Wednesday, 27.11.2019, Bucharest, Romania: a workshop “Benchmarking Romanian Microfinance sector 2016-2018; Financial and social performance indicators” took place. It was organized under EaSI (Employment and Social Innovation) Technical Assistance Program.
Over 40 representatives of the Romanian MF sector’s key stakeholders participated to the presentations and debates organized during the workshop, aimed to communicate the performance and impact of the microfinance activity of the Romanian non-banking financial institutions and Credit Unions.
The Romanian microfinance institutions managed to access 8.3% of the EaSI Guarantee Facility’s budget, making available more than 170 million Euros for financing small businesses, sole entrepreneurs and farmers who carry out income generating activities, and this one it’s just the beginning, another 5 transactions are ready for signing and implementation during the first months of 2020.
Few know that each of those institutions’ activity is quite rigorously motitored and controled, beyond the Romanian regulators, by the European Code of Good Conduct for microcredit provision without which European funds cannot be accessed, and that 34% of the European microfinance organizations certified as complient with the EU Code, are from Romania.
During the seminar were presented the summary of the benchmarking study and the evolution of the Romanian microfinance sector during the period 2016-2018.
The conclusions of the study show that in the last three years (2016-2018), the value of the microfinance portfolio and the number of micro-loans granted by the main 15 microfinance institutions in Romania have doubled exceeding Euro 280 Million and 90 thousands beneficiaries, and the Credit Unions from the West Region, with the support of the EaSI guarantee instruments, they have become financial service providers for income-generating activities and serve the most vulnerable segment of the microfinance market: small farmers, authorized individual entrepreneurs and start-up entrepreneurs.
The development impact on the beneficiaries: small farmers, authorized individual entrepreneurs, start-up entrepreneurs and micro-enterprises, is also positive consisting mainly in the increase of the market share, turnover and assets base of the microfinance beneficiaries.