial information in April 2009. Enumerators were hired in May 2009 to assess 55 MFIs in the of
9 districts of Nepal. In June/July 2009 after the data was collected, 10 MFIs were selected as
partners from seven (Morang, Saptari, Siraha, Nawalparasi, Rupendehi, Tanahun and Kathmandu)
districts. Each MFI were given point on the different functional areas. Those areas were Vision,
Mission, Goal, Objectives and Long term Plan, Membership, Organization and Governance, Service
to members, Book keeping and MIS, Financial Health, Remittance, Micro enterprise and Micro
Insurance. At the conclusion of the Survey, each MFIS received a total grade based on 100 points
encompassing all aspects of Institutional Assessment Tool. A list of selected 10 MFIs is as follows:
S.N.
1
2
3
4
5
6
7
8
9
10
Name of MFI
Deepjyoti Nari Bikas Savings and Credit Cooperative Society Ltd
Kalyan Nari Bikas Multipurpose Cooperative Ltd.
District
Morang
Morang
Srijanatmak Mahila Cooperative Society Ltd.
Buddha Mahila Saving and Credit Cooperative Society Ltd.
Kopila Mahila Saving and Credit Cooperative Society Ltd
Mahila Swalamban Multipurpose Cooperative Society Ltd.
Daunnedevi Mahila Multipurpose Cooperative Society Ltd
Pragatishil Mahila Bikas Saving and Credit Cooperative Society
Ltd.
Barahi Mahila Bahuudeshiya Cooperative Society Ltd.
Hatemalo Mahila Savings and Credit Cooeprative Society Ltd
Saptari
Siraha
Siraha
Nawalparasi
Nawalparasi
Rupendehi
Tanahun
Kathmandu
As per the project need, Institutional Assessment is to be done by annually. On February 2009, 2 nd
Institutional assessment was performed. All the 10 project partners performed this activity on their
own. This is a tool to review the status/improvement of each partner MFIs.
8.5.9.3.
Financial Management Training and Business Planning Training
Financial Management training was held on August 7-11, 2009 at hotel paradise Plaza. Twenty
participants of 10 MFIs participated the training. Financial Structure of the Cooperative, PEARLS,
Ratio Analysis, Financial Analysis, Financial Planning and Budget making process were taught in
the training. The objectives of the training were to teach the financial management, financial
planning and budget making process in cooperative.
Business Planning Training was held on August 17-21, 2009 at Hotel Paradise Plaza. In this five
days training, there were 20 participants. Situation Analysis, Institutional Analysis, SWOT Analysis,
Financial Analysis, PEARLS Analysis, Business Policy and Financial Plan were taught in the
training. The objectives of this training was to make the participants aware with necessary
knowledge and skills to prepare the business plan for the project
8.5.9.4.
Product Diversification and Remittance Management Training
This training was held two times i.e. in August 7-11 and 17-21, 2009. There were altogether 38
participants from 10 project partners. There were the sessions on Product Diversification and
Marketing, product development process, Unemployment Insurance and remittance services. This
training was also held in Hotel Paradise Plaza. The objective of this training is to develop and
market different products for their members, provide knowledge on Unemployment Insurance and
Remittance Management.
8.5.9.5.
TOT on Entrepreneurship Development to the MFIs
Two events on Enterpreneurship Development Training were held on August 31 to September 4,
2009 and November 9 to 13 2009. In these trainings, there were sessions on Enterprise and
Entrepreneurship, SWOT Analysis of Existing Enterprises, Business Selection, business Plan and
Business Management. The objectives of these training is to understand entrepreneurship instinct
with individuals, instinct with successful entrepreneurs, to understand realistic market demand, and
process of understanding consumer demand and development of business. Mr. Gopi Paudel was
the resource person in this training. The total 40 participants were present in the training.
8.5.9.6. Design Unemployment Insurance Product
Separate discussion with the Board Members and Managers of each project partners about the
unemployment insurance has been held. Earlier, a concept of this new product was discussed with
the representatives of all the project partners in training. The Draft of unemployment insurance
product and guideline has been designed.
8.5.9.7. Purchase and provide Desktop Computers to each partner MFIs
Ten desktop computers, UPS, Printer were purchased for 10 MFIs. On June, 2010 it was distributed
to all ten MFIs to enable them to pilot Unemployment Insurance and to provide remittance services.
8.5.9.8. Empowerment of Migrant Workers and their Families
8.5.9.8. 1Training on Migrant Issues and Strategies to the MFIs
Three events of Migrant Issues and Strategies training were held on January 25 to 27, February 1
to 3 and March 9 to 11, 2010 respectively. Altogether there were 60 participants in the training .In
the training there were session on history and background on migrant workers, issue, status and
problems of the migrant workers in own country and the country they work, women migrant
workers, remittance contribution for the country and society, remittance channels and its use. Mr.
Jiban Baral facilitated all three trainings.
8.5.9.8..2 IEC Materials, Posters, Pamphlets & Banners
Although Activity 2.2 Migrant Awareness Campaign was not completed in this year but materials
preparation (Posters, Pamphlets & Banners) for the same have been completed i.e. materials are
ready for printing.
8.5.9.8.3.Advocacy and lobbying to build local channel for remittance
Advocacy and Lobbying was done to build the local channel for the remittance between MFIs and
Money Transfer Company and Commercial Banks. There was a meeting with Department of
Cooperative (DOC) of the Government of Nepal, Nepal Rastra Bank and Nepal Federation of
Saving and Credit Cooperative Unions Nepal (NEFSCUN). Project Team also participated in
Cooperative Coordination Network Meeting.
8.5.9.8.4. Develop a training manual for financial and Business Literacy Class
Training manual for Financial and Business Literacy Class has been developed in this year.
2.5 TOT on Financial and Business Literacy
Two events of Training of Trainers (ToT) on Financial and Business Literacy has been completed
this year on July 5 - 9, and July 12 - 16, 2010 at Paradise Plaza, Jamal, Kathmandu. Main
objective of this ToT was to make participants able to conduct classes on business and
financial literacy in their respective MFI working area. That is why the focus of trainings was
to provide information on financial and business related areas such as how to start and
manage the business, its importance, business other skills etc. Participants were provided
knowledge on different related areas to make them able to analyze the benefit, weakness,
opportunities and challenges of the business and market and marketing.
