By Mario Andree

Microfinance is an important component of economic sustainability and inclusive equitable economic development as it creates better livelihood opportunities, says Chairman of the ‘Banking with the Poor’ (BWTP) network, Chandula Abeywickrema.

Microfinance provides credit facilities and other financial services to the more needy in society and evidence shows that it enables the poor and alleviates poverty.

Asia has the highest poverty levels globally and BWTP is working on projects to reduce poverty levels significantly with the assistance of its founder project initiated by the Foundation for Development Cooperation, which was set up to conduct policy- oriented research, foster public awareness, mobilise broader development cooperation and support non-governmental development efforts.

“Countries like Sri Lanka need stronger microfinance institutions in order to achieve development goals,” Abeywickrema, who is also the Deputy General Manager, Marketing and Retail Banking of Hatton National Bank, said.

This year, the third Asia Micro finance forum will be held from October 12 – 15 in Colombo, with the theme ‘Financial Inclusion – Achieving Asia’s Potential’.

“We expect 550 delegates to participate at the forum the majority of whom would be from Asia. The forum hopes to attract nearly 20 multinational investors to participate in the programme, creating an environment for joint ventures and investment in the region, he said.

Sri Lanka is an ideal location for such forums,” said Country Director Citi Bank, Glen Rase, “Sri Lanka has several micro finance providers, this factor will be an additional advantage for the forum as it has a live case-study.”

Hatton National Bank has microfinance scheme with a portfolio of Rs. 7 billion and 100,000 entrepreneurs.