Abstract:
The Indian Micro finance sector is booming. There are plenty of MFIs or Micro Finance Institutions, which are effectively catering to the needs of the people in the country. Innovation is at its zenith with various new products being designed, several channels being configured and the optimum usage of technical know how being made. The CMF or the Center for Micro finance is putting in all efforts to make the financial sector stronger in the country by acting as a catalyst.The Center for micro finance or CMF:
Since the micro finance industry in India is making big strides, it was felt that an organization should be set up to deal with matters related to micro finance and assist the poor people. This need gave rise to the so called Center for Micro finance or the CMF. The modus operandi of the center was to assess the prevailing situation(pertaining to micro finances) in the country and further work on it. What is more important is that one should have a sound understanding of the subject and carefully evaluate which project will actually benefit the people. Cost involved in all these processes need to be estimated too.Role played by the Center for Micro finance:
Through the following the center would make an endeavor to maximize accessibility of the poor to the financial services:- By imparting education for various institutions as well as practitioners in areas related to the same.
- Conducting extensive research on livelihood financing as well as micro finance
- Policy advocacy, which is research based
- Working out strategies for the MFIs or the Micro finance Institutions.
- Try to ascertain the connection between the opportunities of financial services available and rate at which the poor participate in these programs.
Objectives of the CMF or Center For Micro Finance:
The main aim of the Center For Micro Finance include matters related to:- Regulation effects
- The reaction of people with regard to financial services
- Impacts associated with accessibility to various financial services
- Restraints in productivity of households
- Designing products and various contracts pertaining to the same
- Profit earned by the MFIs
- Cost incurred by the CMF or the Center for Micro finance
