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The aim of this study was to establish the impact of balanced scorecard on the competitiveness of micro-finance institutions in Kenya. The study explored the competitiveness of microfinance institutions in Kenya through the lenses of the four perspectives of the balanced scorecard, that is, internal business processes, financial, growth and learning as well as Customer focus. A descriptive research design was used while the target population comprised of the 48 registered Micro-Finance Institutions in Kenya. The sample size was drawn from the senior management in these Micro-Finance Institutions comprising of finance managers, branch managers, customer relationship managers and operations managers making a total of 192 respondents. A structured questionnaire was used to collect the primary data for the study. The collected primary data was analysed using descriptive and inferential statistics through SPSS. The findings revealed that financial perspective, organizational learning, internal business process and customer focus had a significant influence on the competitiveness of Micro-Finance Institutions in Kenya. It was concluded that through financial perspective, the MFIs would enhance their financial capability to run their operations. Internal business process would enhance the ability of the MFIs to have a smooth efficient operational framework for continued competitiveness. Organizational learning was concluded to be essential in promoting knowledge sharing and ability to solve problems in the MFIs, while customer focus is essential in bringing the customers closer to the MFIs and helping the institutions understand and meet their needs. The study recommended that there is need for the management of the MFIs in Kenya to embrace financial perspective; organizational learning, internal business process and customer focus as balanced scorecard aspects to stir competitiveness. Keywords: Balanced Scorecard, Firm Competitiveness, Micro-Finance Institutions. Title: BALANCED SCORE CARD AND COMPETITIVENESS OF MICROFINANCE INSTITUTIONS IN KENYA Author: ERIC BUNDI GICHOBI, DR. NJERI NJUGUNA International Journal of Management and Commerce Innovations ISSN 2348-7585 (Online) Vol. 10, Issue 1, April 2022 - September 2022 Page No: 111-123 Research Publish Journals Website: www.researchpublish.com Published Date: 12-May-2022 DOI: https://doi.org/10.5281/zenodo.6542070 Paper Download Link (Source): https://www.researchpublish.com/papers/balanced-score-card-and-competitiveness-of-microfinance-institutions-in-kenya, International Journal of Management and Commerce Innovations, ISSN 2348-7585 (Online), Research Publish Journals (Publisher), Website: www.researchpublish.com, {"references":["[1]\tAddis, W., Assemie, G., & Abrahim, K. (2020). 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Putting transformative learning theory into practice. Australian journal of adult learning, 55(1), 9-30.","[16]\tDeressa, M., Brhane, H., & Yasin, M. (2020). Factors Affecting the Implementation of Balanced Scorecard in EthioTelecom: The Case Jimma Ethio-Telecom South-Western Regional Office (Doctoral dissertation).","[17]\tDimitropoulos, P., Kosmas, I., & Douvis, I. (2017). Implementing the balanced scorecard in a local government sport organization for enhanced competitiveness. International Journal of Productivity and Performance Management.","[18]\tErawan, I. G. A. (2020). Implementation of Balanced Scorecard in Indonesian Government Institutions: A Systematic Literature Review. JPAS (Journal of Public Administration Studies), 4(2), 64-71.","[19]\tFalciola, J., Jansen, M., & Rollo, V. (2020). Defining firm competitiveness: A multidimensional framework. World Development, 129, 104857.","[20]\tFatima, T., & Elbanna, S. (2020). 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Capital structure plays an important role in organizational performance. Sources of funds for micro-finance institutions (MFIs) and their performance and financial sustainability become an important topic for the MFIs and poverty alleviation initiatives to achieve sustainable development goals of the UN. We explored the following question: Does the financial structure in terms of financial leverage affect the financial performance: Financial sustainability, depth, and breadth of outreach of MFIs? Our research focuses on studying the relationship between capital structure and financial performance of micro-finance institutions as well as achieving the objectives of this program by reaching out to the deserving clients without collaterals. A dataset of 187 MFIs is used to establish the relationship between the capital structure and performance of MFIs. Panel data regression analysis has been used for this study using the Random effect and Fixed effect models. Return on Asset (ROA), and Net Income to Expenditure (NIER) have been used as measures of financial performance. The findings indicate that Equity to Asset Ratio (EAR), Debt to Loan Ratio (DTL), Risk, and Size are the factors that influence NIER. Furthermore, EAR, and DTL have a positive effect on ROA, and Risk has a negative effect. The findings of this study will enable MFIs to configure their capital structure by creating a portfolio of sources of their capital from market-based sources of funds that can maximize their financial performance and reach out to poor clients without collaterals.

