Ending the Microfinance Crisis in Morocco: Acting Early, Acting Right International Finance Corporation 2017-02-13T22:55:37Z 2017-02-13T22:55:37Z 2014-10-01
dc.description.abstract In the fall of 2008, the Moroccan microfinance sector underwent what in economics is referred to as a Minsky moment, the sudden realization that the market has overshot and that the good times are coming to an end. In this particular case, the Minsky moment was a specific event – the private circulation of an IFC study that found extensive problems with the portfolios of the country’s four largest Microfinance Institutions (MFIs), and one in particular – Zakoura. This study picks up from Morocco’s Minsky moment. The MFIs at the time were beginning to see unequivocal signs that the market was shifting. The lead-up to this moment has been well documented: the reckless pursuit of growth, fed by an equally reckless influx of funding, both foreign and domestic, the high rate of multiple lending, poor lending standards and equally poor back-office and management information systems (MIS), and poor governance – all have been noted as causes of the crisis. While this study is meant to cover the full Moroccan microfinance sector, due to constraints of time and availability of data, its primary focus is on the three largest MFIs in Morocco. This report is organized into three key sections: 1) a review of the main drivers and factors evident during the course of the Moroccan microfinance crisis (2008-2011); 2) an examination of the key responses taken by the MFIs during the course of the crisis; and 3) a review of government actions and other market-level changes that affected the nature and trajectory of the crisis. The authors close with a look at the future prospects for microfinance in Morocco. en
dc.language English
dc.language.iso en_US
dc.publisher International Finance Corporation, Washington, DC
dc.rights CC BY-NC-ND 3.0 IGO
dc.rights.holder International Finance Corporation
dc.subject financial crisis
dc.subject high-risk loans
dc.subject financial supervision
dc.subject liquidity
dc.subject microfinance
dc.title Ending the Microfinance Crisis in Morocco en
dc.title.alternative Sortie de la crise du secteur de la microfinance au Maroc : des interventions opportunes et efficaces en
dc.title.subtitle Acting Early, Acting Right en
dc.type Working Paper en
dc.type Document de travail fr
dc.type Documento de trabajo es
dspace.entity.type Publication 2017-02-06
okr.doctype Publications & Research
okr.doctype Publications & Research :: Working Paper
okr.identifier.externaldocumentum 090224b0849062da_1_0
okr.identifier.internaldocumentum 27163781 111935
okr.imported true
okr.language.supported en
okr.pdfurl en
okr.region.administrative Middle East and North Africa Morocco
okr.topic Finance and Financial Sector Development :: Bankruptcy and Resolution of Financial Distress
okr.topic Finance and Financial Sector Development :: Banks & Banking Reform
okr.topic Finance and Financial Sector Development :: Financial Crisis Management & Restructuring
okr.topic Finance and Financial Sector Development :: Microfinance
okr.topic Rural Development :: Rural Microfinance and SMEs
okr.unit Finance & Markets - GP - IFC (GFMDR)
Original bundle
Now showing 1 - 2 of 2
Thumbnail Image
English PDF
7.44 MB
Adobe Portable Document Format
No Thumbnail Available
English Text
119.25 KB
Plain Text
License bundle
Now showing 1 - 1 of 1
No Thumbnail Available
1.71 KB
Plain Text