Microfinance best practice : ten parameters of success for development NGOs

Experience has shown that development NGOs typically do not succeed in transforming themselves into financially sustainable providers of financial intermediation services. The reasons for this failure are complex (see Dichter 1999). Nonetheless, the role that NGOs play as microfinance providers is important and the contribution they could make to poverty reduction would be greatly enhanced if they adhered to some simple but essential parameters of success.