Ms. Salma Yeasmin, coordinator, executive office attended a training in Malaysia, Kuala Lumpur from 25th June to 29th June. Topic was ‘Financial Analysis for Microfinance Professional in Asia’. There were around 15 participants from Indonesia, Pakistan , Malaysia and other Asian countries.
In order to create a sustainable institution, managers of microfinance institutions need to have the skills to analyse the financial health of their MFI. This one week training course for microfinance institutions comprised of an understanding of the different tools used by microfinance institutions, what they mean, and how they can be used to keep track of an institution’s financial performance over time. Participants were also taught on how to format financial statements for decision making, adjust for inflation and subsidies, measure portfolio quality, asset/liability management, efficiency and productivity. On completion of the course, participants had a greater understanding of the principles and methods for analysing microfinance institutions, and why this is important for sustainability.