8.5.9. Link MFI with remittance agencies/commercial banks
8.5.9.1. Workshop on Issues on Linkage between Communities based Cooperative and
Remittance Service Provider was held on March 30, 2010. There were altogether 27 participants
including representatives from project partners, remittance service providers, Department of
Cooperatives, Nepal Rastra Bank, National Cooperation Development Board, Commercial Bank,
Nepal Bankers Associations, UNIFEM, NIDS, NEFSCUN, Sana Kishan Bikas Bank and Journalists.
Issues and problem were raised related to the linkage. In the workshop participants requested
Nepal Rastra Bank, Department of Cooperatives and National Cooperative Development Board to
make the policies to run the remittance services through community based cooperatives.
8.5.10. Project monitoring, evaluation and dissemination
8.5.11. Semi Annual Report is submitted to IFAD:
Two Semi Annual Reports were submitted to IFAD this year. The First Semi Annual report (Report
of March 30, to September 31, 2009) was submitted to IFAD on October, 2009. Similarly, Report of
October 1, 2009 to March 31, 2010 was submitted on March, 2009 as second Semi Annual Report.
8.5.12. Project monitoring
A monitoring format was designed and circulated to among the project partners to fill it monthly and
submit to CMF. Filled monthly monitoring forms have received from all the project partners of up to
Chaitra 2066.
8.5.13. Variance in performance
Activity 1.7
insurance
Training and technical assistance to design and pilot the unemployment
Activity 1.8
Piloting unemployment Insurance in the MFI working area
Activity 2.2
Migrant Awareness Campaigns
All above mentioned activities are variance in this year. Most of the other activities of the were
delayed due to strike and bandh. Also due to limited time of the some of the Insurance constraints,
above activities were remain incomplete.
Activity 2.10 Link MFIs with Remittance Service Providers and Commercial Banks
Two partner MFIs have submitted their application to the Remittance Service Providers and
Commercial Banks to provide Remittance service through their own Cooperative but due to not
having proper law to link MFIs with Remittance Service Providers and Commercial Banks, this
activity also could not complete in this year.
8.5.14. Lessons Learned (if any)
 Frequent trainings/TAs is needed for partner cooperative for smooth running. In their
opinion, refresher programs after each of the training can be an alternative for that.
 IT invention is highly sought by cooperatives
 The ARP should be at least a two days program as per the request of partner cooperatives.
 Most of the cooperative societies are facing less retention of staff especially even after they
been trained.
 Unemployment Insurance is a new Scheme in project which will be useful for MFIs but is
difficult to start (more confusion)
 All the training provided under the project are practical and very useful for the project
partners.
 Nomination of participants for different trainings by project partner is not in CMF's
satisfaction
8.6. Clean & Green Microfinance Project
8.6.1. Introduction:
The Volunteer Management Advisor operates the implementation of the activities assigned by the CMF
management under the Clean & Green Microfinance Project. He/She should have a thou rough
understanding of the CMF vision, mission and strategic areas is committed to deliver as per the targets
clearly identified for each strategic area specifically Capacity Building and Training (CBaT), Research and
Studies (RaS), Business Development Services (BDSMS), Catalyst and Consultancy Services (CaCS) and
Network for MFIs (NMFIs). He/She allocates workload according to specified weight age of the
responsibilities and activities. He/She should create smart group dynamics to get the best out of the CMF
team. He/She makes sure of the proper dissemination of the information amongst the team and quality
performance. He/She is responsible to achieve the following strategic objectives and expected outcome of
CMF.
8.6.2. Capacity Building and Training (CBaT)
1.1 Planned Activities
Activities
Event
1st
Quarter
2nd
Quarter
3rd
Quarter
4th
Quarter
C & G Project Development - To be
developed to secure donor funding
CEDBL
Partnership
MOU
signed
12.2009
CDM
Process
Recognition
by UN
Comme
nced
7.2009
MFI/ SME
Training
Process
Comme
nced in
9.2009
Module
Strategy &
Content
Process
continuin
g to date
Process
continuin
g to date
MS Project
Process
Training &
Mapping
Commen
ced
12.2009
Donor Grant
investigation
Commen
ced
10.2009
Process
continuing
to date
8.6.3. Performed Activities
8.6.4. Objective of monitoring and supervision:
All of the above
8.6.5. Issues discussed:
No significant issues. Most activities are time bounded - normal processing time required i.e. CDM
registration process. Most donors awaiting successful CDM registration
Solutions:
Not applicable
8.6.6. Variance in Performance
Not measurable as no benchmark measure available
8.6.7. Reason for Variance
Not Applicable
8.6.8. Outputs
1.
2.
3.
4.
5.
6.
KfW funded Feasibility Study in February 2010
KfW applied to German Government to fund Stage 2 UN registration in May 2010
Project mapped in MS project 2007 software
Project Business Plan Finalized - April 2010
Project Pilot Prepared - May- July 2010
Multi Donor Grant and supplemental funding proposals prepared and submitted - October
2009 - July 2010
7. Multi Project Research Surveys completed - August 2009 to July 2010
8. Training course in MS Project 2007 software conducted for CMF staff & Project interns in
November -December 2009; and MS (Basic) Access 2007 software conducted for project
interns in June-July 2010
8.6.9. Lessons Learned (if any)
Internally generated complex project with high cost requirements take time to realize.
9. Knowledge Management for Microfinance Services (KMMS)
9.1. Introduction
A high turnover of microfinance professionals in different development organizations results in a
loss of institutional memory. For effective microfinance services, it is crucial for the concerned
individuals to have the knowledge of key principles. Realizing this need CMF took the initiative to
create a resource center in 1998, while still in the CECI project phase. Institutional memory loss can
be partially prevented by retaining experienced professionals by offering them sufficient
remuneration. From an organizational point of view, knowledge management cannot be divorced
from human resource management. It has more to do with human relationships and the interchange
between experienced and junior learners than with the effectiveness of any particular knowledge
management. If "knowledge" is defined not just as facts but as experience, expertise and skill
needed to make good use of facts, the loss of experienced microfinance professionals cannot be
made up just by developing better information systems or by hiring new staff. Unfortunately, most
