“Challenges & Opportunities in Microfinance for 2010” shared with Central Luzon Rural Bankers

RBAP-MABS shared key challenges and opportunities for rural banks offering microfinance services in 2010 during the Confederation of Central Luzon Rural Bankers’ Management Conference on February 18-19 at Stotsenberg Hotel in Clark, Pampanga.
RBAP-MABS identified various challenges facing rural banks offering microfinance products and services including growing competition, high operating costs, more demanding clients and the need for product diversification. In his presentation, RBAP-MABS Chief of Party John Owens shared how the recent Bangko Sentral ng Pilipinas (BSP) circulars in housing microfinance, micro-agri, and microinsurance have created opportunities for rural banks to address some of the concerns of demanding clients. He also discussed how these rules help rural banks in diversifying their products and services to better suit the needs of low-income households for shelter, agricultural working capital, and protection.
He went on to explain the strategies that RBAP-MABS, with the support of USAID/Philippines, is undertaking in 2010 to assist rural banks to improve efficiency, better address client needs and prepare banks to take advantage of the new opportunities to diversify their products and services.  Finally, he shared the other important development created by the recent BSP approval for Globe Telecom-owned Globe X-Change Inc. (GXI) to utilize more than 15,000 Globe sub-distributors, furthering build on their existing 3,000 cash-in and cash-out outlets. This huge step creates a network of more than 18,000 cash-in and cash-out locations across the Philippines that rural banks can tap to effectively service as human ATMs – ATMs that would further support the growing number of rural banks offering mobile phone banking services via the GCASH platform.
MABS Chief of Party John Owens

MABS Chief of Party John Owens

RBAP-MABS shared key challenges and opportunities for rural banks offering microfinance services in 2010 during the Confederation of Central Luzon Rural Bankers’ Management Conference on February 18-19 at Stotsenberg Hotel in Clark, Pampanga.

RBAP-MABS identified various challenges facing rural banks offering microfinance products and services including growing competition, high operating costs, more demanding clients and the need for product diversification. In his presentation, RBAP-MABS Chief of Party John Owens shared how the recent Bangko Sentral ng Pilipinas (BSP) circulars in housing microfinance, micro-agri, and microinsurance have created opportunities for rural banks to address some of the concerns of demanding clients. He also discussed how these rules help rural banks in diversifying their products and services to better suit the needs of low-income households for shelter, agricultural working capital, and protection.

He went on to explain the strategies that RBAP-MABS, with the support of USAID/Philippines, is undertaking in 2010 to assist rural banks to improve efficiency, better address client needs and prepare banks to take advantage of the new opportunities to diversify their products and services.  Finally, he shared the other important development created by the recent BSP approval for Globe Telecom-owned Globe X-Change Inc. (GXI) to utilize more than 15,000 Globe sub-distributors, furthering build on their existing 3,000 cash-in and cash-out outlets. This huge step creates a network of more than 18,000 cash-in and cash-out locations across the Philippines that rural banks can tap to effectively service as human ATMs – ATMs that would further support the growing number of rural banks offering mobile phone banking services via the GCASH platform.