Making Green Microfinance Work. Managing product diversification

The ILO, with the support of Italy through the Italian Agency for Development Cooperation (AICS), is implementing a project to enhance support to private sector development and decent job creation in Southern Iraq, with a focus on promoting sustainable green businesses.

The course was structured around three thematic modules, drawing on the most recent global, regional, and local experiences, best practices, and documented failures. It was based on the conceptual framework of the ILO Managing Product Diversification manual, with contributions from various partners.

OBJECTIVES

The major focus was on the FSPs abilities and capacities to develop green inclusive finance products, which covers at least 4 groups of products (loans, savings, insurance and non financial services). The typology of products and services discussed in the course included: loans for renewable energy and energy efficiency, sustainable agriculture financing, water, sanitation and hygiene projects, waste management and other relevant sectoral and technological types.

CONTENT

The course was structured around three thematic modules, drawing on the most recent global, regional, and local experiences, best practices, and documented failures. It was based on the conceptual framework of the ILO Managing Product Diversification manual, with contributions from various partners.

The programme covered:

1. Preparation. Delivering value. New market development, using tools to understand the market and decide who to serve. The landscape of green inclusive finance and sectors/subsectors involved.

2. Outreach strategy. Outreach strategies for selected target groups or sectors, covering products, communication, relationship and institutional delivery strategies. Managing HR, institutional culture, and organizational structure that may need adaptation or development.

3. Managing diversified portfolios and relationships with key stakeholders. Identifying a pathway for building successful business models for providing green inclusive finance products and services.