Improving access to financial products and services for micro-enterprises through innovative service delivery model
‘Tuba Rai Metin’(TRM) was Timor-Leste’s leading microfinance institution (MFI), operating since 2002. In April 2016 they converted from NGO to being the first licensed ODTI (Other Deposit Taking Institution) in the country. This gave birth to ‘Kaebauk Investmentimentu no Finansas, SA (Kaebauk)’, the ODTI that manages financial services -saving, loan products and other services; complemented by TRM that leads the organization’s financial literacy and other livelihood development activities. TRM and Kaebauk’s mission is to “provide microfinance and allied services for a large number of poor in a sustainable and regulated manner to improve the quality of life of families and empower women”.
The pilot has two aspects: 1) Deploying a financial service delivery model suitable for rural clients: Kiosk(s) in strategic locations will be converted to ’Sentro Rai Osan’ –‘Centre for Saving’. Here farmers can open savings account and make deposits and withdrawals. . And 2) Introducing an efficient financial education program – farmers in the near ‘Sentro Rai Osan’ will get education on and the importance of saving , basic household finance management and steps to accessing the services in the centre. In the first stage of partnership, MDF and TRM will launch the pilot to introduce savings products only in selected municipalities. But depending on the success, MDF would like to expand the reach of this service across the country.
Web: Tuba Rai Tein
Video: Tuba Rai Metin