Embedding effective risk management framework in microfinance - connecting Luxembourg Financial Centre to the microfinance sector

The general objective of this training, previously called "Excellence in Risk Management in Microfinance – Connecting Luxembourg to leading Microfinance Institutions", is to enable the Managing Directors and Senior Managers of major microfinance institutions (MFIs) to: Understand the critical importance of risk management by understanding its mechanisms to establish a true risk management culture in their institutions.

The training is mainly aimed at managing directors and senior managers of major microfinance institutions (MFIs) that have already created their own risk management department or are about to do so.

Topics covered:

• Corporate governance as the foundation for strategy execution and risk management

• Transforming governance principles into an effective risk management function

• Focus on credit risk management

• Using a coaching approach in the development of risk management

• Focus on information security, cyber risks and data protection

• Key Risk Indicators – Overview, Concept and Methodology

• Consideration of environmental, social and governance risks in MFIs

• Focus on liquidity risk management and the concrete implementation of tactics in MFIs

• Introduction to the Risk Management Graduation Model (RMGM) developed by the Microfinance Risk Management Initiative (RIM).

Practical sessions in:

• Credit Risk Management

• Management of operational incidents and database loss + Risk management related to significant projects/changes in the organization

• Definition and use of key risk indicators

• Implementation and development of a major risk map to enable the selection of appropriate risk management tactics.

This training is organised in collaboration with ADA and ALRiM.