The Centre for Excellence in Financial Inclusion
Papua New Guinea

Microfinance Expansion Project : Overview

 
The Microfinance Expansion Project (MEP) directly assists in the development of the microfinance sector in Papua New Guinea (PNG) through an integrated package of support. The MEP focuses on 6 objectives or Outputs to strengthen the capacity of the microfinance industry and to provide financial services to a broader cross-section of the community and strengthen the capacity of its clients and potential clients into utilizing these financial services.

Outputs 1 focuses on the support and strengthening of microfinance service delivery. Microfinance institutions (our Partner financial Institutions) are provided with Market research and need-base product development, access to professional microfinance training through Institute of Banking and Business Management (IBBM) and provision of business mentoring support to improve systems and procedures and design business plans.

Output 2 entails the provision of financial educational and business development services to clients and prospective clients of microfinance industry while Output 3 dictates the setting of microfinance industry standards and creating an institutional framework to implement the industry standards.

Output 4 provide appropriate regulation for, and the supervision of, microfinance institutions (MFIs) and savings and loan societies (SLSs) through the Bank of PNG (BPNG).

Output 5 Creates a Risk share facility as a risk mitigations strategy to facilitate increase lending to micro and small enterprises (MSEs) to increase rural income generation. Output 6 will provide efficient and effective project management services to the project and Project design a gender action plan to ensure women participation in all the key activities.

The expected result is our participating financial institutions (PFIs) throughout PNG are assisted through a series of rapid institutional assessments, be better able to provide profitable, appropriate, reliable and safe financial services to financially illiterate clients and capable businesses, with a view to reducing poverty in Papua New Guinea.