First microfinance institution Syria: Building resilience through a client-centric model (case study)

This case study examines an Aga Khan Agency for Microfinance’s (AKAM) client-centric model to microfinancing in Syria. While microfinance institutions cannot prevent crises, they can work effectively with communities to help them prepare for, mitigate, recover from and adapt to crises. As such, crisis management initiatives aimed at increasing client resiliency are an integral part of AKAM’s goal to ensure that services go beyond meeting the immediate economic needs of clients and contribute to overall improvement of quality of life.

The policies and interventions outlined in this case study have allowed the Syrian Microcredit Facility to First MicroFinance Syria (FMFI-S) to strike a difficult balance between ensuring continuous delivery of client-centric financial products and services and promoting long-term institutional resilience.

FMFI-S’s achievements can be attributed to a client-centric model and pre-existing policies and procedures that were adapted to the local context and have been continuously updated to reflect the realities of the situation on the ground. AKAM’s experience in Syria has brought out a number of valuable lessons that are relevant to all its country level operations:

• Crisis response strategies need to be tailored to the nature of the crisis as well as local culture and context.
• An organization must have strategies, policies and procedures in place that are context-specific and adapted to the evolving situation on the ground.
• An institution must also ensure that it continuously reviews its products, services and delivery channels to ensure that they are meeting client evolving needs.
• A dedicated local team who supports the organization during and after the crisis is of utmost importance.
• Focus on, and invest in, staff needs, providing both financial and nonfinancial support to staff and their families who are also dealing with the realities of the extended crisis.