Micro Enterprise Development Network

Gross Loan Portfolio USD, 2010: 2.5 million

Number of active borrowers 2010: 10,600

Average loan balance per borrower USD, 2010: 231.7

Deposits USD, 2010: 605,335.6

Assets USD, 2010: 3.5 million

Number of depositors 2010: 10,600

Mission:

To provide gender-sensitive microfinance services to the economically active poor in Uganda for the enhancement of socio-economic development.

Background and Main Challenges:

MED-Net currently offers 3 Loan Products; Commercial Business Loans, Agricultural Loans and Education Loans. These loan products are available to customers through both individual and community bank lending methodologies.

Address:

Plot 256 BOMBO Rd, Makere Kavule PO Box 24751 Kampala

Kampala

Uganda

Phone:

256-414-541134

Email:

stephen [dot] nnawuba [at] mednet [dot] co [dot] ug

Main Funding Sources:

Grants

Loans

Products and Services:

Loans

Training and Consulting

Services Provided:

Business Development Services

Education

Looking for (Investment Types):

Loans in Local Currency

Loans in US$

% Operations Comprised by MF:

91 - 100

Date established:

Oct 1 1996

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
+ Development goals (ranked by importance)
Increased access to financial services	1
Poverty reduction	2
Employment generation	3
Children's schooling	4
Gender equality and women's empowerment	5
Growth of existing businesses	6
+ 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
SME loans
Loans for agriculture
Loans for education
+ Savings products offered
Compulsory savings accounts (cash collateral)
+ Compulsory insurance products required
Compulsory credit life insurance
Compulsory agricultural insurance
+ Voluntary insurance products offered
+ Other financial products and services offered
Mobile banking services
Savings facilitation services
+ Non-financial services offered
+ Enterprise services offered
Business development services
+ Education services offered
Financial literacy education
+ Health services offered
+ Women's empowerment services offered
+ Products and services targeting the poor
Products and services specifically designed to target the poor:	Agricultural Loan Product; Financial Literacy Education
+ 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).
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
+ Social responsibility to staff
+ Human resources
Benefits (medical insurance, pension contribution)
Protection at work (safety, anti-harassment)
Equality (anti-discrimination, equal pay for men and women with equivalent skill levels)
HIV & AIDS; Conduct & Dress; Fraud; Disciplinary Procedure & Action; Separation; Communication; Complaints & Grievances; Leave; Training; Recruitment, Selection & Appointment; Evaluation, Grading & Description; Attendance & Hours; Reward & Recognition
+ Basis of staff incentives related to social performance
Ability to attract new clients from target market
Portfolio quality
Portfolio volume growth
+ Social responsibility to the environment
+ Poverty measurement tools in use
USAID Poverty Assessment Tool (PAT)

Partnerships

Current
Name	Relationship
AMFIU	Network Affiliation
INAFI	Network Affiliation
MicroRate	Rating
Oikocredit	Funding
Sigma Data & Computers	Vendor
The Rating Fund	Partner
Vision Fund	Network Affiliation

MFI Report