MyFINANCE - Myanmar
- Term: 3 years
- Budget: $3 million USD
- Direct Beneficiaries: 115,000
- Implementation Partner: CCS
- Financial Partner: LIFT (managed by UNOPS)
The two financial co-operatives now rely on a low-cost foreign loan fund to help finance farmer member planting and harvesting, and to generate revenue. That fund ends in 2024. CDF Canada is helping the co-ops mobilize deposits, secure external capital and modernise to build trust and credibility in the marketplace. To increase lending capacity and become sustainable credit unions, CDF Canada is training boards and staff, equipping branches and strengthening policies and controls.
Through MyFINANCE, CDF Canada is supporting the emergence of sustainable co-operative financial institutions in Myanmar to provide demand-driven services to farmers, many of whom must now borrow from informal lenders or take inputs on credit from suppliers charging high rates of interest.
"Through MyFINANCE, CDF Canada is supporting the emergence of sustainable co-operative financial institutions in Myanmar to provide demand-driven services to farmers..."
MyFINANCE focuses on the effective demand for financial services by individual women and men members of co-operatives through market research and baselines. It also focuses on the sustainable supply of these financial services through existing co-operatives. To ensure financial sustainability there will be an emphasis on rates, marketing, mobile collections, and setting up a special line of credit to ensure sufficient liquidity so that members can access savings on demand. This in turn will increase member confidence in co-operatives, as confidence is the key to savings mobilization. Township Co-operatives will be trained to price loan products in a similar fashion to cover the costs of default, administration and inflation.
MyFINANCE will see the inauguration of two Township Savings and Credit Co-operatives in Myingyan and Nathogyi in September or October of 2018.