Wednesday, April 22, 2009

Microfinance in focus: Bolivia's MFI sector set for slower but solid growth in 2009

Bolivia's microfinance sector remains in a good position to cope with the economic slowdown and is set for slower but solid growth this year, the executive secretary of Bolivia's microfinance institutions' association Asofin, Fernando Prado, told BNamericas.

"Fortunately, we haven't felt the [financial] crisis in the microfinance sector in Bolivia," said Prado, speaking on behalf of the eight microfinance institutions associated with Asofin, which control 90% of the total loans held by the country's specialized microlenders.

In 2008, Asofin members expanded their loans 42%, three times the rate reported by banks, which grew lending by 14%.

While banks have seen demand for their products decline, demand for microcredit remains very high, Prado said.

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