Agricultural value chain finance strategy and design (2012)
Value chain finance for agriculture has become a topic of interest for IFAD and
other development agencies. It is an approach that is increasingly being applied
by financial institutions and those actively participating or involved in promoting
and developing value chains. This technical note serves as a guide to the design
of appropriate programme interventions that apply VCF approaches to the
development of competitive agricultural value chains. It emphasizes interventions
that promote financial inclusiveness and the overall development goals of
governments, as well as those of technical and funding agencies..
Microinsurance product development for microfinance providers (2012)
This document is intended to aid delivery channels, microfinance providers in particular, in working with insurance companies to develop successful microinsurance products for the low-income market. A systematic new-product development process is crucial to the success of microinsurance products for many reasons, including: saving money; saving management and staff time; and generating goodwill in one’s market. This manual offers step-by-step guidance from the initial institutional assessment, all the way to roll-out and beyond.
English
Process mapping for microinsurance operations: A toolkit for understanding and improving business processes and client value (2012)
This manual is intended as an aid to microinsurance institutions. It presents a technique called ‘process mapping’ that can support institutions in self-analysis by assisting them in understanding, developing and improving business processes. Although the concepts presented may be used for many types of projects and processes, this manual was specifically developed as a supplement to Microinsurance product development for microfinance providers. The manual offers practical guidance about which processes to concentrate on, and guides the reader through the task of improving these processes, first on paper and then in practice.
English
Matching grants - technical note
Matching grants have increasingly been used in the context of international
development by multilateral and bilateral institutions, including IFAD and the
World Bank. Although initially confined to public goods investments, they are
being used more and more to finance productive assets and investments by
communities, groups and individuals. Matching grants can compensate for the
absence of suitable term and investment finance and to stimulate investment and
business activity where the intended beneficiaries operate under severe constraints
(e.g. insufficient equity) or where the innovations have higher risks or
unpredictable profits.
Weather Index-based Insurance in agricultural development: a technical guide
IFAD has been working on index insurance as part of its commitment to reduce
the vulnerabilities of poor rural smallholders and open their access to a range of
financial services with a view to improving their livelihoods. With a grant from
the Bill and Melinda Gates Foundation, in 2008 IFAD joined forces with the
World Food Programme (WFP) to launch the Weather Risk Management Facility
(WRMF). The WRMF has conducted global research in government and donor
best practice in weather index-based insurance (WII), while supporting WII pilots
in China and Ethiopia (IFAD and WFP 2010).
Outgrower schemes - enhancing profitability
Global prices for agricultural commodities have risen dramatically in recent years, making agriculture an at-tractive investment once again. This, coupled with im-provements in the overall business climate in Africa, has seen a resurgence of large-scale investment in agri-culture on the continent.
Such investment has the potential to create jobs and raise rural incomes, particularly by promoting uptake of improved production techniques and greater use of inputs. Whether that potential is realized, however, depends largely on the extent to which commercial buyers and Africa's smallholder farmers, who dominate the landscape, can discover mutually beneficial ways to work together.
Managing weather risk for agricultural development and disaster risk reduction
Nearly 1.4 billion people live on less than US$1.25 a day. Seventy per cent live in rural
areas where they depend on agriculture, but where they are also at risk from recurrent
natural disasters such as drought and flooding. Natural disasters have a devastating impact
on the food security and overall social and economic development of poor rural
households. According to data from Munich Re’s NatCatSERVICE, natural disasters account
for losses, on average, of US$51 billion in developing countries every year.
Unless well managed, weather risks in agriculture slow development and hinder poverty
reduction, ultimately resulting in humanitarian crises.
English
IFAD Rural Finance Policy
The updated IFAD Rural Finance Policy (RFP) was approved by the IFAD Executive Board in 2009. It provides guidelines to IFAD decision makers, consultants and partner organizations to ensure the development of a coherent and effective rural finance sector.
Arabic | English | French | Spanish
IFAD decision tools for Rural Finance The IFAD Decision Tools for Rural Finance are designed to provide decision-making support for country programme managers (CPMs), consultants, project staff and technical advisers who develop and implement rural finance projects. This knowledge management tool is designed to help identify and answer the questions that arise in each rural finance project, provide background on key issues, define common terms, highlight risks and opportunities, and provide references for further investigation.
English | French | Spanish
Rural finance: Small amounts making a big difference
Most of the world’s 1.4 billion very poor people live in precarious conditions, without the security of reliable income, shelter or food. Being able to save or borrow small amounts of money can make a big difference to their lives. This short document presents an overview of IFAD’s work in rural finance.