Summary box Economic strengthening interventions are proposed to reduce interpersonal violence, including intimate partner violence (IPV) and violence against children (VAC) in low-income and middle-income countries (LMICs).1–5 This proposition is intuitive, as economic or poverty status and violence are typically correlated.6 7 However, economic interventions are not uniform. Programmes such as social safety nets (eg, cash or in-kind transfers); livelihood, employment or entrepreneurship programmes; microcredit and savings or broader economic policy instruments (eg, tax credits or fiscal subsidies) induce diverse behavioural changes leading to a variety of outcomes by nature of their different designs and target populations. Further, impacts on violence and its predictors may vary by context according to the levels of generalised poverty and cultural or gender norms. Given the global scale of violence, it is imperative to identify effective prevention strategies through rigorous testing in multiple contexts building a reliable evidence base, before recommending scale-up for violence reduction. One type of economic intervention, microfinance institutions (MFIs), including microcredit, micro-savings and individual or group village savings and loan associations (VSLAs), have been highlighted as promising interventions for reducing VAC/IPV by INSPIRE, a multinational partnership launched in July 2016.5 The INSPIRE package is led by the WHO in collaboration with the Centers for Disease Control and Prevention (CDC), End Violence Against Children: The Global Partnership, the Pan American Health Organization (PAHO), the President’s Emergency Plan for AIDS Relief (PEPFAR), Together for Girls, …

Resumen Las instituciones microfinancieras (IMF) en Colombia, que tradicionalmente han sido ejemplo de inclusión financiera, pueden contribuir con los esfuerzos estatales para disminuir los efectos del conflicto armado. Su participación frente a un grupo especial de personas interesadas en reintegrarse a la sociedad las convoca a identificar los retos que surgen de esta labor y a diseñar productos financieros y no financieros, sin comprometer su patrimonio, acordes con el perfil de los sujetos interesados en reemplazar su actividad como partícipes del conflicto armado por actividades de emprendimiento empresarial. Se defiende la tesis que las IMF, no obstante su carácter privado, pueden apoyar las políticas estatales para el posconflicto mediante una ampliación de la cobertura en la prestación de los servicios microfinancieros en las zonas urbanas y en el sector rural. La metodología que se utilizó hace uso de la descripción y el análisis de elementos teóricos que fundamentan la existencia de las IMF y de las actividades que desarrolla; así como de la recolección y análisis de información del entorno dentro del cual prestan sus servicios. Abstract Micro-finance institutions in Colombia, which traditionally have been examples of financial inclusion, can contribute to the government’s efforts to reduce the effects of the armed conflict. Their participation with respect to a special group of individuals who want to rejoin society means they must identify the challenges this effort implies and design financial and non-financial products that do not compromise their equity but are in keeping with the profile of the interested parties. The idea, in this respect, is to replace their activity as participants in the armed conflict with activities involving business enterprises. The article defends the thesis that micro-finance institutions (MFIs), despite their nature as private entities, can support government policies for the post-conflict period by expanding the coverage of the micro-financial services being provided in urban and rural areas. The methodology that was used involves a description and analysis of theoretical elements that support the existence of MFIs and the activities they develop, coupled with collection and analysis of information about the environment in which they render their services. Resumo As instituições microfinanceiras (IMF) na Colômbia, que tradicionalmente são exemplos de inclusão financeira, podem contribuir com os esforços estatais para diminuir os efeitos do conflito armado. Sua participação ante um grupo especial de pessoas interessadas em se reintegrar à sociedade as convoca a identificar os desafios que surgem desse trabalho e a desenhar produtos financeiros e não financeiros, sem comprometer seu patrimônio, de acordo com o perfil dos sujeitos interessados em substituir sua atividade como partícipes do conflito armado por atividades de empreendimento empresarial. Defende-se a tese de que as IMF, embora de caráter privado, possam apoiar as políticas estatais para o pós-conflito mediante uma ampliação da cobertura na prestação dos serviços microfinanceiros nas áreas urbanas e no setor rural. Utilizaram-se como metodologia a descrição e a análise de elementos teóricos que fundamentam a existência das IMF e das atividades que desenvolvem, assim como a coleta e a análise de informação do contexto no qual prestam seus serviços.

