The project provides technical assistance for the Microfinance Institutions in Mindanao, Philippines in order to reinforce the financial access to the small-scale farmers who have been left out from the financial services.
This project is commissioned by JICA through its grassroots technical assistance program. It aims at building the organizational capacity of microfinance institutions (MFIs) in the Philippines, especially targeted two MFIs in Mindanao, one of the poorest areas in the Philippines.
Traditional microfinance institutions offer financial product mainly targeted to the poor households involves in commercial activities, not agriculture. The project aims to improve livelihood of the small-scale farmers in Mindanao through expanding financial access to the targeted population.
PFJ is operating the project together with its counterpart the Mindanao Microfinance Council (MMC). MMC is a microfinance association which has been working to further the development of MFIs in Mindanao since 2004. After the project ends, MMC will transfer the technical assistance gained from this project to other MFIs in their network in Mindanao on their own.
The main components of the project are to assist MFIs to:
PFJ selected two MFIs at the end of 2011: Aakay Ang Milamdec Microfinance Foundation, Inc. (an NGO based in Cagayan de Oro) and Bansalan Cooperative Society (a cooperative based in Davao del Sur).