The document discusses REDCAMIF, a network of microfinance institutions in Central America and the Caribbean. It provides background on REDCAMIF's mission to promote sustainable microfinance services and improve quality of life. The organization's strategic objectives include strengthening national networks, promoting competitiveness and sustainability of MFIs, and increasing access to financial services for families in poverty. REDCAMIF implements various projects and lines of work to create a sustainable environment for microfinance, such as regulatory frameworks, microinsurance, technology platforms, financial education, and programs for financial inclusion. Finally, the document reviews the 2013 Global Microscope rankings of microfinance business environments, which found that Peru, Bolivia, and Pakistan had the most favorable regulatory frameworks and institutional

1. The Role of National and Regional
Networks in creating a Sustainable
Environment for MIcrofinance
Reynold O. Walter P.
Founder of REDCAMIF
Manila, Philippines, October 2013

2. Background
Antecedentes:
The Central American and the
Caribbean Microfinance Network,
REDCAMIF, is a private entity,
made up of Associations and
institutions
specialized
in
Microfinance of the Isthmus of
Central
America
and
the
Caribbean.
The purpose of REDCAMIF is to
facilitate
assistance
to
the
promotion and development of
Microfinance Institutions (MFI s)
and to the permanent sustainability
of financial services, addressed to
the MIPYME sector in the Region.

3. MISION
REDCAMIF aims to consolidate the microfinance
industry in Central America and the Caribbean,
through
union
representation,
institutional
strengthening, the pursuit of sustainability of
Networks, and the creation of strategic alliances, in
order to contribute to improving the quality of life of
men and women living in poverty.
VISION
To be the representative organization of the Central
American and the Caribbean Microfinance Network,
with leadership worldwide, which promotes high
standards and implements financial, social and
environmental performance, based on principles,
ethical values and gender equality.

4. Objetivos Estratégicos:
STRATEGIC OBJECTIVES
1. Positioning, Incidence and Strengthening of the
REDCAMIF System.
2. Promote products and services competitiveness and
sustainability of Microfinance Institutions MFI s,
through National Networks in the Isthmus of Central
America and the Caribbean.
3. Promote equal access to families in poverty, to
innovative financial and no financial products and
services, to improve their quality of life.

5. REDCAMIF COVERAGE

6. ORGANIZATION CHART REDCAMIF
General
Assembly
External Audit
Board of
Directors
Working
Committee
Gender
GDS
Technical Executive
Committee
Technical
Coordinator
Rural
Finances
Executive
Direction
Working
Committee
Micro
Insurances
Assistant
AdministrativeFinancial
Coordinator
Program
Coordinator
National Microfinance Network (7)
MIcropensions

7. REDCAMIF: Strategic Lines and Projects that promote a
Sustainable Environment for Microfinance
Regulatory Framework and Public Policies
To look for incidence in public polices, legal and regulatory
frameworks, international treaties, so that Microfinance sector
is benefited and strengthened, in the Central American
Isthmus.
Micropension Programs
Pension fund for micro and small entrepreneurs who do not
receive social security benefits in their countries, so that their
quality of life improves, when they reach retirement age.
Micro Insurances
System that uses the insurance mechanism and whose
beneficiaries are people excluded from formal systems of
social security protection; particularly, informal economy
workers and their families.

8. REDCAMIF: Strategic Lines and Projects that promote a
Sustainable Environment for Microfinance
Microfranchise
Microfranchise is an innovative business model that promises to
generate economical opportunities within pyramid populations, who
do not necessarily possess a great entrepreneur spirit, or technical
abilities; however, they could run a successful business.
Microleasing
It is a small-amount leasing contract that allows a financial institution
to acquire specific equipment, previously requested by a customer
selected. The main aspect of this contract is that the legal property
of the item is separated from its economic use.
Microfactoring
They are factoring operations for small producers that allow them to
discount the value of their product sales invoices to paying
customers, so that the product gets liquidity immediately.

9. REDCAMIF: Strategic Lines and Projects that promote a
Sustainable Environment for Microfinance
Collecting Services
It a service provided by Microfinance Network Institutions, when risk
portfolio has reached the limit days permitted by an Institution; therefore,
diverse cases are grouped in geographical zones where some collection
agents visit delayed payment customers from various organizations, from
their Network.
Credit Bureaus
It is a private institution, independent from financial, commercial and
governmental institutions that pursue to provide information concerning
people obligations towards their credits, to affiliated companies.
Technology Platforms Unified for Microfinance
Regional and National Networks have a great opportunity to perform
business increasingly, regarding technology services, identifying possible
outsourcing alliances that provide opportunities to their institutions, so
that they can specialize in microfinance products and services.

10. REDCAMIF: Strategic Lines and Projects that promote a
Sustainable Environment for Microfinance
Second-Floor Funds (SICSA)
Second-Floor Banking is a group of financial institutions that do not assist
either directly or personally to the customers of the financial system, but
they act as intermediaries between them and the financial institutions in
order to manage resources.
Financial Education
Its objective is to form and train technicians, personnel, professors,
Microfinance staff, training entities, academic sectors; among others, who
work with groups of entrepreneurs for the development of the MIPYMES
in every country.
Rural Finance and Environment
They are all rural services that can be offered from a Network of
Microfinance, focused on strengthening Microfinance operations of an
Institution and the can be: innovation of rural and environmental finance
services, rural and environmental credit funds, technical assistant fund to
customers, knowlege management and financial and environmental
education to customers.

11. REDCAMIF: Strategic Lines and Projects that promote a
Sustainable Environment for Microfinance
Financial Inclusion
It is the sustained access and use in equality of conditions for the
population, to a group of financial products and services; including
credit, deposit accounts, insurances, pensions and payment services,
among others.
a) Non bank correspondents
Distribution channel that allows credit institutions to provide
Microfinance services, under their full responsibility, through outsourcing
(commerce), with the purpose of reaching those regions where
Microfinance service is limited.
b) Remittances
Resource transferences from people abroad, mostly from the United
States but also from any place in the world to Latin America, sent to
people living in their native country. These resources may come from
family or friends.
c) Mobile Banking
Service provided to customers from their financial institution, to have
access to information from transactions, through their cellular
telephones.

12. REDCAMIF: Strategic Lines and Projects that promote a
Sustainable Environment for Microfinance
d) Conditional Transfer
Delivery of transference of economical and non economical
resources to families living in poverty or extreme poverty, who have
one or more underage children, upon condition that they may
improve the quality of their human capacities. In some programs,
there are other categories of support: non employed adults, people
with disabilities, and elderly people; which allows families without
underage children, to be beneficiated.
e) Social Interest Housing
It is defined as a housing solution with the purpose of solving the
situation of the lack of houses in the most socially deprived areas,
where families remain in compelling economical conditions.

13. Microfinance 2013 Global Microscope
Communication The Economist, Intelligence Unit, London, July 2013
With the support of FOMIN, BID, CAF, CIF/ACCION, and CITI Microfinance
Global Microscope –Business Environment in Microfinance 2013
Findings after analyzing Microfinance environment in 55 countries of the world.
Categories of Analysis:
Regulatory Framework and Practice




Microcredit portfolio regulation and supervision
Creation of regulated/supervised microcredit institutions
Creation / operation of non regulated microcredit institutions
Regulation and supervision capacity of Microfinance (including credit
and other services).
 Regulatory Framework for the fundraising of deposits.
Institutional Framework for Support




Accounting Transparency
Protection to clients: transparency of prices
Protection to clients: resolution of risk central conflicts.
Regulation and implementation of financial transactions through
agents
 Adjustment Factor: Stability
 Political commotions affecting Microfinance
 Political stability

14. Scores of the first 10 countries of the
Microfinance Global Environment
Sum of Scores from Categories 0 to 100, where 100 is the most favorable

15. 10 better qualified Countries
Global Microscope – Business Environment for Microfinance 2013-
10 Dominican
Republic
4 Philippines
8 El Salvador
7 Colombia
1 Peru
2 Bolivia
CONTINENT
3 Pakistan
COUNTRIES
LATIN AMERICA
5
ASIA
3
AFRICA
2
8 Uganda
5 Kenya
6 Cambodia

16. Mayan Civilization!!
Thank you for your attention!!!
Reynold O. Walter P.
rwalter@fafidess.org
Manila, Philippines, October 2013