China Foundation for Poverty Alleviation

Gross Loan Portfolio USD, 2010: 59.0 million

Number of active borrowers 2010: 67,241

Average loan balance per borrower USD, 2010: 878.2

Deposits USD, 2010: 0.0

Assets USD, 2010: 62.6 million

Number of depositors 2010: 0

Mission:

1)Provide micro loan to the poors 2)Improve the poors' capacity to self-development 3)Reach MFI's sustainablility

Background and Main Challenges:

CFPA is the largest NGO which works in the field of poverty reduction. CFPA started Microfinance program since 1996, and now has 10 microfinance branch offices in rural China. CFPA is trying to transform the Microfinance Department to an independent MFI, and now CFPA is also facing the fast ... Read more

Address:

5th floor, South Building, 36 Shuangyushu Xili, Haidian District

Beijing

100086

China, People's Republic of

Phone:

0086 10 82872688 107

Fax:

0086 10 62526268

Email:

liudw [at] fupin [dot] org [dot] cn

Website:

http://www.fupin.org.cn

Main Funding Sources:

Grants

Loans

Products and Services:

Loans

Training and Consulting

Services Provided:

Business Development Services

Looking for (Investment Types):

Donations

Guarantees

Capacity Building Grants

Equity investments

% Operations Comprised by MF:

91 - 100

Date established:

Mar 13 1989

FYE:

31-Dec

Current Legal Status:

NGO

Regulated:

Social Performance Profile


+ Mission specifics
+ Target markets (ranked by importance)
Clients living in rural areas	1
Women	2
Clients living in urban areas	3
Disaster Victims	4
+ Development goals (ranked by importance)
Increased access to financial services	1
Poverty reduction	2
Growth of existing businesses	3
Development of start-up enterprises	4
Employment generation	5
Gender equality and women's empowerment	6
Housing	7
+ Poverty targets
Very poor clients
Poor clients
Low income clients
+ Governance
Has trained members of its board on social performance management
Has a formal board committee that monitors social performance
+ Range of products and services
+ Financial products and services offered
+ Credit products offered
Microcredit loans for microenterprises
Microcredit for household needs/consumption
Loans for agriculture
Housing loans
+ Savings products offered
+ Compulsory insurance products required
+ Voluntary insurance products offered
Voluntary credit life insurance
+ Other financial products and services offered
+ Non-financial services offered
+ Enterprise services offered
+ Education services offered
Financial literacy education
Agricultural technical training; Information technology training
+ Health services offered
+ Women's empowerment services offered
+ Products and services targeting the poor
Products and services specifically designed to target the poor:	Information technology training; Agricultural technical training
+ Social responsibility to clients
+ Client protection principles in use
The loan approval process requires evaluation of borrower repayment capacity and loan affordability. Loan approval does not rely solely on guarantees (whether peer guarantees, co-signers or collateral) as a substitute for good capacity analysis.
Internal audits check household debt exposure, lending practices that violate procedures including unauthorized re-financing, multiple borrowers or co-signers per household, and other practices that could increase indebtedness.
Productivity targets and incentive systems value portfolio quality at least as highly as other factors, such as disbursement or customer growth. Growth is rewarded only if portfolio quality is high.
Prices, terms and conditions of all financial products are fully disclosed to the customer prior to sale, including interest charges, insurance premiums, minimum balances, all fees, penalties, linked products, third party fees, and whether these can change over time.
Staff is trained to communicate effectively with all customers, ensuring that they understand the product, the terms of the contract, their rights and obligations. Communications techniques address literacy limitations (e.g. reading contracts out loud, materials in local languages).
Acceptable and unacceptable debt collection practices are clearly spelled out in a code of ethics, book of staff rules or debt collection manual.
The organization's corporate culture values and rewards high standards of ethical behavior and customer service.
A mechanism to handle customer complaints is in place, has dedicated staff resources, and is actively used. (Suggestion boxes alone are generally not considered adequate.)
Customers know how their information will be used. Staff explains how data will be used and seeks permission for use.
+ Cost of services to clients
Flat interest method
+ Social responsibility to staff
+ Human resources
Protection at work (safety, anti-harassment)
Equality (anti-discrimination, equal pay for men and women with equivalent skill levels)
+ Basis of staff incentives related to social performance
Ability to attract new clients from target market
Outreach to women
+ Social responsibility to the environment
This institution raises clients' awareness about environmental impacts
This institution includes specific clauses in its loan contracts to mitigate specific environmental risks
This institution identifies enterprises with environmental risk
+ Poverty measurement tools in use

Partnerships

Current
Name	Relationship
Kredits	Vendor

Former
Name	Relationship
Mercy Corps	Network Affiliation

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