SARAJEVO – As part of the “Microbalkans 2024” conference, which ended today in Sarajevo, a Memorandum of Understanding was signed between representatives of the Association of Microfinance Organizations and other alternative financial institutions of the countries of the Western Balkans: North Macedonia, Albania, Serbia, Montenegro, Kosovo and Bosnia and Herzegovina.
The memorandum will strengthen the importance of microfinancing at the national and international level and common goals through active advocacy, improvement of transparency, business practices, ensuring sustainable growth, as well as strengthening the regulatory and legal framework, access to funding sources, education and exchange of experiences.
Jasmina Selimović, Governor of the Central Bank of Bosnia and Herzegovina, addressed the audience at the “Microbalkans24” conference, organized by the Association of Microcredit Organizations of Bosnia and Herzegovina – AMFI, emphasizing that the role of the microfinance sector in Bosnia and Herzegovina, as well as throughout the Western Balkans, is much more significant from the financial aid itself.
„Many families, especially in rural areas, depend on this access to financing to improve living conditions, develop agricultural production or entrepreneurial activities that bring security and stability. Each approved microloan brings not only financial support, but also a message of trust, hope and opportunitySelimović said.
As she stated, one of the key elements of the success of this sector is the ability to connect with the needs of users in a personalized way.
According to her, the provision of non-financial services, such as counseling and education, is becoming an important part of the microfinance approach.
Elma Zukić, president of the Association of Microcredit Organizations of Bosnia and Herzegovina – AMFI, pointed out that “Microbalkans 24” symbolizes connection and solidarity in the sector, showing that, “even though we are called ‘micro,’ our collective influence is ‘macro,’ strong and powerful.” “
„The signing of the memorandum is the cornerstone of our strategy for the future, to strengthen the role of microfinance in supporting vulnerable categories, encouraging energy efficiency and improving transparency in business.Zukić pointed out and added that the Memorandum represents a significant step forward for all microfinance associations of the region, which have committed to cooperation in improving regulatory and legal frameworks, as well as access to international and domestic funding sources.
As she emphasized, the microfinance sector in the Western Balkans shows exceptional results.
„More than 110 non-deposit institutions in six Western Balkan countries actively provide social and financial inclusion. It is estimated that more than three million residents benefit from these services, with an active average portfolio of over two billion euros. These figures not only illustrate the strength of the sector, but also its role in creating financial inclusion and social developmentZukić pointed out.
„In Bosnia and Herzegovina alone, 30 microcredit organizations serve more than 250,000 clients, which directly and indirectly affects the improvement of the living conditions of 21% of citizens. It is estimated that just one microcredit enables the improvement of the living conditions of a family of threeZukić clarified and added that with more than 2,000 employees and around 700 field units across the country, the sector illustrates its strength and role in financial inclusion, social development and achieving sustainable development goals.
Mejra Juzbašić Bajgorić, regional director of “Finance in Motion,” stated that this is an important event for the microfinance industry of the Western Balkans because it represents a new chapter for the further development of the sector, with a focus on the main principles of ESG and sustainable development.
„EFSE, together with the EU, supports the holding of this regional conference and is one of the largest development creditors in the sector and region” said Juzbašić Bajgorić.
Richard Hathaway, EME Regional Vice President, Habitat for Humanity, said they are a leading non-governmental organization dedicated to the vision of “a world where everyone has a decent place to live.”
„Habitat for Humanity International supports low-income people who currently do not have adequate shelter. Recent estimates show that by 2030, three billion people worldwide will be without access to adequate housingHathaway said.
„From 2022, we proudly cooperate with AMFI BiH and its members on the development of microcredit for housing, with the aim of supporting the energy transition of households and climate adaptation in Bosnia and Herzegovina. We hope that our cooperation will also contribute to the creation of a regional microfinance network that could be a key partner in our mission to achieve the Sustainable Development Goals in the Western Balkans. We believe that only through coordinated action can we create lasting changes for people and the environmentHathaway emphasized.
Armin Ridžalović, IFC representative for Bosnia and Herzegovina and Montenegro, said that microfinance institutions play a key role in encouraging the sustainable development of microenterprises, promoting financial inclusion and supporting communities.
„We recognize significant impact in areas such as access to finance for women entrepreneurs, farmers and households, unlocking opportunities for economic growth that can be further enhanced by implementing digital financial solutionsRidžalović said.
The “Microbalkans 24” conference, which ended today in the organization of the Association of Microcredit Organizations of Bosnia and Herzegovina – AMFI and with the institutional patronage of the Central Bank of BiH, the Banking Agency of the FBiH and the Banking Agency of the RS, gathered 250 representatives of the microfinance sector of the Western Balkans.
Agencies
Source: capital.ba
