Publication: Profit with Purpose, Making Banking on Women Impactful: Learnings from BLC Bank Lebanon, Garanti Bank Romania, Garanti Bank Turkey
Loading...
Date
2016-08
ISSN
Published
2016-08
Author(s)
Editor(s)
Abstract
The overall objective of this report is to learn about the results of the International Finance Corporation (IFC) ‘Banking on Women Program’ (BoW) in Europe, Central Asia, the Middle East and North Africa (EMENA) as well as other Banking on Women programs. Established in 2010, IFC’s ‘Banking on Women Program’ uses IFC’s investment capital to help financial institutions around the world with lending track records to small and medium enterprises (SMEs) to profitably expand their portfolios and provide women entrepreneurs with access to finance. IFC also works with financial institutions to deepen their ability to reach women-owned businesses through segmenting their target market, positioning their brand and repositioning their products to reach female borrowers. Garanti Bank Romania, BLC Bank in Lebanon, both IFC client banks, and Garanti Bank Turkey3, were selected for this publication as individual case studies. Each of the three case studies looks at the existing capacity and performance of each of these banks in terms of serving women entrepreneurs. In doing so, the study places particular emphasis on the extent to which these banks are able to deliver their women banking programs in a commercially viable, self-sufficient manner that is based on the bank’s own in-house resources and capacities. Where possible, each study also aims to understand if and how the female borrower segment has affected each bank’s business (bottom line, sustainability and growth targets). A separate and parallel assessment of this program looks at the impact of the program on the end beneficiaries, i.e. women-owned SMEs. This beneficiary survey will provide insights into how effectively the bank’s female borrowers are reached and served. Ultimately, this study aims to generate learning for IFC and its client banks in order to strengthen the design and delivery of the banks’ BoW program, as well as IFC engagements in this area.
Link to Data Set
Citation
“International Finance Corporation. 2016. Profit with Purpose, Making Banking on Women Impactful: Learnings from BLC Bank Lebanon, Garanti Bank Romania, Garanti Bank Turkey. © World Bank. http://hdl.handle.net/10986/25406 License: CC BY-NC-ND 3.0 IGO.”
Associated URLs
Associated content
Other publications in this report series
Journal
Journal Volume
Journal Issue
Collections
Related items
Showing items related by metadata.
Publication Women-Owned SMEs in Indonesia(International Finance Corporation, Washington, DC, 2016-03)Indonesia, a member of the G20 since 2008, has become one of the largest economies worldwide with the promise of substantial growth potential in the coming decades. In order to realize this potential, the government of Indonesia has identified the role of the Micro, small and medium enterprise sector as pivotal to promoting growth, creating jobs, and alleviating poverty. This joint International Finance Corporation (IFC) study on Women-Owned Small and Medium Enterprises (SMEs) in Indonesia makes a significant contribution in understanding women’s economic empowerment in the country by presenting a comprehensive analysis that captures original data. More than half of Indonesia’s SMEs are owned by women. And even though businesses run by women and men should in theory contribute equally to economic growth, the reality is that women face many more constraints in starting and growing their businesses, including obtaining business finance. This study intends to inform the government, private and state-owned banks, and the international community about the constraints faced by small businesses, particularly those owned by women. Additionally, the objective is to establish a business case for banks to help them realize the growth opportunity and contribute to their profitability by servicing this sector. It is clear from this report that significant reform will be necessary to improve both the business enabling environment for women and more importantly, to increase their access to finance. This book is arranged as follows : Following introduction, Chapter 2 provides an overview of the SME sector and summarizes the key findings about the enabling environment. Chapter 3 discusses access to finance, and the supply and demand of bank loans for SMEs and women-owned SMEs, Chapter 4 focuses on specific challenges, patterns of access, usage and demand for financial services by women-owned SMEs. Chapter 5 provides recommendations for the government, Bank Indonesia and banks in general, and Chapter 6 draws conclusions.Publication Garanti Bank Romania(International Finance Corporation, Washington, DC, 2016-10-19)The overall objective of this study is to learn about the results of the International Finance Corporation (IFC) “Banking on Women Program” (BoW) in Europe, Central Asia and the Middle East (EMENA). Established in 2010, IFC’s “Banking on Women Program” uses IFC’s investment capital to help financial institutions around the world with SME lending track records to profitably expand their portfolios and provide women entrepreneurs with access to finance. IFC also works with financial institutions to deepen their ability to reach women owned businesses through segmenting their target market, positioning their brand and repositioningtheir products to reach women borrowers. As of 2016, IFC’s BoW Program has a portfolio of over$1 billion, invested in 32 banks around the world for on-lending to women, and is working with 22banks globally to build up their capacity to bank women. IFC’s “Banking on Women Program” in EMENA was launched in 2011. Since then, IFC has provided over 130 million dollars in finance to six banks foron-lending to women entrepreneurs: Garanti BankRomania, Fibabanka A.Ş. Turkey, AlternatifbankAS in Turkey , Şekerbank T.A.Ş in Turkey, Bankof Georgia, Transcapitalbank in the RussianFederation. IFC has delivered advisory services toan additional five banks to build up their capacityto serve women customers (BLC Bank in Lebanon,Bank al Etihad in Jordan, Bank Muscat in Oman,Habib Bank Ltd in Pakistan and Bank of Palestine).The EMENA program is active in nine countries. Garanti Bank Romania and BLC in Lebanon,both IFC client banks, were selected for study as individual cases. Each study looks at the existing capacity and performance of each of these banks interms of its service to women entrepreneurs in thelong-term in a commercially viable, self-sufficient manner that is based on the bank’s own in-house resources and capacities. Where possible, each studyalso aims to understand if and how the women borrower segment has affected each bank’s business (bottom line, sustainability and growth targets). A separate phase two of this study is being considered,wherein the impact of the program on the end beneficiaries, women-owned SMEs, will be assessed.This beneficiary survey will provide insights into how effectively the bank’s women borrowers are reachedand served. Ultimately, this study aims to generate learning for IFC and its client banks in order to strengthen the design and delivery of the banks’ BoW program, as well as IFC engagements in this area.Publication BLC Bank - Lebanon(International Finance Corporation, Washington, DC, 2016-08-31)The overall objective of this study is to learn about the impact of International Finance Corporation’s (IFC) Banking on Women (BoW) Program in the Europe and Central Asia and the Middle East and North Africa (EMENA) through BLC Bank of Lebanon. The objective of this specific case study is to understand the success of the BoW program for BLC Bank in Lebanon in terms of the program’s contribution to the bank’s bottom line, the growth and sustainability of the BoW business, as well as the capacity created within the bank to sustainably service women entrepreneurs and consumers. BLC Bank’s BoW Program has been branded by the Bank as the, We Initiative (Women Empowerment Initiative) and will be referred to as such throughout the study. The focus of the study is on what the authors consider as aspects critical to a successful BoW investment and advisory program. Particular attention is paid to acknowledging the varying influences on a client bank’s success including but not limited to different types of IFC interventions, stages of program maturity, client buy-in and commitment and data challenges. The focus of the study is on banking for women-led Small and medium enterprises (SMEs). The definition of women-led SMEs for the purpose of this study is based on the definition provided by BLC Bank Lebanon.Publication Micro, Small, and Medium Enterprise Finance(International Finance Corporation, Washington, DC, 2017)Lending to women-owned micro, small, and medium enterprises (MSMEs) as a distinct segment is still unexplored when compared to lending to MSMEs in India. Due to a lack of segmental focus and, perhaps, due to a higher perception of risk, formal financial institutions have made little effort to better understand this segment. There is a lack of awareness among bankers of the potential business opportunity presented by this segment. One reason for this is the lack of data that will help present a business case to target this emerging sector. In cases where formal institutions have created women-MSME targeted credit schemes, lack of awareness and limited outreach (especially in rural areas) has meant that the impact is limited. IFC’s work in this area aims to (a) build awareness about opportunities in access to finance for women-owned businesses; (b) demonstrate commercial viability of offering financial services to this sub-segment; and (c) strengthen capacity of the financial sector to offer targeted financial services