Equity Building Society's Market-led Approach to Microfinance

This paper talks about how Equity Building Society, a microfinance institution (MFI), changed its work approach from being product-driven to a client-responsive and market-led approach, thus making a positive impact on its qualitative and quantitative indicators.

The author attributes the following strategy changes as being responsible for Equity Building Society's success:

• Mobilizing savings;
• Initiating term deposits;
• Targeting microfinance specifically as a sector;
• Recruiting qualified and experienced personals;
• Customizing microfinance products.

The article advocates that demand led strategies, coupled with focus approach, leads to substantial increase in financial indicators such as:

• Profit;
• Deposit based;
• Loan portfolio;
• Investment portfolio;
• Asset base.

The paper also discusses the future targets of the organization, and concludes with the financial statement of the last financial year.