Employing a unique dataset that covers households from six West African capitals, this paper provides new evidence on the demand for informal sector products and services. We first investigate whether demand linkages exist between formal and informal products and distribution channels, and whether there is an overlapping customer base, which would imply that both formal sector wage earners and informal workers buy both formal and informal products using both formal and informal distribution channels. In a second step, we estimate demand elasticities based on Engel curves. We find a strongly overlapping customer base and strong demand-side linkages between the formal and informal sector, with the exception that informal goods are hardly bought through formal distribution channels. The estimated demand elasticities tend to show that rising incomes are associated with a lower propensity to consume informal sector goods and to use informal distribution channels. We therefore conclude that the informal sector in West Africa is likely to be constrained from the demand side.

Micro-finance appears today as the most promising tool in the struggle against poverty and banking exclusion. By providing micro-credit, collecting saving and supplying microinsurance, microfinance institutions (MFIs) are renewing the banking activity by practices as innovative as the group lending method. However, the real impacts of the microfinance on target populations are to be confirmed, theirevaluation colliding with numerous difficulties. Nevertheless, the future development of micro-finance depends on its superiority over other tools in achieving its objectives. Hence, the need to develop more rigorous studies on the impacts, and mature reflection on sources of funding for MFIs in a context of growing of ethical finance and socially responsible investment.

Myanmar’s financial system is undergoing a rapid transformation. A history of economic isolation has left Myanmar with small and underdeveloped financial institutions and very low access to financial services. Since 2011, however, demands on the financial system have grown exponentially with increased trade and investment, growing household income, and expanding government operations. While recent reforms have stimulated financial sector growth, much more needs to be done to establish a competitive and vibrant financial sector that can meet the needs of Myanmar’s expanding economy, boost incomes, and reduce poverty particularly among those living in rural areas. Increasing access to financial services is critical to achieving shared prosperity in Myanmar.

Growing research and policy interest focuses on the misallocation of output and factors of production in developing economies. This paper considers the possible misallocation of financial loans. Using plant-level data on the organized and unorganized sectors, the paper describes the temporal, geographic, and industry distributions of financial loans. The focus of the analysis is the hypothesis that land misallocation might be an important determinant of financial misallocation (for example, because of the role of land as collateral against loans). Using district-industry variations, the analysis finds evidence to support this hypothesis, although it does not find a total reduction in the intensity of financial loans or those being given to new entrants. The analysis also considers differences by gender of business owners and workers in firms. Although potential early gaps for businesses with substantial female employment have disappeared in the organized sector, a sizeable and persistent gap remains in the unorganized sector.

