ProsperA’s Objectives

Members

Activities

Thanks to contributions of ProsperA members (practitioners, investors and donors), CERISE has collected the results of 230 SPI assessments. CERISE analyzed the results of 126 MFIs to understand the links between financial and social performance. This analysis confirms what many studies have suggested based on incomplete data: social performance and financial performance are compatible. Targeting the poor clearly implies higher costs for MFIs. However other aspects of social performance—namely geographical targeting when associated with participatory models, well-adapted loan technologies and social responsibility—are positively correlated with good operational and financial performance. The correlation is even stronger for large MFIs, which benefit from economies of scale.
The full results are published in the last issue of the MicroBanking Bulletin (N°19).

The latest innovation in social performance measurement is to look not only at the performance of the microfinance institutions, but also to undertake a social audit of private financiers. Oikocredit, a member of ProsperA, by turning the examination on itself, is the first financier to collaborate with Cerise in the on-going development of the social audit tool.
The social audit report reveals that Oikocredit has a strong social mission and vision, committed human resources, trained staff and is actively pilot-testing innovative tools for social performance assessment. Using the outcome from this audit, Oikocredit can update its social performance procedures and further develop its outreach strategy, products and services. Fulfilling its mission means both investors and clients can benefit from the social and financial empowerment of an Oikocredit loan.
CERISE will continue these exchanges and audits with microfinance investment vehicles in 2010 to encourage socially responsible investment in microfinance.

During the last European Microfinance Week (Nov 24-26 in Luxembourg), different sessions have discussed social performance, social responsibility, and consumer protection. These subjects are seen as important issues now by the practitionners.
In particular, among ProsperA members, Mila Mercado-Bunker, director of ASHI in the Philippines, and Teshome Dayesso, director of Buusaa Gonofaa in Ethiopia have shared their concrete experiences on Social Performance Management. They have enthousiastically shown how integrating these approaches in the daily operations of their MFI has allowed to better serve their clients, and strengthen the links with them.