MicroNed

MicroNed was created in 2006, as a network of the Dutch Development Finance Organisations Cordaid, Hivos, ICCO and Oxfam Novib, to cooperate on a structural basis with respect to the establishment of a specialised sector approach for microfinance. In 2008 the Rabobank Foundation joined MicroNed.

MicroNed has been created to strengthen and coordinate the joint contribution of Development Finance Organizations in the Netherlands to the microfinance sector, so as to improve the quality of services provided, increase efficiency and effectiveness of operations and facilitate the synergy with other finance modalities by investment funds, banks and other financial institutions.

MircoNed does so within the broad policy framework of inclusive financial sectors, whereby it will increase the visibility of the Dutch offer. It envisages a joint ambition level for the longer term, in which coordination and collaboration in countries and regions, as well as on microfinance themes, play a central role.

MicroNed has a secretariat headed by MicroNed’s Executive Secretary. This secretariat, together with the part time input of the Microfinance coordinators of MicroNed’s members, takes care of the following activities:

Strengthening members’ expertise through:
- Joint development of policies and instruments;
- Knowledge development and distribution (knowledge management);
- Human resources development.

Cooperation and coordination in:
- All other MicroNed’s activities like joint development of policies and instruments, joint knowledge management, joint human resources development, etc.
- Selected focus countries.

The improvement of the transparency of total MicroNed member grant activities for microfinance through:
- A database for joint collection and compilation of selected data;
- Publication of an annual report and other relevant documents where appropriate.

The international positioning/increased involvement in international fora and debates.

MicroNed does not provide direct support to retail MFIs; this is the exclusive domain of its members. Members feel that the microfinance activities that they support are an integrated part of overall development programmes and should as much as possible stay close to the non financial programmes in their countries of intervention.

MicroNed members finance a whole range of microfinance activities: MFIs, networks and associations, research institutes, training institutes, wholesalers, etc. Grants to MFIs can be provided for portfolio growth, fixed assets, technical assistance, general capacity building, research & development and operating costs (the latter only in the first years of operations).