Cebu Micro-Enterprise Development Foundation Inc.

Gross Loan Portfolio USD, 2010: 1.8 million

Number of active borrowers 2010: 11,715

Average loan balance per borrower USD, 2010: 155.8

Deposits USD, 2010: 699,987.4

Assets USD, 2010: 2.1 million

Number of depositors 2010: 14,751

Mission:

Believing that a better quality of life begins with a stable and rewarding livelihood, we provide financial resources and know-how to nurture financial independence and entrepreneurship.

Background and Main Challenges:

Institutional capability, outreach and client retention

Address:

35 Lopez Jaena St.

Cebu City

Cebu

6000

Philippines

Phone:

+63 32 4187234 local 705

Fax:

6332-2532380

Email:

ma [dot] theresa [dot] catipay [at] rafi [dot] org [dot] ph

Website:

www.rafi.org.ph

Main Funding Sources:

Grants

Loans

Savings

Shareholder Capital

Products and Services:

Loans

Voluntary Savings

Insurance

Products:

Productive loan only - loan terms: 3,6,9,12 mos.; weekly amortization, 20% for 6 mos interest rate, minimum first loan is P3T. Members Fund - Min savings of P50/wk for borrowers & P20/wk for savers. Life Insurance - clients pay P20/wk; P50th life insurance while P100th for accident with ... Read more

Services Provided:

Business Development Services

Looking for (Investment Types):

Capacity-Building Grants

% Operations Comprised by MF:

91 - 100

Date established:

Jan 1 1998

FYE:

31-Dec

Current Legal Status:

NGO

Regulated:

Social Performance Profile


+ Mission specifics
+ Target markets (ranked by importance)
Women	1
Clients living in rural areas	2
Clients living in urban areas	3
	4
+ Development goals (ranked by importance)
Poverty reduction	1
Growth of existing businesses	2
Development of start-up enterprises	3
Increased access to financial services	4
adequate food in the household, increased savings, acquisition of assets	5
Children's schooling	6
Improvement of adult education	7
Health improvement	8
Housing	9
Water and sanitation	10
Employment generation	11
Gender equality and women's empowerment	12
+ Poverty targets
Poor clients
Low income clients
+ Governance
+ Range of products and services
+ Financial products and services offered
+ Credit products offered
Microcredit loans for microenterprises
+ Savings products offered
Voluntary savings accounts
Compulsory savings accounts (cash collateral)
+ Compulsory insurance products required
Compulsory credit life insurance
+ Voluntary insurance products offered
Voluntary life insurance
+ Other financial products and services offered
+ Non-financial services offered
+ Enterprise services offered
Business development services
+ Education services offered
Financial literacy education
+ Health services offered
+ Women's empowerment services offered
Leadership training for women
+ Products and services targeting the poor
Products and services specifically designed to target the poor:
+ 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 remote/rural communities
Outreach to women
Portfolio quality
+ Social responsibility to the environment
This institution raises clients' awareness about environmental impacts
This institution identifies enterprises with environmental risk
+ Poverty measurement tools in use
Grameen Progress out of Poverty Index (PPI)

Partnerships

Current
Name	Relationship
MCPI	Network Affiliation

MFI Report