How MFIs can attract foreign direct investments

Regional microfinance institutions must invest in resource mobilisation and financial sustainability to attract more investors, credit experts have said. The credit institutions must also anchor their vision to socio-economic factors and ensure good track records to be able to tap into regional integration. The experts were speaking at the closure of the East African Microfinance CEO’s roundtable meeting in Kigali yesterday. It attracted more than 100 micro finance executives. Felistas Coutinho, executive director, Tujijenge microfinance Ltd Tanzania and Uganda, said mobilising people to buy shares and financial sustainability is key to attracting corporate investors. “You must have a variety of investors and products to remain profitable,” he said. Harriet Mulyanti, Chief Executive Officer, Stremme Microfinance East Africa Ltd, said there is need for MFIs to draft business proposals that champion both institutional and investors agenda. “It’s important that we package information to suit both the microfinance and the investor interests,” she said. She called upon MFIs to acquire performance monitoring skills to attract investors. Brain Mc Connell, regional director Micro- credit Ratings International Ltd, urged MFIs to embrace credit rating to give confidence to investors. “Embracing credit rating provides a comprehensive picture of the MFIs to internal and external stakeholders,” he said. editorial@newtimes.co.rw

News

How MFIs can attract foreign direct investments