The Country Partnership Framework (CPF) will succeed the Myanmar interim strategy note (FY13-14) and be the first full country strategy for Myanmar since 1984. This CPF comes at a time of great opportunity for Myanmar; over the three year period covered in this CPF, the reforms initiated in 2011 have the potential to bring Myanmar into a new era of peace and prosperity. Myanmar s history, ethnic diversity, and geography combine into a unique set of development challenges and opportunities, including (i) emergence from a long period of international isolation; (ii) widespread poverty, despite rich land, water, and mineral resource endowments; (iii) a strategic location in the fastest-growing region in the world; (iv) the role of the military and associated groups in the economy; and (v) long standing armed conflict and ethnic and religious tensions. Myanmar is on a path of fundamental transformation, seeking to address all these challenges and opportunities simultaneously. Along with unique opportunities, the CPF supported program will also face substantial risks. Political risks associated with the elections in late 2015 include a polarization among stakeholders, policy discontinuity, and a slow-down of reforms. The national peace process to resolve decades-old conflicts remains fragile. On the economic front, risks include vulnerability to volatile oil and gas prices, spending pressures, an underdeveloped financial sector, and a weak regulatory framework, while overall capacity constraints may limit the country s ability to effectively manage macro-financial shocks. The design of the WBG program will help manage and mitigate these risks, and the WBG will regularly review risks and opportunities and adapt the CPF during implementation as warranted. A performance and learning review planned for late FY16 will facilitate the adaptation of the WBG program to country developments as needed.

This report is a synthesis of fieldwork findings and recommendations developed since October 2012 under this Technical Assistance (TA) carried out by the World Bank’s Water and Sanitation Program (WSP). The recommendations have been developed through on-going consultations and meetings with the Directorate of Environmental Sanitation and Directorate General of Human Settlements, Ministry of Health, and Government of Indonesia. This report describes and assesses the performance of technical assistance TA-P143167, ‘rural sanitation market expansion of domestic private sector in Indonesia,’ provided by the World Bank through the Water and Sanitation Program (WSP) carried out from October 2, 2012 to March 31, 2015 to support the development of a rural sanitation market in Indonesia. This technical assistance (TA) was implemented as parts of a larger effort to assist the Government of Indonesia achieve at-scale results in rural sanitation through its National Strategy for Community-Based Total Sanitation (Sanitasi Total Berbasis Masyarakat - STBM).

This paper is organized as follows: this introduction is followed by a primer on the industry and on the evolution of the microfinance sector. The authors then examine the structure of the microfinance industry, (a) NGOs, cooperatives and credit unions, and commercialized vehicles; how they differ and why corporate governance differs according to the nature of the MFI; and (b) large networks, investment and bank-holding groups, and social services/faith-based groups. The authors then consider how corporate governance evolves and develops in MFIs as their structure and ownership changes. This is followed by an examination of the recurring issues and growing risks in the microfinance industry. The authors conclude with a look at the responses of governments, investors, and the industry itself to these issues and risks and propose some next steps.

This report explores the potential financing mechanism options that can be employed to catalyze more private sector investment in clean energy (renewable energy and energy efficiency) in the small island developing states (SIDS). Various financial instruments that have been used successfully to date are described and placed in the context of the issues and constraints of the SIDS, with suggested options for discussion and follow up. Green infrastructure finance, as defined in the report, makes the important point that is the combination of financial and nonfinancial interventions and instruments that can make green investments in infrastructure more affordable and less risky to private sponsors, financial markets, and governments. The objective of this report is to identify and assess options that can help increase investment in renewable energy and energy efficiency in SIDS through the adoption and funding of financing mechanisms by SIDS and development partners with special attention given to the role that the private sector can play. Many renewable energy technologies are characterized by high initial capital costs with relatively low operating costs compared to thermal alternatives. By providing an analysis of options for a financing facility to catalyze renewable energy and energy efficiency, this work is intended to inform the discussions among SIDS and development partners interested in actions to stimulate investment in renewable energy and energy efficiency. This report summarizes the results of the two stages. The assessment and selection of options identifies a number of measures that will be needed to stimulate increased private sector participation - project sponsors and developers, equity funds, lending institutions - for energy efficiency and renewable energy. The background material reviewed for this report has been summarized in the annexes.

This 2014 Report on the Observance of Standards and Codes in Accounting and Auditing (ROSC A&A) is the second review for Ghana. Its main objectives are to: assess the degree to which the policy recommendations of the 2004 review have been implemented, identify any emerging issues since the last review and develop policy recommendations that, once implemented, would further enhance the quality of financial reporting in the country. While growth has been spurred by favorable commodity prices for gold and cocoa, the start of commercial production of oil and a booming services sector, there is still room for improvement in the business environment, business confidence and financing of the economy. The implementation of the policy recommendations contained in this report will contribute to improved business environment and investor confidence, an essential factor for economic growth.

