Improving Internal Control: A Practical Guide for Microfinance Institutions
By Anita Campion - Published: 2000
This publication provides concrete advice on establishing internal control mechanisms in MFIs of all types and sizes. It guides institutions on how to better manage the five major types of risks that MFIs face: credit, liquidity, interest rate, operational, and fraud. Using a risk management framework, it describes the process of selecting, testing, and implementing cost-effective ex-ante (before operations) and ex-post (after operations) controls. A special chapter also details a step-by-step approach to conducting branch audits. Practical examples from leading MFIs, including BRI(Indonesia), ASA(Bangladesh), ABA (Egypt), and BancoSol (Bolivia), illustrate how these concepts have been applied successfully in the field.
