International Training on Financial Analysis and Risk Management for Microfinance Practitioners

 1.0 COURSE OVERVIEW

Managing risk is an inherent part of delivering financial services today. This course covers the critical issues of financial analysis and risk management in a dynamic and interactive learning environment. The course will use the theory and practice of financial analysis and risk management in-line with standards and sector specific global best practices.

This seven-day course is designed to help MFIs to develop and improve the quality of their own risk management processes. The focus is on problem prevention, early detection, and control. The participants will get the opportunity to develop the knowledge, skills, and tools they require not only to support their respective areas or functions in implementing effective operational risk management but also for integrating risk management with disciplines including monitoring and compliance. It also positions them to become vital agents in improving risk-based thinking, supporting a positive risk culture and enabling their organisations to view risk as an opportunity.

The course does this by combining practical knowledge and application of risk management tools with a variety of techniques to identify its vulnerabilities, design and implement controls and monitor the effectiveness of controls with special focus on operational risks to avert financial risks as well. On completion of this course, the participants will have a solid understanding of how advanced risk management can benefit the MFIs to ensure sustainable growth in the years to come.

 2.0  BENEFITS OF ATTENDING 

• Identify and prepare for threats vis-à-vis learn how to make contingency plans, explore strategies for developing and maintaining robust alternative plan for plausible risk management.
• Design practical risk management tool kit for immediate use in the microfinance organisations.
• An opportunity to learn the means of benchmarking the participants’ organisation in line with the KPI (Key Performance Indicators).
• Models of digital financial inclusion practices.
• Best practice sharing and networking with largest microfinance development organisations like PKSF, and Grameen Bank.

3.0 POTENTIAL GAINS

After completion of the course, participants will be able to:

• EXPLAIN Risk Management Framework and Major Risks of MFIs;
• IDENTIFY how to Assess and Prioritise Risks Applying Different Risk Management Tools;
• ANALYSE Financial Statements for Setting Financial Indicators and Detect Early Signals to Avert the Losses Due to Delinquency;
• UNDERSCORE Profitability & Financial Sustainability, Liquidity & Solvency in Microfinance Programmes applying Different KPIs (Key Performance Indicators);
• DESCRIBE Best Composition of Asset Liability Management;

• DEVELOP Risk Register, Internal Control System and Policies for Effective Management of Risk;
• EXPLAIN Best Practices of Risk Management for Microfinance Institutions;

• USE Cutting Edge, Best Practice Tools and Techniques to Identify Risk in terms of both Threat and Opportunity, Assess Risk Effectively and Select Appropriate Risk Treatment Measures;
• CREATE Risk Communication Strategies and Initiatives to influence Stakeholders and set the Tone for Interactive Risk Management for sustainable growth.

4.0 WHO SHOULD ATTEND THIS COURSE

This programme is mainly targeted to Senior Microfinance Practitioners viz,

• CEOs
• Directors
• Senior Managers
• Banks dealing with Microfinance
• Supervisory & Regulatory bodies, and
• Academicians involved in microfinance, etc.

 5.0  MAJOR COURSE CONTENT

Module 1: Risk and risk mangement framework in Global Microfiannce

• Modern view on risk
• Why risk management for todays financial world
• Risk management framework for microfinance operations
• Identifying, assessing and prioritising risk
• Developing strategies to manage risk

  Module 2: Modern risk and controls to ensure sustainability of MFIs

• Operational & financial risk and control to maintain sustainable growth of MFIs
• Institutional and external risks controlling mechanism
• Interrelationships between different contemporary risks

 Module 3: Advanced financial analysis for MFIs

 A framework for evaluating MFIs

• Risk detection through analysing financial statements vis-à-vis receiving early signals
• Application and analysis of KPI (Key Performance Indicators)
• Measurement and application of financial ratio analysis and DuPont system
• Analysis and management of asset and liabilities for MFIs

Module 4: Developing risk register: Best global practices

 Risk measurement matrix to detect the extent of exposure to risk of MFIs

• Developing risk register for effective risk management
• Developing controling mechanism and prioritising the risks through risk rating

 Modfule 5: Advanced risk mitigation tools

 Internal control system as risk management tools.

• Framework of internal control for MFIs.
• Best practices of internal control techniques.
• Developing internal control system and risk management policies.

Module 6: Models of digital financial inclusion

• What and why digital financilal inclusion
• Mobile financial services.
• Role of digital finance platform towards risk mitigation in microfinance operations.
• Designing MIS and automation structure for risk management.

Note: Field trips will be arranged at PKSF, an apex development organisation and lending agency of Bangladesh for Microfinance, Grameen Bank, bank for the poor; and Coast Trust, a national NGO-MFI where the delegates will gain hands-on field and institutional experiences with special focus on advanced financial and operational risk management of MFIs. The classroom session will be for 3 days at InM International Training Centre in Dhaka, the capital city of Bangladesh. The field trip and hands-on training will be for 4 days where the participants will be acquainted with the microfinance programmes in one of the coastal zone districts, Cox’s Bazar of Bangladesh, where the largest sea beach of the world is located. 

6.0  COURSE FEE

 USD 1,800 per delegate (inclusive of all). Partial scholarships are available for the candidates of developing countries.

• Travel and Health Insurance: Air ticket cost and the health insurance should be borne by the delegates/participants.
• Free Facilities:
• The host organisation will provide free acommodation and food at their well furnished international training centre, pick and drop from and/to airport.
• Field Trips in Dhaka and Cox’s Bazar: Field trips will be arranged at PKSF, Grameen Bank in Dhaka and the Coast Trust at Cox’s Bazar of Bangladesh, where the largest sea beach of the world is situated. The deligates will also visit the important historical places in Cox’s Bazar.

 7.0 ABOUT THE TRAINER

Distinguished professionals of international repute from Grameen Bank, PKSF and the host organisation, InM, will conduct the sessions.

Host: Institute for Inclusive Finance and Development (InM), Dhaka, Bangladesh

Duration: 7 Days (13 March 2020 to 19 March 2020)

Type: Residential

Venue: Dhaka, Bangladesh

Medium of Instruction: The language of instruction will be English. No translation could be provided.

Registration Deadline:

All registration forms (as per enclosed format) should be submitted by 29 February 2020, late applications will be considered subject to availability of the seat.  The registration form should reach by email.

Download registration form

Interested organisations/ individuals may contact InM to get further information.

Institute for Inclusive Finance and Development (InM)

Training Centre, House 30, Road 03, Block C, Monsurabad R/A, Adabor, Dhaka- 1207
PKSF Bhaban, E- 4/B, Agargaon, Sher-e-Bangla Nagar, Dhaka- 1207, Bangladesh
Tel: +88-02-8181066; Fax: +88-02-58155526.

E-mail: dirtraining@inm.org.bd   
              musadeque@yahoo.com

(Please use both the emails)