Mali Financial Sector Assessment Program : The Microfinance Sector
While the microfinance sector is extensively used in Mali (about 1 million members often based in rural areas), the sector has experienced a major crisis for over six years. The clean-up of the microfinance remains the most pressing priority for th...
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| Format: | Report |
| Language: | English en_US |
| Published: |
Washington, DC
2016
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| Online Access: | http://documents.worldbank.org/curated/en/2016/05/26361596/mali-microfinance-sector-technical-note http://hdl.handle.net/10986/24270 |
| Summary: | While the microfinance sector is
extensively used in Mali (about 1 million members often
based in rural areas), the sector has experienced a major
crisis for over six years. The clean-up of the microfinance
remains the most pressing priority for the Malian
authorities and the adoption of the emergency plan for the
microfinance sector is a key milestone to cleaning up the
sector. While the plan addresses the main issues
(restructuring or liquidation not viable MFIs; depositors
indemnization mechanism; consolidation of active MFIs;
reform and strengthening of the national supervisory body),
but the implementation remains very challenging in a context
of fiscal tightening and donor’s reluctance to intervene. It
is only the Government of Mali that can restore confidence
in the sector, and only by undertaking the recommendations
highlighted in the emergency plan. One of the most sensitive
issues will be to manage the liquidation of a few important
distressed institutions together with the indemnization of
their depositors. |
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