stakeholders do not seriously evaluate the impact of these changes on their own effectiveness; and
at some point, the system degrades to a degree where the organization does not know what it does
not know. What we may view as a problem or weakness from the outside is no longer visible to
those remaining inside the organization.
Since many MF projects are scattered across the country, one is likely to miss out on some
significant lessons learned by these projects. Harvesting knowledge from the field must be
systematic. That is possible through standardized monitoring, evaluation and documentation. A
policy that calls for review of past learning and application of relevant inputs in new projects would
make knowledge management more meaningful. The pressure would be to organize information
collected from the field, internalize it, organize it in a retrievable form, and invest in institutional
memory building system. With this in view, CMF is developing appropriate mechanisms for
knowledge sharing to help all MF learners, practitioners, replicators, policy makers, developers and
promoters. CMF facilitates documentation of researches, communication and information
dissemination on MF issues, promotion of best practices and other MF related studies, updating and
mapping of MFIs, mapping of knowledge, maintenance of rosters, documentation of case studies,
tacit knowledge recording and management of MIS knowledge and resource center.
Currently it has more than 1500 research reports and books related to microfinance, MF Directory
(Nepal), CDs, audio visual materials, training manuals, case studies, wall posters, and occasional
papers. It also offers internship to new learners in the microfinance sector and develops human
resources with reward and recognition.
9.2. Planned Activities
Activities
Event
1st
2nd
3rd
4th
Quarter
Quarter
Quarter
Quarter
Nepal Microfinance Market (Directory)
Design format to collect data from
MFIs, Donors, Promoters and
Wholesalers
Finalization of the format
Receive data (200 data)
Data Entering and Editing
Uploading of data (200)
Publication of Directory (200 copies)
Resource Center Management
Rearrangement of RC
Advertisement for Membership
Add Membership
Add Resource Materials
Electronic Database Management
Draft and send request letter for free
copy of documents like books,
annual reports etc.
Focus on Membership and Materials
Newsletter Publication
Publication of Microfinance
Newsletter of CMF
Publication of Sakshmata
Distribution of Newsletter
Documentation of best practice
Publication of Project Completion
report
Publication of Research Report
Publication of Annual Report and
Audit Report of CMF
Documentation of Lessons Learned
(MJ)
Dissemination of Study findings of
Federalism – CCO
National Seminar on dissemination
of best practices
Project Review
CMF's Publication such as reports,
manuals etc should be sold
1
1
Internship
Internship announcement through
website
Intern to rearrange RC
Intern to Support MF Directory and
MF Market related activities
Intern and volunteers to support
summit
International Interns for Proposal
development, document editing
Website
Update CMF Website
Update Summit Website
Resource Center Visitors
9.3. Performed Activities
Activities
Event
1st Quarter
2nd
3rd Quarter
4th Quarter
Quarter
Nepal Microfinance Market (Directory)
Design format to
collect data from
MFIs, Donors,
Promoters and
Wholesalers
Resource Center Management
Rearrangement of RC
Advertisement for
Membership
Once
Add Membership
Add Resource
Materials
Electronic Database
Management
Resource Center
Visitors
13
11
10
9
Newsletter Publication
Publication of
Microfinance
Newsletter of CMF
Publication of
Sakshmata
1 (MF
News)
1
(Sakshmata)
Distribution of
Newsletter
Documentation of best practice
Publication of Project
Completion report
Publication of Annual
Report and Audit
Report of CMF
Dissemination of
Study findings of
Federalism – CCO
National Seminar on
dissemination of best
practices
Project Review
CMF's Publication
such as reports,
manuals etc should be
sold
DDN
Decline
the
Project
1
Profile
preparation
of 50SCCs
Project
completion
report
1
Internship
Intern to rearrange RC
Intern and volunteers
to support summit
3
3
1
3
2
International Interns
for Proposal
development,
document editing
Website
Update CMF Website
Update Summit
3
Website
Resource Center
Visitors
9.4. Publication of Microfinance Newsletter of CMF
The 12th issue of Microfinance Newsletter of CMF (previously known as Common Interest) has been
published this year
9.5. Publication of Nepali Newsletter, Sakshmata:
Nepali Newsletter Sakshmata Issue 9 has been published this year. Sakshamta is a semi-annual
Nepali newsletter that focuses on news and views related to women strengthening through
cooperative movement, prioritizing MJ activities. The Sakshamta provided platform for cooperative
members and for CMF as well, to show progress reports, reviews on activities of MJ, growth and
progress of various partner cooperative societies along with personal information on cooperative
members and their contribution towards Mahila Jagaran i.e. women strengthening through SCCS.
9.6. Distribution of Newsletter:
All the published issues of the newsletter have been distributed to CMF's members, partner
organizations and stakeholders.
9.7. Electronic Database Management
Ms. Susan, a CECI-UNITERA Volunteer supported to design and keep data within the network of
CMF Office.
9.8. Documentation of Lessons Learned (MJ)
Documentation of Lessons Learned from the MJ project is been in place.
9.9. Variance in Performance
1. Resource Center Management
a. Draft and send request letter for free copy of documents like books, annual
reports etc.
Request letter for free copy of documents was drafted but was not been able to distribute due to
being involved in other activities this year.
b. Focus on Membership and Materials
Plan was made to focus on membership but being mostly involved in other activities this activity
remain incomplete.
2. Nepal Microfinance Market (Directory)
A format was designed to collect data from MFIs in this year. Similarly a cover letter and a contract
was also prepared but due to being mostly involved in other activities this activity remain
incomplete.
3. Documentation of best practice
a. Publication of Research Report
Lots of research work was done this year but reports of all the research remain incomplete/are in
process to finalization.
4. Internship
a. Internship announcement through website
Many interns were hired for different purposes through personal contact. An announcement for MJ Project
was done through CMF list serve but there was no response at all.
b. Intern to Support MF Directory and MF Market related activities
Intern to support MF Directory was also hired but it was for very short term due to allocate intern to
other work.
9.10. Lessons Learned (if any)


