Developing Underserved Markets
LMDF presented its view on the development of smaller MFIs and under-served markets at the European Microfinance Week 2015.
Kaspar Wansleben, LMDF’s Executive Director spoke together with Henry Dommel, United Nations Capital Development Fund and Francis Vazheparambil from the microfinance institution Standard Microfinance Bank Nigeria on the topic of “Bringing Financial Inclusion to Underserved Markets”.
LMDF presented their view that a significant number of countries, particularly in Sub-Saharan Africa continue to have large development potential for inclusive financial services. Triggering growth from the supply side requires patient capital and smart combinations of public intervention and private investment. But under-served markets exist as well in niches in more developed markets both geographically in many rural areas and among certain parts of the population.
From the demand side, client centered product design has a long way to go particularly in the area of appropriate formal savings and micro-insurance products and credit products adapted to smallholder farmers.