CITI MICROENTREPRENEURSHIP AWARDS VIETNAM Final Report to: Citi Foundation Report period: March 2012 March 2013

Transcription

1 CITI MICROENTREPRENEURSHIP AWARDS VIETNAM 2012 Final Report to: Citi Foundation Report period: March 2012 March 2013 Submitted by: Vietnam Microfinance Working Group

2 TABLE OF CONTENT NARRATIVE REPORT... 1 I. PROFILE OF MFWG LOCAL PARTNER OF CITI FOUNDATION... 1 II. PROFILE OF CITI MICROENTREPRENEURSHIP AWARDS IN VIETNAM... 3 APPENDICES APPENDIX 1: THE COUNTRY TEAM APPENDIX 2: ADVISORY BOARD AND JUDGE COMMITTEE APPENDIX 3: LIST OF WINNERS APPENDIX 4: PROFILES OF SOME TYPICAL WINNERS APPENDIX 5: PUBLIC MEDIA CAMPAIGN APPENDIX 6: SPEECH IN 2012 CMA CEREMOCY... 21

3 NARRATIVE REPORT NARRATIVE REPORT I. PROFILE OF MFWG LOCAL PARTNER OF CITI FOUNDATION The Vietnam Microfinance Working Group (MFWG) was established as a forum for microfinance practitioners to share knowledge, skills and ideas in order to overcome the key challenges of the sector. As a leading industry body, the MFWG contributes to strengthening the voice of the sector in the policymaking sphere. Founded in 2004 as an informal organization under the NGO Resource Centre - VUFO, MFWG has launched an "open" policy to all individuals and organizations who are interested in the microfinance sector in Vietnam. In September VISION A large and dynamic microfinance industry of professional, sustainable and efficient institutions that offer high quality and demand-responsive financial services to the poor and low-income population of Vietnam. MISSION A leading representative national microfinance network that actively promotes the development and sustainable growth of the Vietnamese microfinance industry operating in accordance with best practice in an enabling market environment. 2011, the MFWG officially became an institution under the Vietnam Association of Small and Medium Enterprises (VINASME). OBJECTIVES To enhance the impact of microfinance activities on poverty reduction through the promotion of dialogue between stakeholders and policymakers and the creation of an enabling environment for microfinance activities. To promote development of sustainable microfinance by disseminating information, sharing experiences and achieving consensus on important issues in microfinance in Vietnam. MEMBERS The current MFWG network counts more than 86 official members including individuals and representatives from more than 45 organizations operating in the microfinance sector in Vietnam CMA Report

4 SERVICES Capacity building Fundraising Advocacy Information dissemination Data collection DONORS PARTNERS CONTACT US: THE COUNTRY TEAM, CITI MICROENTREPRENEURSHIP AWARDS 2012 Address: Level 4, No. 70, Alley 34, Hoang Cau, Dong Da Hanoi, Vietnam Telephone: (84-4) Fax: (84-4) Website: CMA Report

5 II. PROFILE OF CITI MICROENTREPRENEURSHIP AWARDS IN VIETNAM The Citi Micro-entrepreneur Awards (CMA) program endeavors to recognize the spirit of enterprise that has taken people from poverty to a life of dignity. The awards acknowledge individual micro-entrepreneurs and community owned enterprises that have exhibited a superior ability to emerge from below the poverty line through the use of micro-credit to build self-sustaining enterprises, create employment and contribute meaningfully to their communities. The CMA was launched in Vietnam in 2012, with grant support from Citi Foundation, USA and is implemented in partnership with the State Bank of Vietnam (SBV) and Vietnam Association of Small and Middle Enterprises (VINASME) 1. VISION, GOALS AND STRATEGY The CMA program has three ambitious goals: First, the program seeks to raise awareness about microfinance, particularly among micro-entrepreneurs who could benefit from it. By highlighting award winning micro-enterprises and publicizing the best practices in microentrepreneurship the program is meant to inspire the poor to start their own businesses.. It helps both to support microfinance where it already exists and to introduce it to communities that have no prior experience with it. Second, the program seeks to build continued awareness of the important role micro-entrepreneurs play in their local economies and recognize the power of community owned enterprises that have made significant impact, moved out of poverty and contributed to employment generation and value creation for the society. We hope that the publicity generated by the awards will help motivate investors to support the microfinance industry and aim to inspire donors to encourage and promote self-sufficient MFIs. Third, the program aims to create the next generation of microfinance networks such as ACCION International and Women s World Banking Network comprised of political and financial leaders, opinion shapers, students, practitioners, and communities. In particular, it is important that the members of the public sector who participate in this network spur policymaking that builds more inclusive financial sectors and lays the foundation for a flourishing microfinance industry. 2. THE RESULTS OF CMA Summary Report To mark the 6th consecutive year of the CMA program in Vietnam, the 2012 Award will review 147 applications from microfinance organizations and programs all over Vietnam to recognize at least 53 microentrepreneurs, 15 credit officers and CMA Report

