Microloan Organization Madina va Hamkoron

Mission:

Ensuring the population of Gorno-Badakhsan Autonomous Region access to microfinance, with the goal of improving the living conditions of their families.

Background and Main Challenges:

MLF Madina works with vulnerable populations, which lack access to bank credits due to the complication of registration and the lack of security. The main problem for MLF Madina is lack of program security, lack of audits and insufficient size of the portfolio to satisfy the needs of the clients.

Address:

ul. Lenina 136, rm. 8

Khorog

Gorno-Badakhstan Aut

736000

Tajikistan

Phone:

2-43-60

Fax:

2-49-87

Email:

ngomadina [at] mail [dot] ru

Main Funding Sources:

Grants

Loans

Products and Services:

Loans

Services Provided:

Business Development Services

Looking for (Investment Types):

Loans in Local Currency

Capacity Building Grants

% Operations Comprised by MF:

81 - 90

Date established:

Jan 1 2005

FYE:

31-Dec

Current Legal Status:

NBFI

Regulated:

Social Performance Profile


+ Mission specifics
+ Target markets (ranked by importance)
+ Development goals (ranked by importance)
+ 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 education
Housing loans
+ Savings products offered
+ Compulsory insurance products required
+ Voluntary insurance products offered
+ Other financial products and services offered
+ Non-financial services offered
+ Enterprise services offered
Enterprise skills development
Business development services
+ Education services offered
Financial literacy education
+ Health services offered
+ Women's empowerment services offered
Leadership training for women
Women's rights education/gender issues training
Counseling/legal services for female victims of violence
+ 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
Declining balance 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
+ Social responsibility to the environment
This institution raises clients' awareness about environmental impacts
This institution trains/educates clients regarding environmental improvements
This institution includes specific clauses in its loan contracts to mitigate specific environmental risks
+ Poverty measurement tools in use
Per capita household expenditure
Per capita household income
Housing index

Partnerships

Current
Name	Relationship
AMFOT	Network Affiliation

MFI Report