Does anyone have an idea of how much microfinance bank pay for entry level. pls i need your post.

Microfinance banks operated as non-profit outfits pay quite high, especially those funded by international donors or partners. However, the experience of a friend who worked for a now defunct MICROCOWRIE in Ogun state was pathetic. The new generation of microfinance banks as recently licensed by the federal government have potential to pay relatively well but, not in the range that commercial banks do. Lets say between 40k and 50k per month. Please, note that the total take-home pay of some new entrants in certain commercial banks are not significantly higher than this. A friend with Fidelity bank for instance takes home a bit over '50k' according to him. I will advice you to be more specific with details of the microfinance bank so that anybody with specific info can help! stay blessed

The What, Why, and How of Microfinance

WHAT is microfinance? "Microfinance" is financial services for the global poor.

Financial services are provided by "microfinance institutions" (MFIs) or "microlenders", generic terms for the estimated 10,000 diverse entities such as commercial banks, NGOs, credit unions, finance companies etc. These services include providing business and housing loans, insurance, pensions, and deposits. The prospects for this industry are strong since the gap between demand and supply is great. Currently, an estimated 4 percent of the overall global demand for microfinance services is being met. Although estimates vary widely, the potential global microfinance market is worth approximately $300 billion. The commercialization of microfinance is gaining momentum as non-profit charities convert into regulated financial institutions. Nonetheless, an estimated 90% of the (non-deposit) capitalization in microfinance is public funding in origin, although often filtered through a private intermediary. Recently, we have seen public agencies work to guarantee layers of private investment funds into order to attract commercial investors. Will an asset class emerge?

WHY does commercial microfinance work? Poor people around the world produce very high marginal returns on capital, and need financial services to exploit these opportunities.

The high cost of capital in the developing world (20-100% APR), the high demand for credit, and the low cost of labor, make transaction-intensive microfinance quite profitable if done right. Moreover, due to the low delinquency and default rates on micro-loans, the (elite few) high-performing microlenders’ earnings are stable and strong (ROA of 3-8%). There are numerous other factors that also make the industry attractive, including low systematic risk, low volatility, and strong diversification of micro-loan portfolios (Source: Blue Orchard). Of course, there are many significant risks as demonstrated by the fact that only 3% of microlenders around the world actually turn a profit.

HOW to invest in microfinance? Participate in one of the many funds providing returns to investors.

The microfinance universe of funds is fledgling. Nonetheless, well guaranteed returns of 0-7% annually are offered. Unfortunately, you cannot ask your money manager about investing in microfinance. Responsible capitalistic investment in microfinance is still labor intensive in that each fund requires individualized contact.

Relatively large minimum investments further limit your options. Almost all of the funds have a minimum investment of $50,000 dollars. Two funds that accept small amounts are PlaNet Finance Fund and Calvert Community Investment Notes, while Dexia Microcredit Fund and Deutsche Bank Microcredit Development Fund are examples of funds with significantly larger minimum requirements.

My comment for new or existing individual plan to get microfinance investment:
In fact that you are required to submit fully written (8-25 pages) business plan with marketing/financial (profit/loss) plan explaining the details of why do you want for obtaining your starting funds of capitalistic investment in order to start or expand your business or non-profit organization. Just like you apply for bank loan application to obtain their bank money to be borrowed with their interest rate. You have to be smart and honest to follow the requirements of writing business plan submission and to convince the capitalist impressing your sound marketable business plan to be WINNER!

please help me to answer this question.

i have a friend who work with a federal microfinance institution ,, this one even share the same building with CBN ,, in some states ,, he helped me got a loan,, i used my certificate ( SSCE ) as collateral ,,, as for his salary ,,, its around 8ok

Lapo pays 93k as net for entry level bsc or hnd graduates.