to women entrepreneurs. As part of its intervention in this sector, IFC organized a roundtable with representatives from banks, non-banking financial institutions, and industry associations to understand perspectives and discuss financial access for women-owned businesses. The discussion began to build awareness of the opportunities in the women entrepreneurs’ segment for financial institutions, and best practices involved. This report aims to assess the gap in demand and supply of finance, highlight the opportunity in serving women entrepreneurs, and catalogue initiatives taken by financial institutions in access to finance for women-owned businesses in India. The report presents the findings of a scoping study based on secondary research and primary interviews, together with key themes of the roundtable discussion, and recommends potential interventions by financial institutions to address the lack of access to formal finance for women-owned businesses in India.Publication Why Banks in Emerging Markets Are Increasingly Providing Non-financial Services to Small and Medium Enterprises(Washington, DC, 2012)Banks in emerging markets are increasingly providing non-financial services to their SME clients, typically consisting of information sharing, training and consultancy. This study, published by IFC in partnership with the Austrian Government, is the first to explore reasons behind this trend, finding that banks' key motivations include attracting and retaining customers, and strengthening portfolio quality. The report consists of an overview followed by case studies of three banks, namely Türk Ekonomi Bankasý (TEB), Standard Chartered Bank (SCB), and ICICI Bank. It is estimated that there are 365 to 445 million formal and informal micro, small, and medium enterprises, with a subset of 25 to 35 million formal SMEs, in the developing world. Of these, 70 percent do not use external financing from financial institutions, although they are in need of it. Approximately 85 percent suffer from credit constraints.
Users also downloaded
Showing related downloaded files
Publication Media and Messages for Nutrition and Health(World Bank, Washington, DC, 2020-06)The Lao People’s Democratic Republic (Lao PDR) has experienced rapid and significant economic growth over the past decade. However, poor nutritional outcomes remain a concern. Rates of childhood undernutrition are particularly high in remote, rural, and upland areas. Media have the potential to play an important role in shaping health and nutrition–related behaviors and practices as well as in promoting sociocultural and economic development that might contribute to improved nutritional outcomes. This report presents the results of a media audit (MA) that was conducted to inform the development and production of mass media advocacy and communication strategies and materials with a focus on maternal and child health and nutrition that would reach the most people from the poorest communities in northern Lao PDR. Making more people aware of useful information, essential services and products and influencing them to use these effectively is the ultimate goal of mass media campaigns, and the MA measures the potential effectiveness of media efforts to reach this goal. The effectiveness of communication channels to deliver health and nutrition messages to target beneficiaries to ensure maximum reach and uptake can be viewed in terms of preferences, satisfaction, and trust. Overall, the four most accessed media channels for receiving information among communities in the study areas were village announcements, mobile phones, television, and out-of-home (OOH) media. Of the accessed media channels, the top three most preferred channels were village announcements (40 percent), television (26 percent), and mobile phones (19 percent). In terms of trust, village announcements were the most trusted source of information (64 percent), followed by mobile phones (14 percent) and television (11 percent). Hence of all the media channels, village announcements are the most preferred, have the most satisfied users, and are the most trusted source of information in study communities from four provinces in Lao PDR with some of the highest burden of childhood undernutrition.Publication The Journey Ahead(Washington, DC: World Bank, 2024-10-31)The Journey Ahead: Supporting Successful Migration in Europe and Central Asia provides an in-depth analysis of international migration in Europe and Central Asia (ECA) and the implications for policy making. By identifying challenges and opportunities associated with migration in the region, it aims to inform a more nuanced, evidencebased debate on the costs and benefits of cross-border mobility. Using data-driven insights and new analysis, the report shows that migration has been an engine of prosperity and has helped address some of ECA’s demographic and socioeconomic disparities. Yet, migration’s