This paper focuses on how rural MFIs can have safe and sound programs in the context of the HIV/AIDS pandemic. The author describes the impact of HIV/AIDS on agricultural households specifically in terms of income, expenses, and borrowing (i.e., more emergency loans). He also discusses the impacts on MFIs. After discussing ways that MFIs are currently trying to cope with the pandemic, the author suggests modifications that MFIs can make, such as encouraging prevention by working with other organizations, encouraging savings, developing flexible loan programs, increasing supervision of clients, and decreasing clients’ time commitments during a crisis. These strategies can be affective for urban MFIs as well as rural ones.

Length: 22 pages
Type of file: PDF