Toronto Centre-CGAP Regional Course on Supervision of Microfinance Institutions March 2013, Kigali Hosted by Central Bank of Rwanda

Transcription

1 Toronto Centre-CGAP Regional Course on Supervision of Microfinance Institutions March 2013, Kigali Hosted by Central Bank of Rwanda 1

2 Toronto Centre-CGAP Regional Course on Supervision of Microfinance Institutions Kigali, Rwanda March 2013 Course Objectives: The course is designed to enhance the capacity of on-the-ground supervisors of microfinance activities, managers of microfinance divisions within supervisory bodies, and industry regulators to effectively supervise and regulate activities of approving licenses, on-site and off-site supervision of their country s microfinance sector and promote change that supports healthy access to a full range of services and a sustainable and inclusive economy in the long-run. Expected Outcome: The program is expected to contribute to financial inclusion, by striking a balance with providing lending to small enterprises and individuals and the associated supervisory oversight activities by regulatory agencies. Target Audience: The course is designed for supervisors with a range of seniority levels from line examiners, to the heads of microfinance divisions within supervisory bodies as well as staff responsible for licensing of depository MFIs. Resource Persons: The faculty of speakers will comprise technical experts from the Toronto Centre, CGAP and other international financial institutions, as well as central banks in the region. Pre-requisite: As the Course requires participants to discuss and exchange ideas and insights throughout the Course, proficiency in the English language is critical to ensure enriched learning experience of the participants. 2

3 Program Agenda Monday, 18 March 08:30 09:15 Welcome Remarks Opening Remarks Group Photograph 09:15 10:00 Session 1: Participant s Sharing of Experiences Supervision of Microfinance Institutions (MFI) by Regulatory Authorities in the Region Issues and challenges in regulating and supervising MFIs in the Region and to provide feedback 10:00 10:15 Tea Break 10::15 12:15 Session 2: Introduction to microfinance and MFIs - Sound Regulatory Framework as Basis for Effective Microfinance Supervision The Big Picture Definition of microfinance and MFIs, regulated microfinance around the world and the region Key challenges in the regulation and supervision of microfinance Principles and best practices in regulating microfinance, Consultant 12:15 13:15 Lunch 13:15 14:45 Session 3: Microfinance Activities & the Basel Core Principles for Effective Banking Supervision Four guidance points of the Basel microfinance report Challenges in tailoring the Basel Core Principles to microfinance, Principal Analyst, Central Bank of Argentina 14:45 15:00 Tea Break Group Work & Presentation 15:00 16:30 Session 4: Regulating Microfinance Licensing and Its Impact on Microfinance Supervision Minimum entry requirements 3

4 Regulate licensing to impact supervision Group Work & Presentation 16:30 17:30 Session 5: Action Planning I Briefing on Action Planning requirements Identify challenges / gaps Organizational level Outline Plan Individual Hooi Eng Phang, Program Director, Toronto Centre 18:30 20:30 Welcome Dinner hosted by Central Bank of Rwanda Tuesday, 19 March 09:00 10:30 Session 6: Regulatory Requirements for Market Discipline and Public Disclosure on Effective Supervision Basel requirements for public disclosure Examples of the different ways individual financial institutions and industry financial numbers are published Critical information to promote market discipline Data requirements & challenges in collecting data Exercises Tea Break Session 7: Use of third party work for Effective Supervision M External audit Credit bureaus Rating agencies Exercises Lunch :00 Session 8: Corporate Governance and Microfinance Supervision The importance of good corporate governance The role of supervisors in raising governance standards of MFIs 4

5 Risk Management function in MFIs Exercises 15:00 15:15 Tea Break 15:15 16:45 Session 9: Sharing of Experience by a MFI Issues and challenges MFI s perspective on risks and its role Operational management Governance structure The identification, measurement and monitoring of risk Challenges in meeting regulatory and supervisory requirements Presentation by MFI from Kigali, Rwanda 16:45 17:30 Session 10: Action Planning II Analyze your Stakeholders Program Leaders to assist participants Wednesday, 20 March 09:00 10:15 Session 11a: Planning, Monitoring and Off-site Supervision Part I Risk based supervision for off-site supervisors Supervisory financial reports Risk indicators Financial analysis Detailed asset quality analysis Tea Break Session 11b: Case Study for Planning, Monitoring and Off-site Supervision Part I 12:30 13:30 Lunch 13:30 15:00 Session 12a: Planning, Monitoring and Off-site Supervision Part II Lending procedure manuals and internal control procedures 5

6 15:00 15:15 Tea Break Bank reports by internal audit or senior management to Boards The work of external audit 15:15 16:45 Session 12b: Case Study for Planning, Monitoring and Off-site Supervision Part II 16:45 17:30 Session 13: Action Planning III Outline implementation / actions and prepare presentation Program Leaders to assist participants Thursday, 21 March 09:00 10:15 Session 14: On-site Examination, Reporting and Follow-up Part I Risk Based Supervision for on-site supervisors Computer assisted examination techniques Sampling techniques for credit and operational risk Tea Break Session 14b: Case Study for On-site Examination, Reporting and Follow-up Part I 12:15 13:15 Lunch 13:15 14:45 Session 15a: On-site Examination, Reporting and Follow-up Part II Structured interviews during onsite examination Reporting and follow up activities Corrective action and intervention options 14:45 15:00 Tea Break 15:00 16:30 Session 15b: Case Study for On-site Examination, Reporting and Follow-up Part II 16:30 17:30 Session 16: Presentation of Supervisory Findings 6

7 Role Play: Presentation of supervisory findings and recommendations to Management of a MFI Hooi Eng Phang 19:00 21:00 Farewell Dinner hosted by Central Bank of Rwanda Friday, 22 March 09:00 10:30 Session 21: Sharing of Experience Building a sound Microfinance Regulatory and Supervisory Framework Background Challenges and lessons learnt in developing regulatory framework Challenges and lessons learnt in developing supervisory framework Moving Forward Presentation by CBR on how RBS is applied to Bank Populaire Rwanda 10:30 10:45 Tea Break Session 22: Action Planning Presentations 12:30 13:30 Lunch 13:30 15:30 Session 23: Wrap-up Holistic (on- & off-site) Supervisory Framework for MFIs Panel Discussion Connecting the dots to develop a holistic Supervisory Framework for MFIs Q&A session with panelists Tea Break Closing Ceremony and presentation of Certificates 7