Institutional governance in the microfinance sector

Overview

Institutional governance is the cornerstone for achieving sustainability, transparency, and effectiveness in microfinance institutions. It provides a framework to help institutions manage their resources efficiently, achieve their development goals, and build trust with partners and clients. This program aims to equip participants with the essential concepts and modern practices in corporate governance, focusing on the challenges and opportunities unique to the microfinance sector.

Main Topics:

• Principles of Corporate Governance and Their Importance:
  • Definition of Institutional governance and its core pillars.
  • Role in enhancing trust with investors and clients.
  • Governance as a tool for achieving financial and social sustainability.
• Institutional governance Framework for Microfinance Institutions:
  • Organizational structure and its role in promoting governance.
  • Relationships between the Board of Directors, executive management, and stakeholders.
  • Tools and policies to ensure sound governance.
• Challenges and Opportunities in Implementing Institutional governance:
  • Common challenges in the microfinance sector.
  • How to overcome obstacles and enhance compliance with international standards.
  • Case studies of successful governance implementation in microfinance institutions.
• Financial Transparency and Accountability:
  • Mechanisms for financial disclosure and ensuring transparency.
  • Institutional performance evaluation based on governance standards.
  • The impact of financial accountability on institutional trust.
• Building Leadership Capacity in Governance:
  • Leadership skills and strategic decision-making.
  • Training in applying governance practices in daily operations.
  • Promoting a governance culture among staff and stakeholders.

Objectives:

• Define the concept of Institutional governance: Understanding the core principles and their significance in microfinance.
• Enhance governance’s role in achieving sustainability: Develop strategies that support financial institutions’ goals.
• Define roles and responsibilities: Clarify the roles of the Board of Directors and executive management in governance.
• Risk management and compliance: Ensure compliance with legal and regulatory standards.
• Promote transparency and accountability: Establish clear mechanisms for financial and non-financial reporting.

Target Audience:

• Board Members of Microfinance Institutions
• Executive Managers and Operations Leaders
• Risk and Compliance Managers.