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Question : Which of these conditions enhance the potential of MFIs to attract more resources and expand services to their clients?

Option 1: Financially viable and self-sustaining MFIs

Option 2: Access to foreign aid

Option 3: Ability to disintegrate from communities they operate in

Option 4: Ability to lend large amounts of loans


Team Careers360 4th Jan, 2024
Answer (1)
Team Careers360 22nd Jan, 2024

Correct Answer: Financially viable and self-sustaining MFIs


Solution : The correct option is Financially viable and self-sustaining MFIs.

MFIs are crucial to the development of microenterprises. MFIs offer advice, training, loan services, and business monitoring services. Financial sustainability (FSS) measures an organisation's capacity to pay for all of its capital and operating expenses out of its pocket, independent of government assistance. An MFI that finances itself will be able to serve everyone in need and grow.

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