Short duration interns could not give the good result i.e. not been able to finish even one
task.
Interns hired for one activity should not allocate for another work
10. Research and Studies (RaS)
10.1. Introduction
Since microfinance is a fairly young sector, CMF helps to conduct research and studies in
this area. It is crucial that we understand which designs and products work and which do
not. Many regard microfinance as an important tool for poverty alleviation. Increased
funding for microfinance led to its rapid expansion in the 1990s; this is mainly due to its
potential for reaching and assisting low income households to meet their basic financial
needs and for empowering communities socially and economically. Most institutions
providing financial services to the poor operate with a corporate mission that includes
poverty reduction, and donors have allocated increasing amounts of funds to microfinance
on this basis. In the last five years, the number of poor clients served by microfinance
institutions has been growing at the rate of 25 to 30 percent annually. However, the
effectiveness of microfinance in realizing its potential has constantly been questioned. Due
to the lack of reliable data on the impact of direct access to financial services on income,
expenditure or wealth of poor households, it is difficult to reach definite conclusions. In
addition, because of the varying institutional arrangements of the more than 2,900 MFIs in
the country, it is hard to obtain reliable source for data comparative analysis. Evaluation of
anti-poverty effect of microfinance remains a challenge; and this in turn hinders crossregional impact studies on microfinance.
To determine whether microfinance programs/ MFIs have achieved their desired results, it
is crucial to assess the social and economic impact of microfinance. Therefore, impact
assessment, research and study have become a necessity for microfinance stakeholders.
Development partners want to ensure that their resources are used to meet their objectives
and emphasize the need for impact assessment. Therefore, CMF’s initiatives for research
and studies are aimed at understanding the impact of microfinance products and services.
CMF provides a wide range of expertise services in developing hill models, comparative
study of best practices, analysis of cost effectiveness of microfinance programs, identifying
training needs of MFIs, developing appropriate microfinance model for excluded groups,
study on women’s empowerment achieved through microfinance, MF related polices and
their critical review.
CMF has completed more than twenty research projects with the support of WIDTECH,
USAID, UNDP, ILO, CGAP, SNV, PACT, GTZ, CCO, IMPACT, SDC, IDS, WE, MEDEP,
ADRA, CECI, UNIFEM, Save the Children US, and CCA. Research programs and projected
planned from July 2010 to June 2011 are presented below.
10.2. Planned Activities
SN
1
2
3
4
5
6
Activities
Event
Impact study of Grameen
Microfinance Model in Nepal
Impact study of microfinance
services of Nirdhan
Market analysis on
Microfinance savings and loan
products in Nepal
Client perception on
microfinance products and
services
Opinion poll on federalism
Market Research on Product
Diversification (MJ)
1563
1543
1
1224
5000
1176
1st
Quarter
2nd Quarter
3rd
Quarter
4th
Quarter
7
Socio-economic Impact study
of Project (MJ) on Members
1176
10.3. Performed Activities
SN
Activities
Event
1
Market Research on Product
Diversification (MJ)
2
Socio-economic Impact study
of Project (MJ) on Members
Mapping of Financial service
provisions and Organization of
workshops with local
stakeholders (for GTZ
INCLUDE)
‘Case Study on Suitable Micro
financing options for
Disseminating tested
technologies at Project sites,
Nepal’ (for ICIMOD in Upper
Mustang)
‘Mapping of demand and
supply of microfinance for the
Target population of the
Project’ (for ILO, Jobs for peace
project)
‘Market Research on savings
product’ for IFC (Microfinance
Industry mapping in South Asia,
Micro Save)
44 Coop,
3 MFDB
and 2
FINGO
1193
3
4
5
6
1st
Quarter
2nd
Quarter
Enumerato
r assigned
3rd
Quarter
Enumerat
or
assigned
4th
Quarter
Field
survey &
analysis
Field
survey
analysis
Additional
to the
Plan,
Task ongoing
10.4. Variation in Performance
SN
1
2
3
4
5
Activities
Impact study of
Grameen Microfinance
Model in Nepal
Impact study of
microfinance services
of Nirdhan
Market analysis on
Microfinance savings
and loan products in
Nepal
Client perception on
microfinance products
and services
Opinion poll on
federalism
6
Mapping of Financial
service provisions and
Organization of
workshops with local
stakeholders (for GTZ
INCLUDE)
1.
2
Even
t
1563
1st
Quarter
2nd
Quarter
3rd Quarter
1543
4th
Quarter
Reason
NIRDHA
N
provided
this to
another
party
1
1224
5000
Project
not
approve
d
Addition
al to the
Plan,
Task
Complet
ed 2
Research Recommendations:

Forge partnerships with Cooperatives, MFDBs and Development Banks in the project area based on their
service delivery coverage and product methods;

Encourage FIs to use social and financial performance tracking, MIS and database systems in the project
area;

Provide technical assistance to the selected partner FIs in the areas of product diversification and social
inclusion plan formulation;

Enhance the technical skills and management capacity of entrepreneurship for selected youths and
disadvantaged groups;

Engage the stakeholders, financial services provides, and potential entrepreneurs through value chain
networks to establish a predictable market in the districts; and

Establish risk sharing mechanisms among clients and service providers;
7
‘Case Study on
Suitable Micro
financing options for
Disseminating tested
technologies at Project
sites, Nepal’ (for
ICIMOD in Upper
Mustang)
Addition
al to the
Plan,
Task
Completi
ng in by
July
2010
8
‘Mapping of demand
and supply of
microfinance for the
Target population of
the Project’ (for ILO,
Jobs for peace project)
Addition
al to the
Plan,
Task
Complet
ed 3

3

Organize second level meeting focusing on design of potential partnership components eg, supports
required and other terms and conditions.

Assure the MFIs for longer-term partnership in youth focused programs and activities outlined in the second
meeting.

Include social performance measurement as one of the components for new partnership with MFIs. Provide
technical support on social performance measurement techniques.

Provide exposure visits focused on high yield income generation activities to the potential youths in course of
motivational training or before they decide on suitable business widening their vision and choices.

Provide them with quality business plan training that enables them to calculate the rate of return on the
potential businesses, opportunity costs, comparative advantages and hence selection of the business with
optimum benefit.

Provide skill training required by the business the youths select. This makes them confident on their business.

Negotiate the financial institutions to design loan product targeted to the trained youths eg, based on the
training certificates. Clear vision and quality skills of the trained youth can be attractive to the MFIs in
designing new products as the success potentials in business increases.

Develop a linkage of the youth entrepreneurs with technical supports like veterinary services, market
network, and insurance services that minimizes risks and maximizes reruns on the businesses they start.

Manage for financial education to the youth through MFIs. For this, provide support on TOT on financial
education, education materials and operating costs. Operation cost should be as per negotiation with the
particular MFIs with focus on sharing the optimal cost by the MFI too.

Select TOT participants with some criterion on education, experience and motivation that can promote
professionalism after the training.
Select the MFIs with reference to their individual ranking in this report and gradually extend partnership
according to the size of beneficiaries and project requirement.
11. Policy Advocacy on Microfinance Sector (PAMS)
11.1. Introduction
The policies and regulations of microfinance incorporate a number of elements. These include
government policies, donor agency policies, the regulatory environment that applies to MFIs, and
the legal provisions for microfinance activities. Pessimists focus narrowly on micro credit rather than
considering the wider scope of microfinance, credit, deposit, money transfer, insurance, market
information and network services. Government regulation on MFIs should only complement their
self-regulation. Donors consider that self-regulation is ever more important for spontaneous
development of MFIs along healthy lines. Therefore, CMF plans to lead policy advocacy to inform,
shape and sustain MF response by reviewing MF sector policy, enabling self-regulation framework
for MFIs development and linkages of self-help groups, holding consultations with stakeholders,
disseminating best practices to influence policy, and mobilizing press and media on policy barriers
to MF sector.
11.2. Goal
Create MFI’s mission friendly microfinance policy environment in Nepal
11.3. Objectives
The objectives of this thematic component are to:
 Promote self-regulation practices among policy makers and MFIs;
 Lobby for standard accounting, auditing, and reporting system;
 Create enabling environment for linkages.
11.4. Planned Activities
Activities
Event
1st
Quarter
2nd
Quarter
3rd
Quarter
4th
Quarter
1st
Quarter
1
2nd
Quarter
3rd
Quarter
4th
Quarter
Finalization of Draft Microfinance Act.
Review of existing Micro-Insurance
Policy of other countries
Draft Micro-insurance policy
11.5. Performed Activities
Activities
Finalization of Draft Microfinance Act.
Review of existing Micro-Insurance
Policy of other countries

Event
1
Promote group meetings as discussion forum for change. Discussion on financial education,
business, and social etc. issues at the group will change their activities in the short-run and
also change their behavior in the longer run. Such discussion will be productive for quality of
individuals, institutions and hence the society.
Draft Micro-insurance policy

Progress
Micro Insurance Ad-hoc (MI Company) Meeting and minutes
Micro Insurance Company Ad-hoc Meeting was held on September 4, 2009. A committee was
formed for the company to execute the operations. This meeting decided to establish a Micro
Insurance Company soon.
11.6. Variance in Performance
N/A
11.7. Reason for Variance
N/A
11.8. Lessons Learned (if any)
N/A
12. Catalyst and Consultancy Services (CCS)
12.1. Introduction
CMF provides catalyst services to MFIs to promote the core strategic areas of CMF - micro
insurance, remittance access, rating services and other new products. It offers specialized
consulting services to the government, non-government, and international organizations in these
areas. CMF has an extensive international network of selected associate consultants in and out of
the country i.e. WEAL and CCA
12.2. Goal
Increase operational sustainability of CMF in delivering the partners with support services.
12.3. Objectives
The objectives of this component are to:
 Assist MFIs, I/NGOs, GOs, and their partners in meeting their service demands;
 Improve access of poorest of the poor households to financial services;
 Increase financial resources of CMF.
12.4. Impact
 Increased operational self sufficiency of CMF
12.5. Outcome
 CMF's consultancy service recipient MFIs, I/NGOs, GOs, and their partners are providing
effective and efficient microfinance services