6 outstanding microfinance institutions. This year, the program has conducted two research studies on Climate Change and sustainable microfinance in Vietnam and Sustainable microfinance of the semi-formal microfinance sector to measure the impact of climate change on microfinance and on its clients - low income households in Vietnam, in order to support them in improving economic security through the use of sustainable quality financial services. The research program, presented at the fourth Microfinance Workshop, is expected to be a significant resource for advocacy to policy makers, government, investors as well as other related stakeholders investing in microfinance sector development in Vietnam. In addition, the fourth Microfinance Workshop on the topic of Sustainable Microfinance & Climate Change in Vietnam will be organized on 12 December, 2012 as part of the Awards ceremony. Throughout the Awards program, we have involved local media in activities such as a program launch, research field trips as well as judge board members, and seminars that will help promote microfinance and the Awards program in particular. 2.2 Narrative Report GOAL 1: To raise awareness about microfinance, particularly among microentrepreneurs who could benefit from it, through highlighting award winning micro-enterprises Program Area 1: 2012 Citi Vietnam Microentrepreneur Awards Performance Indicator 1: Number of outstanding micro-entrepreneurs, credit officers and microfinance institutions honored in 2012 CMA Results 1 Target Results Comparison Preliminary Target % 75 Data Source: Decision No. 2510/QD CMA2012 dated 25 th October 2012 on recognizing and honoring outstanding microfinance individuals and organizations in 2012 The 6 th CMA program reached out to hundreds of people, who were introduced to the 2012 CMA and microfinance by MFWG s website and mailing list, and media in Vietnam in CMA Report

7 On 12 December 2012, with the support from Citi Foundation and the coordination of the Vietnam Microfinance Working Group (MFWG) and SBV 78 outstanding honored microfinance individuals and organizations including three Microentrepreneurs of the Year, 50 excellent microentrepreneurs, 15 outstanding credit officers, and 10 best microfinance institutions (MFIs) were acknowledged in the CMA 2012 ceremony that convoked over 10 entrepreneurs, 20 high-level country stakeholders and 300 attendees. The awards made national media coverage build continued awareness of the important role that micro-entrepreneurs and microfinance plays within their local economies (see Appendix 3 - List of Winners). The CMA 2012 program delivered an important message about the impact of microfinance on poverty reduction in Vietnam, with 78 outstanding honored microfinance individuals and organizations, 300 representatives from the State Bank of Vietnam, the Government's Microfinance Committee, Ministries, agencies, microfinance institutions, practitioners and other stakeholders, who witnessed the winners being awarded, which also helped to raise awareness on the best practices in micro-entrepreneurship. Over six years, the CMA program has encouraged microentrepreneurs to improve their business management skills to overcome challenges through the effective use of funds from MFIs. It has also increased the Vietnamese government s support for the microfinance sector and facilitated a closer working relationship among practitioners, donors, and government staff. In addition, the program has created a stronger partnership between MFIs working not only in the microfinance sector in the Northern Vietnam, but also between those from the Central and Southern regions of Vietnam. Finally, a larger funding for MFIs was also created by the program, giving more poor people in more areas the opportunity to access the credit to start their own business and benefit from it. With the support from Citi Foundation, MFWG and SBV organized the 4 th Microfinance Workshop on Sustainable Microfinance & Climate Change in Vietnam at the Hilton Hotel, Hanoi. It was also a chance for Microfinance Institutions to share their experience related to the topic of the workshop and to get familiarized with CMA According to the workshop evaluation, 90% of participants found the workshop content was very useful and met their needs, and 87% were satisfied with the workshop program CMA Report

8 Performance Indicator 2: Number of field trips completed by 2012 CMA s Jury and MFWG Results 1 Target Results Comparison Preliminary Target % 3 Data Source: Report on fieldtrips to Can Tho and Tien Giang from 19 th to 21 st October, 2012 MFWG and Jury 2012 CMA visited microfinance clients in Can Tho The impact of the annual CMA program and the effective use of funds by MFI clients were assessed during MFWG s two field trips visiting the potential honored micro-entrepreneurs in 2012 in southern areas of Vietnam where the microfinance industry needed further support for development. The MFWG implemented a visit to micro-entrepreneurs who have overcome economic and social challenges to successfully build self-sustaining microenterprises in two provinces in Southern Vietnam on 19 and 21 October 2012, with the participation of 9 representatives from the State Bank and Ministry of Finance, and the Board of Jury of CMA 2012, and the MFWG Executive Board. The study tour was an opportunity for policy makers to understand the activities of the MFIs and to visit5 clients funded by those 2 MFIs. With the trip to Can Tho and Tien Giang, the CMA Jury learnt more about how micro-entrepreneurs use loans, by asking, What are their difficulties? How do they overcome those challenges? How can MFIs help the micro-entrepreneurs?, etc. The MFWG and its stakeholders gained more experience for developing the microfinance sector in three areas of Vietnam. After learning about the operations at the models using funds from microfinance clients, the representative from the State Bank of Vietnam commented: "The trip is an opportunity for policy makers to better understand the impact of microfinance for the poor/ low income people in Thanh Hoa Province in particular and in Vietnam in general" CMA Report