full economic potential remains untapped. The report identifies multiple barriers keeping migration from achieving its full potential. Crucially, it argues that policies in both origin and destination countries can help maximize the development impacts of migration and effectively manage the economic, social, and political costs. Drawing from a wide range of literature, country experiences, and novel analysis, The Journey Ahead presents actionable policy options to enhance the benefits of migration for destination and origin countries and migrants themselves. Some measures can be taken unilaterally by countries, whereas others require close bilateral or regional coordination. The recommendations are tailored to different types of migration— forced displacement as well as high-skilled and low-skilled economic migration—and from the perspectives of both sending and receiving countries. This report serves as a comprehensive resource for governments, development partners, and other stakeholders throughout Europe and Central Asia, where the richness and diversity of migration experiences provide valuable insights for policy makers in other regions of the world.Publication Economic Recovery(World Bank, Washington, DC, 2021-04-06)World Bank Group President David Malpass spoke about the world facing major challenges, including COVID, climate change, rising poverty and inequality and growing fragility and violence in many countries. He highlighted vaccines, working closely with Gavi, WHO, and UNICEF, the World Bank has conducted over one hundred capacity assessments, many even more before vaccines were available. The World Bank Group worked to achieve a debt service suspension initiative and increased transparency in debt contracts at developing countries. The World Bank Group is finalizing a new climate change action plan, which includes a big step up in financing, building on their record climate financing over the past two years. He noted big challenges to bring all together to achieve GRID: green, resilient, and inclusive development. Janet Yellen, U.S. Secretary of the Treasury, mentioned focusing on vulnerable people during the pandemic. Kristalina Georgieva, Managing Director of the International Monetary Fund, focused on giving everyone a fair shot during a sustainable recovery. All three commented on the importance of tackling climate change.Publication South Asia Development Update, April 2024: Jobs for Resilience(Washington, DC: World Bank, 2024-04-02)South Asia is expected to continue to be the fastest-growing emerging market and developing economy (EMDE) region over the next two years. This is largely thanks to robust growth in India, but growth is also expected to pick up in most other South Asian economies. However, growth in the near-term is more reliant on the public sector than elsewhere, whereas private investment, in particular, continues to be weak. Efforts to rein in elevated debt, borrowing costs, and fiscal deficits may eventually weigh on growth and limit governments' ability to respond to increasingly frequent climate shocks. Yet, the provision of public goods is among the most effective strategies for climate adaptation. This is especially the case for households and farms, which tend to rely on shifting their efforts to non-agricultural jobs. These strategies are less effective forms of climate adaptation, in part because opportunities to move out of agriculture are limited by the region’s below-average employment ratios in the non-agricultural sector and for women. Because employment growth is falling short of working-age population growth, the region fails to fully capitalize on its demographic dividend. Vibrant, competitive firms are key to unlocking the demographic dividend, robust private investment, and workers’ ability to move out of agriculture. A range of policies could spur firm growth, including improved business climates and institutions, the removal of financial sector restrictions, and greater openness to trade and capital flows.Publication Remarks at the United Nations Biodiversity Conference(World Bank, Washington, DC, 2021-10-12)World Bank Group President David Malpass discussed biodiversity and climate change being closely interlinked, with terrestrial and marine ecosystems serving as critically important carbon sinks. At the same time climate change acts as a direct driver of biodiversity and ecosystem services loss. The World Bank has financed biodiversity conservation around the world, including over 116 million hectares of Marine and Coastal Protected Areas, 10 million hectares of Terrestrial Protected Areas, and over 300 protected habitats, biological buffer zones and reserves. The COVID pandemic, biodiversity loss, climate change are all reminders of how connected we are. The recovery from this pandemic is an opportunity to put in place more effective policies, institutions, and resources to address biodiversity loss.