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For
its
outreach program, ABA capitalized on the tight social
networks in densely populated areas and used word of mouth
to publicize its micro finance services. Since ABA first
began its SME Project, it has achieved a range of outreach
comparable to those of the most successful micro finance
ventures in the world: up to March 2007 the project has
served over 202,000 with about 63,000 active clients. It has
extended over 622,000 loans amounting to almost US$ 212
million. However, although the foundation has reached a
significant number of clients, the share of the available
market that it serves is less than ten percent, and
significant room for expansion remains. In addition to the
number of clients, the composition of the loan
portfolio speaks to the effectiveness of ABA‘ s outreach
activities. While manufacturing and processing were
initially the primary targets of the SME Project, ABA has
diversified its portfolio so that it includes loans to
clients involved in trade and to those specializing in the
service industry. Furthermore, ABA has been very effective
in reaching lower income entrepreneurs. Approximately, 72 %
of its loans go to micro enterprises. |