Demonstrating the Impact of Responsible Inclusive Microfinance
Despite the immense scale of the global microfinance industry and the millions of people it touches across the world, there is a lack of evidence and agreement about what constitutes best-in-class comparable client-level impact performance for Microfinance Institutions (MFIs). Traditional impact-assessment methods are expensive and time consuming, whereas basic ‘output’ metrics of access and people reached do not necessarily represent improvements in well-being of people living in poverty. Today, as the COVID-19 pandemic tests the resilience of millions of vulnerable households, it has become urgent that the microfinance industry listen to their clients' voices while developing strategies to help people recover from the crisis and rebuild their livelihoods.
In 2019 and 2020, BRAC Microfinance conducted a series of impact surveys, in partnership with our partner 60 Decibels using the Lean DataSM methodology. This regular annual exercise complements our Social Performance Management and Client Protection initiatives, and enables us to set targets and develop strategies to reach more people living in poverty, improve lives and livelihoods, and build resilience of the households we serve. Our first Impact Report provides an overview of the results and demonstrates our approach to measurement and management of client-level outcomes and impact.
During the webinar “Demonstrating the Impact of Responsible Inclusive Microfinance: Clients Tell a Story of Resilience and Growth”, BRAC will share the key findings from the Impact Report, our framework for measurement and management of social outcomes, and initiate a dialogue between practitioners and investors on how to take an impact-focused approach for investing in and delivery of financial services for people living in poverty while keeping clients’ voice at the center of everything.