MFIN welcomes the policy announcement for the microfinance sector announced by the RBI on tuesday.
“ The guidelines give much needed regulatory clarity to the microfinance sector and represent a big step forward in putting the microfinance industry on the path to recovery”, said MFIN CEO, Mr. Alok Prasad.
“RBI has taken a balanced and calibrated approach towards the evolving policy framework for the sector. The role played by Microfinance Institutions in promoting financial inclusion is increasingly being recognized and the need to support the microfinance industry is therefore a clear policy imperative. MFIN looks forward to a continuous process of dialogue with the RBI and evolution of a comprehensive regulatory framework for the microfinance sector”, added Mr. Prasad.
MFIN is the premier representative body for the NBFC-MFI sector and has been involved with a number of initiatives promoting transparency, client protection and responsible lending.
Micro Finance Institutions Network (MFIN) is the self-regulatory organization (SRO) for the Indian Microfinance industry. It was established in October 2009 with the sole purpose of promoting the key objectives of Microfinance in India and establishing guidelines for responsible lending and client protection in the Microfinance industry. MFIN seeks to work closely with regulators and other key stakeholders to achieve larger financial inclusions goals through microfinance and to be an engine of inclusive growth for India. Currently MFIN member organizations consist of 46 of the leading NBFC/ MFIs whose combined business constitutes over 80% of the Indian microfinance sector.
MFIN under the Leadership of Mr. Vijay Mahajan (MFIN President & BASIX Chairman) and Mr. Alok Prasad (CEO of MFIN) aims to provide inclusive financial services to 100 million low income households by the year 2020. Since its inception MFIN has undertaken several initiatives to promote financial inclusion and greater transparency in the industry. A brief overview of some of the key initiatives is given below.