Feed the Future
This project is part of the U.S. Government's global hunger and food security initiative.

Institutional Development

Successfully running a microfinance institution (MFI) requires effective internal management, efficient processes, and organizational systems. USAID's Microenterprise Development office investments in this area aim to develop tools and guidelines that would enable MFIs to become more responsive to market demand in terms of product development; to encourage their efforts to plan and manage their operations strategically; to improve their capacity to measure, monitor, and analyze their performance; and to strengthen governance and accountability. Microfinance is a labor-intensive business and human resource development remains a key challenge for MFI growth; this is an area deserving further intervention and analysis. The resources in the sections below discuss the key areas of microfinance organizations and the systems necessary to build and grow sustainable microfinance institutions.