November 1, 2013
Microfinance products are no longer a niche business; they are increasingly being offered by Latin American banks seeking to expand their services to previously un-banked customers.
The rise of mobile banking has made it easier to provide microfinance — it has brought down transaction costs and removed the need for an extensive branch network.
The result is increased competition. Compartamos Banco has responded by offering a broader suite of products, expanding beyond the group lending model which it still offers under the Crédito Mujer banner.
Headquartered in Mexico City and the largest microfinance bank in Latin America, Compartamos Banco now offers loans to individuals and businesse
As the microfinance industry becomes more competitive, specialist lenders must keep pace with the change