Microfinance Assessment Consultancy to Darfur, Sudan: February-March 2010

This report presents the options and feasibility for microfinance as part of a conflict sensitive livelihood strategy in Darfur, Sudan.

The report assesses demand and supply of microfinance, identifies constraints to development of microfinance and highlights opportunities. It also evaluates the potential of microfinance to improve access for households and enterprises to alternative energy sources, mobile phone based remittances and other financial services. It includes a discussion on the role of MFIs in natural resource management and environment conservation.

The report notes that Darfur has a dearth of microfinance intermediaries and institutional structures that could develop into MFIs. It suggests that local stakeholders and champions of microfinance be given technical assistance to set microfinance off on a more sustainable path. It recommends interventions that focus on:

• Improving microfinance services through existing providers;
• Improving outreach and sustainability through new technologies;
• Developing sustainable financial products and services to support environmental protection.