Working Papers

Biggest encounter with risks in digital money

The thought that your debit card information has been compromised and someone at a distant land is using it to make payments is horrifying enough. This would shatter your faith in the banking systems, contemporary facilities of ATMs, online platforms which have become the means of financial transactions in the modern world. This nightmare just […]

Way Ahead for Small MFIs in India

Way Ahead for Small MFIs in India

MFIs that have reached a minimum scale and are in a position to generate surpluses, are well positioned to take advantage of the opportunities that have emerged in recent times. However, for MFIs which are small – with a clientele of less than 50,000, the opportunities have also brought several challenges. Well capitalized MFIs which […]

Negative media reporting against MFIs – Reputational Risk Event for the Microfinance Sector

M2i considers negative media reporting against MFIs as a reputational risk event for the Microfinance sector. In January 2016, two reports appeared in the India national media highlighting suicide of MFI clients and questionable practices of MFIs. M2i’s note discusses key issues highlighted in the media reports and recommendations for the MFIs. Reputational Risk Event […]

Significant Risk Events in Indian Banks in the Recent Past

Risks are integral part of banking operations. There have been three clear instances where Indian Banks have seen materialization of risks in recent months. This paper presents these events and important lessons in risk management from these. Click on the link below to read the document. Significant Risk Events in Indian Banks in the Recent […]

Mudra Bank: Concept and Offerings

The Hon’ble Finance Minster, in his budget speech on February 28, 2015, had proposed to create Micro Units Development Refinance Agency (MUDRA) Bank. The bank was finally launched on April 8, 2015 by the Hon’ble Prime Minister. The bank has been created specifically to finance a very large number of microenterprises in our country which […]

Code of Conduct Assessments (COCA): Evolution and Growing Importance

M2i maintains that for micro-finance to sustain, sound operational management practices, which strongly emphasize on ethical behavior and responsible lending are imperative. In order to assess adherence to ethical operational practices, M2i pioneered Code of Conduct Assessments (COCA), performing the first of these assessments in the microfinance sector across the globe. Click on the link below to […]

External evaluations: How critical are they?

External evaluations are inherently important for organizations implementing projects or programmes. Evaluation by external agencies bring value that cannot be gained through operational monitoring or internal audits done internally by the organization. Among other benefits, external evaluations help in building investor and funder confidence and challenging entrenched practices which are often not pointed out by […]

M2i discussion note: Independent Directors can help MFIs in Sustainable Value Creation

MFIs where decision making ensures that expectations of stakeholders are met to a reasonable extent, and stakeholder concerns are adequately addressed, can be considered to be moving along a path that leads to sustainable value creation. Independent Directors, ie, those Board members who do not represent the executive-management, or investors and lenders, can play a […]