The auditing profession in Chad is characterized by the existence of numerous practitioners who provide accounting and auditing services illegally, in violation of community regulations, and whose qualifications often do not meet the international standards. To date, Chad has not yet set up a national association of chartered accountants. One of the most pressing areas in transposing community texts relates to the establishment of a national association of chartered accountants, whose existence is essential for the development and practice of the accountancy profession in Chad. It is also important for consolidating accounting and auditing processes, improving the quality of financial reporting, facilitating access to credit and supporting foreign direct investors, as well as improving the competitiveness of national businesses. With regard to the accounting standards, the Uniform Act (UA) organizing and harmonizing accounting systems for businesses, as well as the accounting chart of accounts and the provisions put in place by the Commission Bancaire d'Afrique Centrale (COBAC) and the Conference Interafricaine des Marches d'Assurances (CIMA) code, there has been very little change since their entry into force towards the end of the 1990s. This is due to shortcomings in the functioning of the regional bodies in charge of ensuring that these texts were updated in line with changes in the accounting, economic, and legal fields. Looking ahead, the major areas of focus in seeking to strengthen the legal and regulatory framework governing accountancy and auditing professions in Chad are the following: (i) the reclassification of CEMAC licensed accounting technicians in Chad in the category of public accountants, in accordance with community regulations, (ii) the establishment of a national association of chartered accountants, (iii) the proper functioning of the national accounting standards commission, (iv) the adoption of auditing professional standards and a code of ethics in line with those established by International Federation of Accountants, or IFAC independent standard-setting board, (v) the strengthening of initial training through the improvement of the quality of the national curriculum and by drafting a continuous professional training plan, and (iv) the capacity building of the Court of Accounts to enable it implement INTOSAI auditing standards in order to ensure proper supervision of public enterprises.

As we think about the last several decades and what has really moved the needle in international development, we can't help but acknowledge the revolution in financial services to the poor that has grown into the multi-billion dollar micro-finance industry.

The Reserve Bank of Zimbabwe (RBZ) in 2004 promulgated micro-finance policy with the aim of promoting entrepreneurship activities in small and medium scale enterprises (SMEs) in Zimbabwe. The study investigated the effectiveness of Micro Finance Institutions (MFIs) in promoting entrepreneurs in Bulawayo in the period 2009 to 2012. A descriptive survey research design was adopted. The research revealed that only a few entrepreneurs had accessed loans from MFIs, due to high interest rates, ignorance of the existence of MFIs as well as lack of trust and confidence in the MFIs. It was concluded that MFIs in Bulawayo are less effective in promoting entrepreneurs. The researchers recommended that the RBZ and Zimbabwean Association of Micro Finance Institutions (ZAMFI) must ensure transparency and integrity in MFI operations to increase their outreach. In addition, ZAMFI and its members must enhance public awareness about MFIs operations through various promotional strategies

European Commission This chapter highlights the growing global and European financial inclusion agenda and provides a brief assessment of vulnerability and labor market outcomes for Roma in Eastern Europe. Financial inclusion is considered by many to be among the main instruments to improve welfare, especially among the poor, which need financial services as much as, if not more, than non-poor, to reduce vulnerability and improve self-employment. Following a brief description of the main data sources used in the analysis, the chapter highlights the very high levels of vulnerability and exclusion among Roma in Eastern Europe and the poor labor market outcomes by any measure, including extremely low employment rates and high informality. Against this background, the following chapters assess financial exclusion among Roma, and self-employment levels and (credit) barriers to starting businesses. The final chapter highlights international experiences promoting comprehensive, incremental approaches to financial inclusion.