Improved access of the poorest households to partner's financial services;
Built partner MFIs operationally sustainable
Increased internal financial resources of CMF
12.6. Output
 Development partners received consultancy services in the field of capacity building,
training, MSAI, impact evaluation and service product designing
 Partner MFIs formulated their business plan and financial modeling with the help of technical
assistance provided by CMF.
 Designed micro-enterprise and microfinance linkage model
 Developed SHGs mobilization model to establish linkages with SCCSLs, FINGOs and
Grameen Bank financial service model.
12.7. Planned Activities
Target
Events Clients
A
Business Development Plan
Joint consultancy
GTZ/
'INCLUDE Project" with
INCLUDE
1
GEFAK
1
Micro-insurance
technical assistance to
2
save the children
1
Save
3
Internet based lending
1
DIKI
TAF, PAF,
PLAN,
CARE,
DEPROSC,
NIRDHAN,
Provide different
different
4
microfinance consultancy 4
NGOs
Concept paper
4.1 development
6
Negotiation with funding
4.2 agency or partner
6
SN Name of Activities
4.3 Proposal preparation
1st
Target by Quarter
2nd
3rd
4th
5
12.8. Performed Activities
Target
Events
Business Development Plan
Joint consultancy
'INCLUDE Project" with
GEFAK
1
Micro insurance technical 1
SN Name of Activities
A
1
2
Clients
GTZ/
INCLUDE
Save
1st
Target by Quarter
2nd
3rd
4th
3
assistance to save the
children
Internet based lending
Provide different
microfinance consultancy
Concept paper
4.1 development
Negotiation with funding
4.2 agency or partner
4
4.3 Proposal preparation
1
DIKI
TAF, PAF,
PLAN,
CARE,
DEPROSC,
NIRDHAN,
different
NGOs
4
6
6
4
12.9. Variances in performance
Target
SN Name of Activities
Events Clients
A
Target by Quarter
1st
2nd
3rd
4th
Business Development Plan
Provide different
4 microfinance consultancy
4
Concept paper
4.1 development
6
Negotiation with funding
4.2 agency or partner
0
4.3 Proposal preparation
3
SCDC,
PGBB,
WVNI,
PLAN
13. Network for MFIs (NMFIs)
13.1. Introduction
Microfinance Development Banks (MFDBs) have formed a network. Nepal Federation of Savings
and Credit Union (NEFSCUN) serve as the network for credit cooperatives, but are restricted to
approximately 400 cooperatives. There is limited data available on all these MFIs. Information on
outreach, portfolio quality, productivity and efficiency of these MFIs is not available in published
form. CMF has been playing a minor role in informal networking by sharing data and providing
technical assistance services. In 2003 and 2007, CMF published a directory of MFIs, which contains
data of 1,848 (2003) and 2,900 MFIs (2007) including MFDBs, FINGOs and a number of
cooperatives. So far, this is the only comprehensive data on MFIs available in Nepal. Available audit
reports did not report portfolio quality and other industry indicators; this shows that auditors are not
familiar with CGAP guidelines on auditing MFIs. Network facilitation services will help MFIs to
prepare data according to industry norms, update the directory and share their learning with all
stakeholders. As an informal network administrator, CMF will also provide technical assistance to
network members not only for preparing data according to industry norms, but also for improving
MFIs’ performance in areas that are found to be weak. This strategy of working as informal Network
for MFIs (NMFIs) will help develop expertise and create demand for other strategic components of
CMF.
13.2. Goal
Improve transparency and standards in microfinance industry
13.3. Objectives
This component aims to:
 Develop a forum for Practitioners and Professionals;
 Increase transparency among MFIs;
 Enhance MF market expertise and knowledge; and
 Promote access to quality financial services for the MFIs clients.
13.4. Planned Activities
Activities
Event
1st
Quarter
2nd
Quarter
3rd
Quarter
4th
Quarter
Financial data reporting
Microfinance Summit Nepal 2010
Networking Seminar
13.5. Performed Activities
Activities
Event
Financial data reporting
Microfinance Summit Nepal 2010
Networking Seminar
1st Quarter:
1st
Quarter
2nd
Quarter
3rd
Quarter
21
1
4th
Quarter
15
1











Collection and submission of missing information of MFIs to MIX
Preparatory meetings, Steering committee meeting and web material finalization
Review activities of 2008 summit (Working committee meetings)
MF Summit Announcement
Summit Working Committee (WC) Meeting and minutes
Summit registration and action plan forms preparation,
Prepare Summit Declaration Questionnaire and circulate among Steering Members and
Summit Participants of 2008 Summit
First Steering Committee Meeting preparation, hold meeting and minutes
Micro Insurance Ad-hoc (MI Company) Meeting and minutes
Summit Venue, IEC Material design for Summit
Summit Themes finalization
2nd Quarter:

