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The following is issued on behalf of the Hong Kong Monetary Authority:
The Hong Kong Mortgage Corporation Limited (HKMC) announced that its Microfinance Study Group had held its first meeting today (March 28) to start its study into the feasibility of establishing a sustainable microfinance scheme in Hong Kong.
The Study Group is chaired by Mr Peter Pang, Executive Director of the HKMC and Deputy Chief Executive of the Hong Kong Monetary Authority. Members of the Study Group are from the banking sector, voluntary agencies, academia and the Government. The membership list is at Annex A.
The meeting endorsed the Terms of Reference of the Study Group as set out in Annex B. It was agreed that the Study will focus on the following areas:
(a) the demand for microfinance and the identification of potential target segments in Hong Kong;
(b) the critical success factors for a sustainable microfinance scheme;
(c) the business model and features of a possible scheme for Hong Kong; and
(d) the operational issues, including a possible implementation plan.
Members agreed to examine these key components through gap analysis, literature survey of authoritative documents on microfinance, study of overseas and local microfinance schemes and obtaining technical advice from relevant experts in this field.
Mr Pang said: "I would like to thank all members of the Study Group for taking up this meaningful task. I hope to leverage on the expertise and synergy of key stakeholders and partner institutions to develop a business model that can meet the needs of Hong Kong. With the advice of the Study Group, the HKMC aims to submit a report and its recommendations to the Financial Secretary by end-August."
Microfinance is the provision of small loans to individuals who need financial resources for business start-up or self-enhancement training but have difficulties in accessing traditional bank financing to meet such needs. The HKMC will study overseas and local experiences in microfinance to assess whether it is feasible to develop a sustainable microfinance scheme in Hong Kong.
Ends/Monday, March 28, 2011
Issued at HKT 19:25
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