This paper focused on the delivery mechanisms for bilateral, multi-lateral, host government subsidy, and consumer cross-subsidy funding to enhance private sector investment. However, the specific source of funds is not deemed to be especially relevant for the purposes of this working paper. Focus on some of the useful characteristics of Output-Based Aid (OBA) experience to date that may be relevant. Propose an option for how OBA experience could be used to deliver national and programmatic supports to projects in middle- and low-income countries in coordination with other multi-lateral development bank instruments such as concessional loans and credits. This working paper does not: specifically address strengths and weaknesses of the clean development mechanism and only briefly touches on issues with using carbon finance in the current market. Carry out an assessment of experience with feed-in tariffs or advanced market commitments, or indeed other results orientated schemes.

Micro and Small Enterprises (MSEs) in developing countries are typically considered to be severely credit constrained. Additionally, high business risks may partly explain why capital stocks of MSEs remain low. This article analyzes the determinants of capital stocks of MSEs in poor economies focusing on credit constraints and risk. The analysis is based on a unique, albeit cross sectional but backward looking, micro data set on MSEs covering the economic capitals of seven West-African countries. The main result is that capital market imperfections indeed seem to explain an important part of the variation in capital stocks in the early lifetime of MSEs. Furthermore, the analyses show that risk plays a key role for capital accumulation. Risk-averse individuals seem to adjust their initially low capital stocks upwards when enterprises grow older. MSEs in risky activities owned by wealthy individuals even seem to over-invest when they start their business and adjust capital stocks downwards subsequently. As other firms simultaneously suffer from capital shortages, such behavior may imply large inefficiencies.

This is the final consolidated report of an extensive program to assess the financial performance and capacity building needs of the UPK Revolving Loan Funds under the PNPM Mandiri project. As explained in the report, the assessment program covered 508 rural and urban UPKs in the provinces of Central Java, Yogyakarta, Nusa Tenggara Timor and West Sumatra. The aim was to cover 30 percent of rural UPK RLFs in these four provinces and 10 percent of the urban UPKs in order to establish the achievements and determine areas of improvement to enable these UPKs to provide a better service to the low income families in their operational areas. This report covers all 267 rural UPK RLFs and 241 urban UPKs identified for the purpose in the four provinces.

This Report on the Observance of Standards and Codes (ROSC) provides an assessment of the strengths and weaknesses of the existing financial reporting infrastructure that underpins financial accounting and auditing practices in Cape Verde. The assessment focuses on six pillars of financial reporting infrastructure: statutory framework, professional education and training, accountancy profession, accounting standards, auditing standards, and monitoring and enforcement of the applicable standards. The main purpose of this assessment is to assist the development and implementation of a country action plan for strengthening institutional capacity with attendant effects on enhancing corporate financial reporting in Cape Verde. The findings reveal that Cape Verde has recognized the importance of a strong corporate financial reporting architecture. In terms of accounting and auditing standards, Cape Verde adapted International Financial Reporting Standards (IFRS) for the private companies and fully adopted IFRS for banking and insurance institutions sector. However, there is no tradition of financial analysis in the country (except within the financial institutions when issuing credit) and no credit-rating agencies. The banks do not rely on corporate financial statements; generally, the lenders manage credit risks using collaterals. The Bank of Cape Verde mandated IFRS for banks and insurance companies in 2008. In addition, the capacity of regulators would be built to cope with the demands of IFRS-compliant financial reporting. The central bank would include in its scope the regulation of micro-finance institutions, which are currently unregulated. In order to improve the legal framework of corporate financial reporting, there is need to enact a Financial Reporting Act with focus on all regulatory aspects of accounting and auditing.

