Page 5 - NIBAF-Training Matters Oct-December 2021
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Keeping in line with SBP housing
policy and needs of MFBs, NIBAF
organized three training programs
for MFBs during the quarter.
Micro financing is an important
aspect of the economy and
contribute significantly in inclusive
economic growth & development.
Micro-finance banks play important
role in providing small loans to this
sector and it helps in alleviating
poverty through need-based
financing and induces small
businesses. MFB remained in the
financial sector for the last 20 years
and catering the need of lower techniques & GMSS scheme arising out of lending business
segment of the society. Recently, during the quarter. Senior particularly micro lending. Further,
SBP encourages MFBs to expand Microfinance bankers attended the proper risk management is usually
its support in ‘Government’s program. The program was exhibit in typical loan cycle and this
Markup Subsidy Scheme’ for primarily designed to promote requires continuous interaction
extending ‘Tier 0’ financing facilities government schemes on housing with the obligor(s). Keeping in view
with special focus on marginalized sector and it explained the potential this important aspect, NIBAF
segments residing in rural and peri- of housing sector across Pakistan. organized two training program on
urban areas. In order to prepare the The subject specialist shared their Risk Management and Credit
MFBs officials to expand its insights and experience on micro Initiation Techniques for officials
business in the housing sector, industry potential alongside the of Microfinance banks at
there was a need to develop requirements for security Bahawalpur and an on-line training
capacity human resources documentation where the risk can during the quarter. Participants
particularly in the area of be diminished for banks. learnt risk assessment in the light of
mortgages documentation, Risk assessment and mitigation are SBP regulation and banks’ credit
creating lien perfection in rural important feature of any lending manual. The course also
areas and other important aspects business. This requires thorough deliberates on credit products,
of housing finance. NIBAF understanding of risk types and its appraisal techniques &
designed and conduct customized application in order to insulate a documentations, early warning
training program on Sale- lender from the possible risks system, required documents for
risk evaluations, etc.
Discussion on different
case studies pertaining to
risk assessment and
mitigation have further
enhanced understanding
of the participants and
C they took part in different
learning activities.