Managing risks and designing products for agricultural microfinance: Features of an emerging model
With financial support from IFAD, the Consultative Group to Assist the Poor (CGAP) conducted research on the emerging lessons in agricultural microfinance. This paper distils the ten cross-cutting features that characterize good practice in contemporary agricultural microfinance.
Emerging lessons in agricultural microfinance: Selected case studies
Building on the Emerging Model paper above, Emerging lessons presents several case studies that present more detailed insights, lessons learned and analyses on agricultural finance relevant to donors, investors, and financial institutions.
The potential for scale and sustainability
in weather index insurance for agriculture and rural livelihoods
Extreme weather events and natural disasters such as drought or floods can have a devastating impact on food security as well as the social and economic development of rural households. In recent years, an increasing number of initiatives have tested weather index-based insurance to help manage these risks in agriculture. Building on the experience of the IFAD-WFP Weather Risk Management Facility (WRMF) and the analysis of 37 index insurance programmes around the world, this paper identifies eight key principles to help weather index-based insurance reach scale and sustainability. It also includes nine case studies on index insurance programmes and outlines how donors and governments can support the sector.
English | French | Spanish
Financing Facility for Remittances: Factsheet
The Financing Facility for Remittances (FFR) has been working since 2006
with the goal of increasing the development impact of remittances and
enabling poor rural households to advance on the road to financial
independence.
Arabic | English | French | Portuguese | Spanish
Remittances: Sending money home
Remittances, provide crucial financial support for millions of people in developing countries. For years, migrants worked in the shadow of globalization while their remittances went uncounted by governments and aid agencies. Over the past 10 years, however, the true size of their contribution has come to light and this factsheet gives an overview of their importance and what IFAD’s work on remittances.
English | French
Sending Money Home to Africa: Remittance markets, enabling environment and prospects
Released during the 2009 Global Forum on Remittances, this paper outlines the main regulatory issues on remittances in the region and gives an overview of market competition in 50 African countries, which together represent 90 per cent of remittance flows to the region.
Arabic | English | French | Portuguese | Spanish
Sending Money Home: Worldwide remittance flows to developing and transition countries
In the past, remittances went uncounted and were often ignored. But today, as the scale of migration increases, remittances are recognized as an important flow of foreign currency. This report highlights the importance of rural remittances in developing countries and emphasizes their potential to stimulate local economic activity.
Arabic | English | French | Spanish
Remittances: strategic and operational considerations
Remittances are a critical flow of funds for low-income people in both the North and South. Accessing and affording these services, however, can be a challenge, especially in remote, rural areas. This paper discusses the key principles of effective service delivery, reviews donor activity on remittances, and highlights potential areas for IFAD support.
Handbook for the analysis of the governance of microfinance institutions
Beyond financial viability, successful and sustainable microfinance institutions (MFIs) have articulated a clear strategic vision and implemented transparent internal processes acceptable to all stakeholders. This handbook outlines a method to evaluate how MFIs approach their systems and organization according to six fundamental elements of good governance.
Assessing and managing social performance in microfinance
Many microfinance institutions (MFIs) have a “double bottom line”: they work toward both a social mission and financial sustainability. Assessing and managing social performance details several tools that evaluate how an MFI translates its social mission into practice, encouraging a transition from one-off impact assessments to the continuous monitoring of social performance.
Gender and rural microfinance: Reaching and empowering women, a guide for practitioners
Designed for technical partners, microfinance institutions, gender practitioners working in rural microfinance, and academic researchers in gender and microfinance, this guide focuses on rural microfinance. It describes how financial institutions can understand the needs of their clients when designing financial products by using demand-driven product development techniques and market research.
Village banks – The new generation: How IFAD helped FINCA set its village banking programmes on the road to commercialization
This paper gives an overview of village banking, as well as the fundamental benefits and constraints to commercialization among MFIs. Appropriate for readers new to microfinance, Village banks – the new generation provides an overview of the IFAD grant to FINCA and describes some of the new challenges faced by the FINCA affiliates that have undertaken the process of commercialization.
Supporting innovation in the field: The role of IFAD’s support in the sustainability and commercial transformation of FINCA’s village banking programmes
Designed for IFAD staff and other donors, practitioners, researchers, and policy makers familiar with microfinance, this technical paper describes the lessons learned at FINCA on the commercial transformation of their village banks during implementation of a three-year technical assistance grant from IFAD.
Follow IFAD on