Circulate questionnaires among participating MFIs of Microfinance Summit Nepal 2008 &
Follow up
 Working, Steering and Resource Paper Sub-Committee Meetings and their minutes
 Venue finalization for the Summit
 Summit Correspondence for Invitation, Funding and other Summit related Works
 Summit Website Updating
 Letters to Resource Paper Subcommittee and Request for Resource Papers
 Summit Advertisement
 Translation of Action Plan Form of the Summit
 Prepare names of Chairs and Plenary
 Follow up for Resource Papers
 Printing of Summit Brochure in English and Nepali
 IEC Material design for Summit
 Summit Themes Updating
 Address List
 Summit communications – Meeting phone, fax, emails including list-serve
 Prepare Press Release
 Checklist preparation
3rd Quarter:








Receive and compile answers of questionnaires from among the participating MFIs of
Microfinance Summit Nepal 2008
Summit Working Committee, Steering Committee and Resource Paper Subcommittee
Meetings and minutes
Venue, brochure (English and Nepali), IEC Materials (including banner, bag, ball pen, note
book, Resource CDs, Profiles, Resource Directory etc.) design, compile and printing for the
Summit 2010
Funding Proposal Preparation, circulation and follow up
Phone calls : RPSC, WC and SC meetings, Resource Papers, Different other Meetings,
Funding, participation, Resource Persons etc
Emails: CMF List-serve, MFP List-serve, Invitation, Funding, Resource Papers, Meeting
invitations and minutes, National and international resource persons etc.
Summit Website Updating
Final Summit Themes and presenters

Final Preparation for Microfinance Summit Nepal 2010
Microfinance Summit Nepal 2010
Between February 14th and 16th, over 800 participants gathered at the Yak and Yeti Hotel in
Kathmandu for the Microfinance Summit Nepal 2010. NGOs, MFIs, Commercial Banks,
Microfinance Development Banks, FINGOs, and INGOs from Nepal and around the world met and
exchanged on various topics. Participants had the opportunity to learn more about the following
issues:







Practices in Microfinance
Value Chain Finance and Cooperative
Innovation in Products and Services
Competitiveness
Clean and Green Microfinance
Sources of Fund
Clients and Protection
The theme for the Summit was: "Microfinance for Inclusive Economic Growth". The goal of the
Summit was to improve and increase outreach to all households in need of microfinance services
by uniting microfinance stakeholders in Nepal. A joint strategic and action plan will outline the
guidelines to achieve these goals.
Dr. Harihar Dev Pant Chaired the Summit on behalf of the Organizers and the Center for
Microfinance Nepal, the secretariat, Center for Microfinance (CMF), Nepal organized the Summit
2010.
The Summit was organized by CMF Nepal, NMBA, PAF, Plan Nepal, RMDC, GTZ-Include, Plan
Nepal, Save the Children, Mercy Corps, Poverty Alleviation Fund, CECI, Department of
Cooperatives, Deprosc Nepal, Forward, JUP Nepal, Mahila Bikas, Ministry of Finance, NCDB, NPC,
NBA, Nepal Economic Association, NEFSCUN, Nepal Rastra Bank, Planet Finance, SKBBL,
Winrock International, SEJON, WCS,
The Summit was made possible through the generous funding commitments of several partners.
Among them, CMF Nepal, NMBA, Plan Nepal, RMDC, GTZ-Include, Plan Nepal, Save the Children,
Mercy Corps, Poverty Alleviation Fund, CECI, Deprosc Nepal, Forward, NBA, NEFSCUN, Planet
Finance, SKBBL, Winrock International, Nepal Investment Bank, Resonance Nepal, different
Microfinance Banks, MIFAN, MEDEP etc. The Summit was end with the Kathmandu Declaration
and decided to hold next summit in 2013.
There were altogether 683 participants and 70 resource persons in the Summit. A detail list is given
below about the Summit
SN
1
2
3
4
5
6
Description
National Participants
International Participants
Organizers
Resource Persons
Organization
Papers Presented
Female
116
4
4
7
-
Male
546
17
30
63
-
Total
662
21
34
70
281
31
Honorable Finance Minister Mr. Surendra Pandey inaugurated the Second Microfinance Summit
Nepal 2010. Secretaries of different Ministries, Heads of different development partners,
Ambassadors, Heads of MFIs and related others were invited for the inaugural ceremony.
A media center was run in SEJON's coordination for news coverage and to publish the bulletin each
day of the Summit.
At the end of the Summit three former Finance Ministers namely Dr. Ram Sharan Mahat, Mr. Bharat
Mohan Acharya and Dr. Prakash Chandra Lohani were present. All former Finance Ministers and
present guests of the closing ceremony thanked the organizers of such a fruitful events and wishes
for the success and achievement of the Declaration made by the Summit 2010.
4th Quarter:
 Post Microfinance summit related work
 Summit Report related other works
 MIX Data and Nepal Microfinance Market related works
MIX form and cover letter for both MIX and NMM was prepared and finalize and MIX form was sent
to all listed 15 MFIs for their data.
13.6.Variance in Performance
N/A
13.7. Reason for Variance
N/A
Output
1st Quarter:






Summit Report 2008 published and distributed
Summit 2010 has been announced
An invitation was forwarded to Prof. Yunus and MC Summit
Action Plan, Registration Form, Brochure, Themes, venue of the Summit 2010 has been
prepared
One Steering Committee, three Working Committee and One Micro Insurance Company Adhoc Meeting has been held
A 2 pages questionnaire developed as per the commitment and strategic for
recommendations of the declaration made by the MF Summit 2008 is in hand and was
circulated among Steering Committee, and other participating organizations of the Summit
2008.
2nd Quarter:












MF Summit Registration is updated and uploaded at the website
Two Working Committee Meetings has been held
Summit Brochure in English and Nepali was prepared
Finalized the Summit Topics
Resource Paper Subcommittee has been formulated
Summit Funding proposal has been prepared and sent to more than 70 organizations
Circulated Summit information through two list-serves
Circulated Summit invitations
MF Summit Action Plan in Nepali was prepared and uploaded at the website
Advertisement of the Summit was prepared and published twice in the newspaper.
Meetings for funding with the Governor of NRB and Nepal MF Practitioners were held
One RPSC and one NSC meetings were held
3rd Quarter:















Registration for Second MF Summit was done
English and Nepali Brochure for the Summit was finalized and printed
One Working Committee, one Press Meet, One Steering Committee Meetings and One
Briefing Meeting for the Summit Session Chairs has been held
Finalized the Summit Topics
Resource Paper Subcommittee has meet and took their responsibility honestly by provided
their feedback on those papers which were prepared on time.
A 1 page Summit Evaluation Form was developed to get feedback from the Summit
Participants and Resource Persons
As per the Request about 7 million Fund (in cash and in kind) was collected for the Summit
from 27 organizations
Different Summit materials were designed and printed for the Summit
About 90 Resource Persons were agreed to support the Summit voluntarily
About 30 Resource Papers planed to be presented in the Summit voluntarily
About 636 National and 44 International Participants registered for the Summit
Second Microfinance Summit held successfully
A joint Declaration was made
All together 31 resource papers are in hand
CMF professional staffs were provided with the opportunity to be the resource persons and
presenters
13.8. Lessons Learned (if any)
1st Quarter:



Took longer time to finalized Summit Theme and topics
Less or almost no feedback on the Summit topic from Email
Lots of follow up require to gather information through Email
2nd Quarter:








Lots of follow up required gathering the information as per the questionnaire
Difficult to get funding for the summit
Lots of follow up required to collect abstract and full paper
Separate information desk for the summit to be established for the Summit
Difficulties faced while checking the summit registration fee deposited from different branch
locations due to not mentioning the name of depositors
Difficulties faced due to showing interest to present papers lately
Wire transfer difficulties for international participants
Very few venue available to organize such events with full facilities in Kathmandu
3rd Quarter:























Difficult to get funding for the summit
Difficult to get Resource Papers on time
Lots of changing cases for the participation (Nepalese) and last minutes presser from within
the organizers as well as outsiders
Difficult to get committed amount even within the organizers
Assign Summit work to CMF staffs at least one week earlier
Arranging chairs in breakaway rooms after plenary session was time taking
The last week of Summit Preparation was very tight
There were mistakes in all most all the publications such as ID cards, Profiles, Resource
Directory etc
Very Small Summit preparation team: More people to be involved to prepare such big
events
Need more training to Summit Volunteers
Lunch Coupons distribution was difficult work
ID cards were not checked properly/No time to check them
All materials should be published at least one week before the Summit
Responsibilities were to be shared
CMF prepared other's paper which consumed the time of CMF's staff
Less last minutes follow up
More time management during the session is needed
Quality and length of paper was better than first Summit but still improvement is needed
Translation system during the Summit was very good although there were comments on the
quality of translation
A professional Cameraperson should be hired for the Summit
There was mix sound of 2 mikes of 2 rooms in a couple of sessions
Address List to be updated bi-annually by CMF
All the designing should be outsourced
14. Organizational Development
14.1. Introduction
In order to implement the operational activities of CMF key organizational management are policy
management, administrative and human resource management, financial management and
program management.
14.2. Goal
The organizational development program goal is to translate strategic vision, mission, and values
into actions with clear direction.
14.3. Objectives
 Develop and manage human resource for attaining the objectives of the CMF;
 Deliver effective and efficient services to CMF clients and partners.
 Ensure efficient, transparent, accountable and modern financial management system;
 Enhance financial discipline and add value to the CMF’s operations.
 Enhance capacity of the management team in identifying real issues and solution in the
microfinance sector development;
 Ensure effective program formulation and implementation to address the issues;
14.4. Long-term Expected Results
14.5. Impact:
 Translated mission of strategic plan of CMF into actions with efficient results
14.6. Outcome:
 Built capacity of professional human resources in achieving the program goals and CMF
objectives;
 CMF partners and clients are receiving effective and efficient non financial services from
CMF;
 Efficient and accountable financial system is in place;
 Enhanced capacity of program management team in identifying microfinance issues,
solution, program formulation and implementation.
14.7. Output:
 Administrative policy is revised and updated
 Financial policy is formulated
 Program management guideline is drafted
 Three year strategic plan is implemented
 Participated professionals in capacity development training and workshop at national level
14.8. Performed Activities
14.9. Financial Management
- Financial policy formulated
- Efficient and accountable financial system is in
placed
- Reviewed projects budget managed by CMF
- Verified and analyzed project expenses that are accounted in appropriate budget line items.
- Prepared and submitted the financial reports to the different donor as per their requirement
- Made fund request to donor in time.
- Financial monitoring to the projects implemented by CMF
- Ensured property and asset safety of CMF.
- Implemented financial policy of CMF.
14.10. Administrative & human resource management
 Made agreement and TOR of staff on annual basis.
 Made consultancy agreement with consultants/trainers for various activities
 Carried out day to day administrative activities.
 Supervised staffs in various activities.
 Organized staff meetings and keep minute records.



Organized Board meetings and keep minute records
Ensured administration, programs and other development budgets in line with operational
plan of CMF.
Participated CMF staff in various workshop, seminar & training
14.11. Program management
- Conducted review meeting
- Prepared plans for the remaining activities
- Implemented planned activities of the projects
- Formulated effective program and implemented
14.12. Policy management
- Reviewed of existing personnel policy
- Drafted personnel policy and
- It is process in the finalization
- Implemented personnel policy