(english) This paper investigates the dynamics of the informal sector in Madagascar during a period of fragile growth. Overall, the behavior of informal firms in terms of earnings, employment and capital accumulation points to a degree of heterogeneity which goes beyond a simple dualistic model and even a more refined model that would distinguish between an upper entrepreneurial and a lower subsistence tier within the informal sector. However, in line with the dualistic model, the informal sector indeed fulfils a labor absorbing function in times of crisis. During the growth period we see capital accumulation in most of the sectors and lots of evidence that households expand their activities. However, this happens mainly through the creation of new firms instead of the expansion of existing ones, which is consistent with much higher returns at very low levels of capital. More rapid expansion can be observed in sectors that operate with lower capital intensity, which is also consistent with risk or credit constraints as major deterrents to expansion. While there is some indication that total factor productivity increased over time, returns to capital and labor where not higher at the end of the observation period than at the beginning. Returns are also rather low at high levels of capital. These findings point to a limited growth potential of the informal sector as a whole. The heterogeneity in capital returns hints at large inefficiencies in allocating capital across informal firms. _________________________________ (français) Cet article examine la dynamique du secteur informel à Madagascar pendant une période de croissance fragile. Le comportement des firmes informelles en termes de revenus, d’emploi et d’accumulation du capital suggère un degré d’hétérogénéité allant au-delà du modèle dualiste classique, et même d’un modèle plus fin distinguant, au sein du secteur informel, un segment entrepreneurial et un segment de subsistance. Cependant, conformément au modèle dualiste, le secteur informel a absorbé le surplus de travail en temps de crise. Pendant la période de croissance, on constate une accumulation de capital dans la plupart des secteurs d’activité et une expansion des activités des ménages. Ceci se traduit pourtant principalement par la création de nouvelles firmes plutôt que par la croissance de firmes existantes, en lien avec des rendements beaucoup plus élevés à des faibles niveaux de capital. Une expansion plus rapide peut être observée dans les secteurs à faible intensité capitalistique, ce qui tend également à confirmer que le risque et les contraintes de crédit sont des obstacles à l’expansion. Alors que les résultats montrent que la productivité totale des facteurs a augmenté, les rendements du capital et du travail ne sont pas plus élevés à la fin de la période étudiée qu’au début. Les rendements sont également plutôt faibles à des niveaux élevés de capital. Ces résultats indiquent un potentiel de croissance globalement limité des firmes informelles. Enfin, l’hétérogénéité des rendements du capital plaide en faveur d’une allocation sous-optimale du capital dans le secteur informel.

Adaptation to human-induced climate change is currently receiving a lot of attention in international development circles. But throughout human existence, natural resource-dependent people have exploited and coped with the effects of climate variability on the ecosystems from which they derive a living. Learning from this experience can help inform the design of appropriate policies for responding to human-induced climate change. This paper presents the results of a World Bank study which sought to better understand the role of local institutions in supporting adaptation to climate variability and change in Ethiopia, Mali and Yemen. The study raised three questions. First, what strategies have been adopted by rural households in the past to adapt to climate variability? Second, to what extent do institutions of various sorts assist households in adopting adaptation strategies? And third, what are the factors that prevent households from adopting appropriate adaptation strategies? For the purposes of this paper, institutions are defined as structured, formal or informal organizations. The study followed a three-step approach. First, drawing on original data from field surveys, focus group discussions and institutional stakeholder interviews, household vulnerability to climate variability was characterized in terms of its three constituent elements: exposure to climate-related shocks and stresses, and sensitivity and adaptive capacity in the face of such stressors. Sensitivity refers to the degree to which people are affected by climate variability and change. High levels of exposure and sensitivity and low levels of adaptive capacity generally result in high levels of vulnerability. But a high level of exposure need not necessarily result in a high level of vulnerability if the household's adaptive capacity is also high.

