Microfinance banking

Economist and Nobel Prize winner, Milton Friedman once said that “the poor stay poor, not because they're lazy, but because they have no access to capital.” Till date, a large number of poor people remain outside the formal banking system. The role of microfinance as a sector is to reach this set of the population that remains ‘unbankable’ or ‘unbanked’, and make financial services accessible to them. And indeed, microfinance is fast emerging as a powerful instrument for poverty alleviation in growing economies.

Investors now have high expectations from Micro Finance Institutions (MFIs) considering the growing incidence of successful small businesses. This is a concern because owing to the inherent business model of microfinance providers, it gets difficult to contain costs and maintain efficiencies as the number of customers increases. One way to solve this is through the selection of the right microfinance technology that is scalable, reliable and affordable, and at the same time, allows MFIs to focus on their core business areas.

Craft Silicon, in recognition of the operational problems, the bright prospects and the opportunities, has developed Bankers Realm Core Microfinance Solution (BR MFS) and worked at its further development as

an answer to the anticipated future needs.

The processes used to manage information as it flows in, out and within a MFI is of critical importance. With the growing need of small income earners to access organized funds, MFIs now need to monitor the growing number of customers with small transaction values. BRMFS is able to manage such minute customer records and portfolios, and also help MFIs manage their profits and analyze the risk factors. Craft Silicon’s MFI offering also provides its partners with alternate channels such as POS, mobile banking etc. that allow the businesses to provide online, real time and secure services to customers even in remote areas using the branchless banking concept. Coded to offer functionality, power and flexibility, BRMFS enables an organization to achieve high productivity, more efficient customer service and greater profitability.

As is the philosophy at Craft Silicon, we believe that the most sophisticated system is the one that is simple to use. We want our partners to take advantage of all that BRMFS has to offer and we work closely with our partners to witness the changing trends so that we too can anticipate and continually innovate.

Source: craftsilicon.com

Category: Payday loans

Similar articles: