China Microfinance Feasibility Study

BFC provided recommendations to the German development bank KfW for the design and implementation of a microfinance program in China which will facilitate the growth of a commercially viable microfinance industry.

As part of this assignment, BFC:

  • Conducted a demand survey of 600 micro and small enterprises in both urban and rural areas;
  • Wrote the book, “Principles for Commercially Viable Microfinance in China”;
  • Conducted a financial and institutional due diligence of two MFIs;
  • Developed two business plans for commercially viable MFIs in China, one based on upgrading an existing MFI and one for establishing a greenfield MFI;
  • Proposed an on-lending mechanism and governance structure for the program;
  • Developed terms of reference for consultants.