Social reproduction is the highest for self-employed as shown by an extensive literature from developed and developing countries. Very few studies however document the reason for this high intergenerational correlation of the self-employed status. The rare studies that have been done concern the US and show that children of self-employed benefit from an advantage when they are themselves self-employed. The purpose of this paper is to test if the second-generation of self-employed has an advantage related to the first-generation in the African context. It aims at highlighting the debate on firms heterogeneity in the informal sector, and seeks to contribute to understand the intergenerational transmission of inequalities. Using 1-2-3 surveys collected in the commercial capitals of seven West African countries in 2001-2002, this paper shows that the second-generation of informal selfemployed does not have better outcomes than the first one, except when they choose a familial tradition in the same sector of activity. Thus, in the African context, having a self-employed father does not provide any advantage in terms of profit or sales and is not sufficient for the transmission of valuable skills. On the other hand, informal entrepreneurs who have chosen a specific enterprise based on familial tradition have a competitive advantage. Their competitive advantage is partly explained by the transmission of enterprise-specific human capital, acquired through experiences in the same type of activity and by the transmission of social capital. _________________________________ Très peu d’études documentent les raisons de la très forte reproduction sociale observée parmi les entrepreneurs, aussi bien dans les pays développés que dans les pays en développement. Les rares études, portant sur les E.U, montrent que les enfants d’entrepreneurs ont de meilleures performances quand ils sont eux-mêmes entrepreneurs que les enfants de salariés. Cet article teste si ce résultat se vérifie dans le contexte du secteur informel ouest-africain et cherche à en comprendre les raisons. Il vise par conséquent à éclairer le débat portant sur l’hétérogénéité des entreprises informelles, en identifiant des facteurs de succès, mais il cherche aussi à mieux comprendre les mécanismes à l’origine de la transmission intergénérationnelles des inégalités en Afrique. En se basant sur les enquêtes 1-2-3 collectées dans sept capitale ouest-africaines, cet article montre que la seconde génération d’entrepreneurs informels ne bénéficient pas d’un avantage comparatif, sauf s’ils bénéficient d’une tradition familiale dans leur secteur d’activité. Ainsi, dans le contexte ouest-africain, avoir un père entrepreneur ne suffit pas à la transmission de compétences managériales. En revanche, les entrepreneurs qui ont choisi leur secteur d’activité par tradition familiale ont un avantage qui s’explique principalement par la transmission de compétences spécifiques au secteur d’activité et par la transmission d’un capital social.

This paper analyses the impact of a microfinance institution (MFI) serving small informal enterprises in Antananarivo (Madagascar). The methodology consists of comparing over time the situation of a representative sample of clients' enterprises with a control group, constructed in an almost experimental way through a standard propensity-score matching technique. Overall, the results indicate a positive impact of the project. Taken as a snapshot, the evaluations successively conducted in 2001 and 2004 indicate that the clients' enterprises recorded better average performance than enterprises without funding. With a dynamic perspective however, the results are more nuanced. If the positive effect of the project is clear during growth phases, its effect during economic recessions appears less certain.

This report was initiated at the request of the Iraqi government to get a better understanding of the overall financial sector in Iraq. The main objective of the report was to develop a comprehensive assessment of the financial sector. This report takes a first look at the overall financial system of Iraq with a forward looking approach. Key findings of the report are: 1) Iraq's financial sector is dominated by the banking system, with most assets held by state-owned banks; 2) many private banks are in the process of developing modern banking practices, but still need further strengthening and consolidation; 3) other financial markets are concentrated at the Iraqi stock exchange but capitalization is low, and few instruments are traded; 3) the insurance sector is small, dominated by state- owned enterprises, and is not supervised; 4) weak financial infrastructure is a clear impediment to access to finance; and 5) Small Medium Enterprises (SME) and microfinance is not well developed.

Output-Based Aid (OBA) and other results-based financing mechanisms are gaining popularity in the development context for many reasons, in particular, the desire to link scarce public funding with actual results on the ground. But withholding disbursements until the delivery of 'results' or 'outputs' requires that the service providers delivering the results must have access to finance (A2F) to pay for the 'inputs' in the first place. Such finance is not always available or affordable. The purpose of this working paper is to outline some of the key issues related to OBA and A2F. The analysis focuses on the energy, water, and health sectors. Micro, small and medium enterprise (MSME) financing is the main topic; however, OBA is ultimately about poor households affording access to basic services, and many OBA schemes attempt to address A2F for households, so some of these innovations are also described. The working paper is expected to support a consultative process between experts dealing with A2F challenges and experts on OBA. This process should help raise awareness of the OBA approach among potential financiers, and help consider solutions (instruments, partnerships, capacity building) so that OBA and other similar results-based financing mechanisms can be brought to scale and integrated into broader sector policy, where appropriate.