Microfinance Institution Product Comparison Matrix

 

  Microfinance Institutional Rating Credit Rating Social Rating
Description Microfinance Institutional Ratings provide an opinion on the long term institutional sustainability and creditworthiness through a comprehensive assessment of risks, performance, market position and responsible practices. A credit rating measures the risk of default of a microfinance institution's (MFI) obligations. A social rating measures the social performance of a microfinance institution.
MFI objective To attract investment and/or improve operations To satisfy regulatory requirement or attract investment To attract investment and/or improve social performance.
Sample Reports View Sample View Sample
Report Content
Context X X X
Financial Situation X X
Microfinance Operations X X
Portfolio Quality X X
Organization and Management X X
Governance and Strategic Positioning X X
Social Profile X X
Reputational Risk and Social Risk Factors X X*
Social Commitment X
Social Results X
Report Features
Rating Scale α+, α, α-
β+, β, β-
γ+, γ
(see the rating scale)
S&P scale or the respective regulatory scale for a country
(see the credit rating scale)
1-5 star rating scale
(see the social rating scale)
Subgrades Financial section only, no other subgrades published No subgrades published
Adjusted Financial Statements X X X
Outlook X X X
Regional/country Benchmarks X X X
Methodology Microfinance Institutional Rating Credit Rating Social Rating
*included only if the risk is present
Read Microfinance News
Technical Guide: Performance and Social Indicators for Microfinance Institutions
Washington D.C., May 16th 2014. - MicroRate published the Technical Guide: Performance and Social Indicators for Microfinance Institutions. This document gives the interpretation and calculation of the industry’s 18 most commonly used performance indicators.Four new indicators focus on social performance. … Continue reading