The Transparent Pricing Initiative in Mozambique has published standardized pricing data from 10 microfinance providers, representing the vast majority of Mozambique’s microloan borrowers. Launched in 2011 the Initiative is delivered in partnership with Planet Rating and the Association of Mozambique Microfinance Institutions (AMOMIF), and is funded by the MasterCard Foundation.
Microfinance in MozambiqueMicrofinance in Mozambique originated in the late 1980s through projects initiated by international relief organizations. Later the sector expanded to attract key private sector and governmental players, resulting in an increased outreach and improvement in financial performance. The sector is considered highly concentrated with a few microfinance institutions dominating the market. Providers of microfinance include downscaling commercial banks, NGO microfinance institutions, credit cooperatives and other licensed operators. Currently, the sector offers limited outreach in terms of the number of active borrowers served (81,000) and the gross loan portfolio disbursed. Anecdotal evidence suggests that there is a high unmet demand for microfinance and a large potential for expansion.
The regulatory and supervisory environment in Mozambique has taken its shape through the microfinance regulation decree of 57/2004. This decree mandated the Bank of Mozambique to regulate deposit-taking microfinance institutions and perform oversight and monitoring on non-deposit taking institutions. Although basic reporting requirements are imposed on most microfinance institutions, there is no specific legislation imposing a standardized national interest rate formula or clear guideline on price disclosure and consumer protection practices.
Mozambique Institutions
Institution | # Borrowers | Portfolio (US$) | Products | Transp. Index | Participating Since | Age of Data |
---|---|---|---|---|---|---|
ACAWE | 100 | 16,000 | 2 | 97 | 2012-Jan | 155 mos. |
AfricaWorks | 6,500 | 1,843,000 | 8 | 55 | 2012-Feb | 117 mos. |
AZADER | 200 | 3,000 | 2 | 42 | 2011-Dec | 156 mos. |
BOM | 18,900 | 6,422,000 | 3 | 85 | 2012-Jan | 125 mos. |
CCOM | 9,100 | 2,995,000 | 6 | 54 | 2012-Jan | 140 mos. |
FDM | 7,200 | 1,002,000 | 4 | 68 | 2012-Jan | 140 mos. |
Hluvuku-ADSEMA | 5,300 | 2,959,000 | 3 | 102 | 2012-Jan | 140 mos. |
IRAM | 0 | 0 | 0 | N/A | 2012-Jan | 140 mos. |
ProCredit | 0 | 0 | 0 | N/A | 2012-Jan | 140 mos. |
Tchuma | 0 | 0 | 0 | N/A | 2012-Jan | 140 mos. |
SOCREMO | N/A | N/A | Declined | - |