MFC Annual Report 2025: Strengthening Inclusive Finance Through Partnership, Innovation and Advocacy
MFC is pleased to present its 2025 Annual Report, showcasing a year marked by resilience, cooperation and meaningful impact across Europe and Central Asia. Despite a challenging environment shaped by geopolitical uncertainty, funding pressures and economic volatility, MFC and its members continued to advance financial inclusion, support microentrepreneurs and strengthen the social finance ecosystem.
A Stronger Network for a Changing World
At the heart of MFC’s work is a growing community of organizations committed to inclusive finance. In 2025, the network expanded to 150 members from 36 countries, welcoming 12 new organizations from Europe, the Caucasus and Central Asia. This diversity continues to be one of MFC’s greatest strengths, enabling knowledge exchange and collaboration across different markets, contexts and development stages.
Throughout the year, MFC facilitated 188 EU and EU-related meetings, 69 Action Group meetings, and numerous networking and learning opportunities that connected practitioners, policymakers, investors and researchers. These interactions helped members navigate emerging challenges while identifying new opportunities for innovation and growth.
Building Capacity Across the Sector
Supporting the professional development of microfinance and social finance institutions remained a key priority. Through the Social Inclusive Finance Technical Assistance Programme (SIFTA), MFC delivered webinars, workshops, tailored trainings, peer-learning exchanges and advisory services to institutions across multiple European countries. Topics ranged from ESG implementation, AI-powered services and cybersecurity to social media marketing, climate finance and leadership development.
Participant feedback confirmed the strong value of these activities, with exceptionally high satisfaction levels and positive assessments of both the practical relevance and quality of the training programmes.
MFC also published research on the capacity-building needs of microfinance and social finance providers across the EU, identifying key priorities related to digitalisation, social inclusion, entrepreneurship support, green finance and climate resilience. These insights will continue to guide future support for the sector.
Bringing the Community Together
Networking and peer exchange remained central to MFC’s mission.
The 27th MFC Annual Conference, held in Tbilisi under the theme “Shifts, Shocks and Solutions: Microfinance in the Shadow of Geopolitics”, brought together 468 participants from 44 countries, representing 228 organizations. Over three days, practitioners, investors, policymakers and innovators discussed the future of microfinance, explored responses to geopolitical challenges and built new partnerships. The event featured 20 sessions, 58 speakers and hundreds of networking meetings facilitated through a dedicated conference application.
Later in the year, the online conference Social Finance Vibe 2025 gathered 292 participants from 51 countries. Under the theme “The Great Rebalancing”, the event explored the future of social finance in the context of climate transition, digital transformation and evolving EU priorities. Participants benefited from insights shared by European Commission representatives, sector leaders and innovative practitioners from across the continent.
Together, these flagship events engaged 737 participants, confirming MFC’s role as a leading platform for dialogue and collaboration in inclusive finance.
Advancing Green and Digital Transition
The transition towards more sustainable and digitally enabled economies continued to shape MFC’s activities throughout the year.
One of the major milestones of 2025 was the completion of the Transform Together Fund, implemented with Cerise+SPTF and funded by the ESF+ programme. The initiative supported nine social finance organisations across Europe in developing innovative approaches to improve digital and green skills among their clients, particularly those from vulnerable groups.
The results were significant. Nearly 10,000 beneficiaries improved their skills and knowledge through programmes focusing on digital literacy, AI applications, online services, green business solutions, ESG practices and climate-smart agriculture. Additionally, hundreds of participants reported stronger entrepreneurship and business development skills. The project generated practical toolkits and learning resources that will continue supporting organizations beyond the project lifetime.
MFC also continued fostering dialogue on technology through its Technology Action Group, promoting exchanges on digital innovation, operational efficiency and technology solutions tailored to the needs of microfinance institutions.
Strengthening Advocacy and Sector Visibility
Throughout 2025, MFC remained a strong advocate for microfinance and social finance at both European and international levels.
Together with key European networks, MFC contributed to policy consultations, position papers and advocacy initiatives covering topics such as access to finance, social economy development, affordable housing and the future of EU funding programmes. Through collaboration with partner networks, MFC’s outreach extended to a wider ecosystem representing hundreds of organisations across Europe.
A highlight of the year was MFC’s participation in COP30, where the organization showcased microfinance as a practical tool for climate adaptation and resilience. Together with partners, MFC advocated for directing climate finance towards vulnerable communities, smallholders and microentrepreneurs, demonstrating how financial inclusion can support climate action at the local level.
The organisation also continued promoting responsible finance through initiatives such as the Borrow Wisely Campaign and the Microfinance for Senior Entrepreneurs Campaign. Implemented with partners across several European countries, these initiatives reached more than 1.9 million people through online and offline communication channels.
Looking Ahead
The achievements presented in the 2025 Annual Report reflect the commitment of MFC members, partners and stakeholders who work every day to expand opportunities for entrepreneurs and underserved communities. As the sector faces increasing uncertainty, the need for inclusive, responsible and sustainable finance has never been greater. By strengthening partnerships, investing in innovation, supporting capacity building and advocating for an enabling policy environment, MFC remains committed to helping build a more resilient and inclusive financial ecosystem across Europe and Central Asia