FUNDESER Microfinance Credit Risk Management and Process Improvement, 2013-2014
In July 2013 LFS was contracted by IFC to assist FUNDESER, the second largest MFI in Nicaragua, to improve its credit risk management systems and processes. The goal of the project was to increase access to financial services for micro entrepreneurs and low-income people in peri-urban and rural areas of Nicaragua.
This was accomplished by strengthening FUNDESER's institutional capacity in credit origination, monitoring, and recovery. The project put special emphasis on improving the efficient coordination of activities between the business and the risk departments, including the overall credit workflow. The two main project’s components were: i) Review of credit procedures, and ii) Implementation of recommendations to improve the credit process .