The Microcredit Summit goal is to reach 100 million of the world's poorest families, especially the women of those families, with credit for self-employemnt and other financial and business services by the year 2005. Participating institutions launched the campaign in 1997. The Center is a member of the Council of Educational Institutions of the Microcredit Summit. The Center undertakes research on microcredit as it affects urban planning and management and disseminates research findings and information on best practices. We document selected Best Practices in the Microcredit field including visual and technical materials.  This information is used in academic courses as well as our international executive education programs. 

The Center develops educational modules on the use of microfinance in community based development initiatives and in particular for the development and improvement of housing and infrastructure. The modules highlight creative partnerships and initiatives in which microfinance is a critical component of the urban improvement program. 

Participants  who attend our international programs are encouraged to promote and support microcredit programs in their localities. We make every effort to follow up on these initiatives.  We have been particularly impressed with efforts of  officials and council members in the town of Middledrift, Eastern Cape, South Africa who attended a Center Course in Cape Town and went on to start  "a village bank offering loans, savings and funeral schemes to its shareholders.  This village bank had a positive impact on the small local entrepreneurs who could not get loans from formal banks because they could not fulfill the requirements like, sureties, pay slips and credit history as stipulated by these banks. "  We will continue to monitor the activities of this microcredit bank as a key component of our documentation of community based initiatives in Middledrift.

The Summit has updated its web page. You can view the summaries of the members' institutional action plan, and read about participating institutions (including the Center) at the following link. 
 

CENTER MICROCREDIT ACTIVITIES

In November 2002, the Center participated in the Microcredit Summit +5 event held in New York.Recent research activities conducted by the Center as part of its institutional action plan on microcredit include:

· Update of Microfinance and Infrastructure Development: The Parivartan Program, Ahmedabad, India (April 2003)

· Follow-up of the Microfinance Initiative in Middledrift, South Africa (Middledrift Village Bank) (March 2001; September 2002)

Documentation of Banco Palmas, Fortaleza, Brazil
In 1998 the Residents Association of the Palmeira Disctrict in Ceara, Brazil, in partnership with AGORA 21, PROFITEC and PRORENDA, inaugurated a popular bank dedicated to the provision of microcredit to families throughout the community, in order to foster the establishment and expansion of small businesses in the community particularly focusing on the development of women entrepreneurs.  The Bank has established its own credit card (PalmaCard), which is accepted in the area's commercial establishments to promote the consumption of local products and the use local services.  In addition, Banco Palmas offers micro-loans (10-300 reais) for home improvements and links credit opportunities savings schemes. 
 

In August 2001, Mona Serageldin visited the Palmeira District where she had the opportunity to meet with Banco Palmas staff and document the Bank activities and impact on the community.  To date, the bank has issued PalmaCards to over 500 families and loans to over 900 clients while directly generating 450 jobs in the community.

Documentation of the Parivartan Program in Ahmedabad, India
The Center undertook special field documentation of the Parivartan Slum Networking Initiative, in Ahmedabad, India. The program involves a partnership between municipal authorities, NGOs, the private sector and the communities to provide services to households living in the slums. It is financed through a cost-sharing agreement. SEWA Bank extended loans to members to enable them to participate in the program. Christopher Rogers traveled to Ahmedabad in October 2000 to meet with SEWA representatives and officials responsible for the initiation of the program. He documented several improved slums. Sameh Wahba prepared the case summary document. 
 

Study of Housing Microfinance Initiatives
The Center, working through Development Alternatives Inc. recently completed a study of the housing microfinance industry for the USAID Office of Microenterprise Development. A synthesis report highlights the achievements of housing microfinance initiatives, and the challenges facing the extension of microcredit to poor households for shelter construction and improvements, land acquisition and infrastructure provision. A Regional Summaries Report identifies the dynamics of urban and rural development in Asia, Latin America and Sub-Saharan Africa. The Center developed six detailed case studies of leading microfinance programs in the three regions: the Grameen Bank in Bangladesh, SEWA Bank in India, the Center for Agriculture and Rural Development and Payatas Scavengers Association in the Phillipines, the South African Homeless People's Association, and Genesis in Guatemala. The Center's team included: John Driscoll, Mona Serageldin, Sameh Wahba, Christine Williams, Graciela Fortin-Magana, Christopher Rogers and Kim Wilson, a micro-credit and finance specialist.
 
 

The Center was invited to present its institutional action plan at the Microcredit Summit meeting held in Abidjan from June 28-30, 1999. Mona Serageldin presented the plan at the joint session of the Council of Educational Institutions and the Council of Foundations and Philanthropists. The Center's action plan is included in the final report of the 1999 Meeting of Councils. The Center's plans for 2000 and 2001 are on file at the Summitt office.