Perhaps the Commission should have thought about elaborating standards before having invested in fostering microcredit at all cost. But better now than never. Why doesn’t the Commission also conduct research on evaluating microcredit ventures in the EU. Improvements in regulation, policy and institutional characteristics can only benefit from critical analysis. Below the press release and the Code.
11.10.2011
The Commission is publishing today a European Code of Good Conduct for microcredit provision. This Code provides recommendations and standards that should foster best practice in the microcredit sector. It is intended to provide guidance for microcredit providers from the point of view of consumers, investors, funders and regulators.
By setting out good practice guidelines and identifying expectations and common principles, the Commission is seeking to support the microcredit sector in facing the challenges of accessing long term finance, maintaining and raising the quality of services and moving towards sustainability.
Organised in a practical way, this voluntary Code of Good Conduct is divided into five indexed sections addressing customer and investor relations, governance, common reporting standards, management information systems and risk management.
This document was developed in close consultation with a large number of stakeholders including representatives of the banking and non-banking micro-credit sectors.
Links:
Press release: European Code of Good Conduct for Microcredit Provision
Link to EC Jasmine website: microcredit provision
PDF copy of the Code: European Code of Good Conduct for Microcredit Provision |
