Public Private Partnership in Microfinance Building Sustainable - - PowerPoint PPT Presentation

Ianuarie 2011

Public Private Partnership in Microfinance

Building Sustainable Microfinance in Europe” EMN’s 9th annual conference November 9th 2012, Bucharest- Romania

WS’s objective

• To introduce the tools designed to assist in

building successful Private Public Partnerships (PPPs) in microfinance.

• To provide information, tips and answers to

questions PPPs from best practice case- studies.

• The workshop is designed to spark and

rekindle MFIs and stakeholders of the sector’s interest in Partnerships in microfinance.

• I. What a partnership is and

What it is not;

Partnership is defined as: “a relationship where two or more parties, having compatible goals, form an agreement to do something together”.

Similarities of partnerships

• share authority;
• have joint investment of resources;
• result in mutual benefits; and
• share risk, responsibility and

accountability.

Formal vs Informal Partnerships

Partnerships should be flexible, they often require some official or formal agreement.

• what the partnership is about;
• who is doing what; and
• what outcomes are expected

Specifics of PPPartnerships in MF

Is Financial inclusion one of the key elements of PPPs in microfinance?

• The social responsibility of financial institutions is of

particular importance immediate societal impact, promote job creation as a result of a suitable credit policy.

• National, regional and local public authorities joined

forces with the MF sector to reveal joint lines of action allowing for alignments and replications within the European Union.

The PPPartnerships in MF promote social economy-related activities

• r

facilitate a socially responsible system for managing public funding

• r

funding of a public nature

• II. What are the conditions that

support partnerships;

• having common interests or concerns
• understanding your partnership environment,
• understanding what a partnership involves, and
• being open to doing things differently.

• III. Partnership process and how

to apply it;

Stage 1: Initial Development

• 1. Vision – creating a common picture for the future.
• 2. Goals – identifying desired outcomes for the

partnership.

• 3. Understanding the Situation - assessing the current

situation.

• 4. Commitment - confirming the desire to work together
• 5. Implications - considering the impact of the

partnership

• III. Partnership process and how

to apply it;

Stage 2: Making It Happen

• 1. Action Plans - identifying the specific steps that are

required to reach the goals of the partnership.

• 2. Resources - identifying the resources that are

required and how they will be obtained.

• 3. Roles and Responsibilities - identifying who will do

what.

• 4. Capacity Building - building upon the partnership’s

strengths and addressing areas of weakness.

• III. Partnership process and how

to apply it;

Stage 3: Accountability and Future Directions

• 1. Evaluation - determining the success of partnership

activities.

• 2. Future Directions - maintaining momentum and

determining what needs to happen next.

• 3. Revision, Renewal and Closure - identifying how to

adjust and move on or end the partnership.

Factors of success –PPP in MF

• 1. Defining well the action supported by the

partnership: meet a need

• 2. Defining the motivations underpinning the

implementation of the partnership

• 3. Determining the expected outcome of each type of

partners

• 4. Writing partnership agreements
• 5. Exchanging information on the completion of the

MF action

• 6. Assessing the partnership

For more information

JASMINE Help Desk http://www.european-microfinance.org European Microfinance Network http://www.european-microfinance.org/europe-microfinance_en.php

Thank you!

Maria Doiciu Eurom Consultancy & Studies Calea Plevnei 46-48, FPP Entrance, 2 nd fl. Bucharest, sector 1, Romania www.eurom-consultancy.ro E-mail: office@eurom-consultancy.ro