Fondation Grameen Crédit Agricole: How Coronavirus affects Microfinance sector
THE MICROFINANCE SECTOR IS EXPOSED AND CONCERNED
On March 19th, according to the latest figures from Santé Publique France, the Coronavirus has reached 213,254 people worldwide. 8 843 deaths are to be deplored. After following announcements of the closings of many institutions and companies, confinement measures continue to be taken around the world. Africa and South America were not officially affected for a long time by the virus, but they now face the crisis with hundreds of cases.
The global sanitary crisis also became an economic crisis. Economic activities are extremely limited in all countries and stock exchanges have lost almost a third of their value in less than a month. Quite logically, the worldwide microfinance sector is also not immune.
For this reason, the Grameen Credit Agricole Foundation's team launched a survey among its partners on March 11th in order to gather their first impressions and analysis, the impact on their clients' activity, on their institution and their potential needs. We also took advantage of our regular interactions with our partners to obtain as much information as possible. All further information in this document come from these resources. 56 Micro Finance Institutions (MFIs) responded to our survey, out of 75 reached partners (75% participation rate) with the last answers received on March 19.
All our partners are expressing in their responses a real concern about the expected effects of this global health crisis.