MFI Report

Backgound: Access to financial services specially for poors in Nepal is very limited. And, such access is further limited in western development region of Nepal. In this background this bank has been established during 1994. Challenge: The main challenge for any financial program in Nepal including micro-financial service is of law and order and security. The insurgents not only loot the financial institutions, they coerce financial institutions to decrease the interest rates to those institutions that serves poor. Some other challenges include competition among the MF banks, low staff productivity because of inadequate training opportunities to staff and poor infrastructure. Despite these challenges because of the growing financial service needs of the poor and the solidarity demonstrated by the clients, to a large extent, the challenges are overcome. Hide