Small Enterprise Lending Programme II

BFC and Bankakademie (today Frankfurt School of Finance and Management) have made SELP (Small Enterprise Lending Programme) a success by:

  • Achieving continuous portfolio growth in existing outlets of two partner banks while maintaining its quality;
  • Greatly improving staff productivity through training;
  • Training the middle management of partner banks;
  • Providing strategic advice to top management;
  • Increasing the number of micro-lending outlets from six to fifteen;
  • Launching an innovative agricultural product pilot project.

Within a year, BFC and Bankakademie guided an expansion from six to fifteen outlets, and raised loan officer productivity by a further 50%. Since BFC together with Bankakademie took over SELP, portfolio size has grown at an annual rate of 189%.

SELP at a Glance (August 2003—May 2005)
Indicator Aug. 2003 May 2005
Portfolio size (USD) 2.71 mln 18.67 mln
Outstanding loans 1,166 7,890
Portfolio at risk (%) 1.4 1.9
Loan officer productivity* 6.6 11.5
Outlets 5 19
Partner Banks 2 2
*—Average number of loans disbursed per loan officer per month.