9 Performance Indicator 3: Number of Public Information Campaigns completed by MFWG and other partners Results 1 Target Results Comparison Preliminary Target % 15 Data Source: Appendix 5 on Public Media Campaign Notes: 1. Data on 2011 based on CMA report to Citi Foundation submitted in targets are set dat a preliminary level and will be updated when the 2012 budget is appropriated. Microfinance activities and the Fourth Workshop on Microfinance 2012 were promoted to thousands of people, especially Government officials and policy makers in Vietnam through a series of media programs of microfinance which were published by InfoTV in the cooperation with Mr. Brett Krause Chief Director of Citibank/VN in an interview at 2011 CMA ceremony MFWG and State Bank of Vietnam from November to December These Ms. Le Lan - MF expert at a dialogue in Invest TV campaigns included public service announcements, print media, internet postings that provided information to the public, a series of television programs on the microfinance context and a chain of workshops in November and December, 2012 on the InfoTV. InfoTV is recognized as one of the best channels on finance and economics in Vietnam, it has an average of about 1 million views per day and is largely followed by the Government officials and policy makers in Vietnam. Many other channels and websites such as: VN news, SBV s website, VINASME s website, etc. covered the microfinance activities organized in December 2012 by MFWG and SBV. The media campaign reached millions of Vietnamese people and left a good impression in the hearts of viewers, especially the poor, the potential clients of the microfinance industry in Vietnam. The MFWG received positive feedback from viewers and many new members willing to participate in the MFWG, and also considerable interest from donors after promoting messages that microfinance provides an alternative funding source to alleviate poverty,. (see Appendix 5 Public Media Campaign) CMA Report

10 GOAL 2: To build awareness of the important role micro-entrepreneurs play in their local economies and to recognize the power of community owned enterprises that had a significant impact, moved out of poverty and contributed to employment generation and value creation for the society Program Area 1: Raise awareness among microfinance stakeholders, especially regulators, through conducting a research project on impacts of climate change and sustainable microfinance in Vietnam Performance Indicator 1: Number of people who shared and discussed a research report on the impacts of climate change and sustainable microfinance which was conducted and presented by MFWG Results 1 Target Results Comparison Preliminary Target % 250 Data Source: The 4 th Microfinance Workshop Report Notes: 1. Data on 2011 based on CMA report to Citi Foundation submitted in targets are set at a preliminary level and will be updated when the 2013 budget is appropriated. With the support from Citi Foundation, over 200 people shared and discussed research on Sustainable microfinance and Climate Change in Vietnam, which was presented by MFWG during the fourth workshop in December Research group answered questions from participants On 12 December 2012, the Fourth Microfinance National Workshop was organized in cooperation between MFWG and SBV in the Hilton Hotel, Hanoi. The presented report provided key messages on the impact of climate change on the microfinance sector and sustainable microfinance in Vietnam to over 200 delegates representing 80 organizations including Government agencies, donors, investors, international and national NGOs, microfinance institutions, practitioners, commercial banks, industry professionals and others. The research report highlighted the new key points and issues for microfinance sector development in Vietnam, aiming to improve awareness CMA Report

11 and understanding of donors, policy makers, local authorities and the civil community about microfinance operations and its impact on poverty alleviation. GOAL 3: To help create the next generation of microfinance networks, build more inclusive financial sectors, and lay the foundation for a flourishing microfinance sector. Program Area 1: Raise awareness of key microfinance stakeholders, especially regulators, through the Fourth Microfinance National Workshop Performance Indicator 1: Number of participants that have provided information on microfinance trends through MFWG s workshops funded by Citi Foundation Results 1 Target Results Comparison Preliminary Target % 250 Data Source: 2012 MFWG Annual Report Notes: 1. Data on 2011 based on CMA report to Citi Foundation submitted in targets are set at a preliminary level and will be updated when the 2012 budget is appropriated. With the support from Citi Foundation, 250 participants were approached to provide their opinion on microfinance trends through MFWG s workshops and Microfinance Research funded by Citi Foundation. The Fourth Microfinance National Workshop was organized in cooperation between MFWG and SBV on 12 December 2012 in Hanoi, with participation from over 200 delegates representing 80 organizations including Government agencies, donors, investors, international and national NGOs, microfinance institutions, practitioners, commercial banks, professionals and others. The workshop s theme was "Sustainable Microfinance and Climate Change in Vietnam" and its objectives were to discuss MFWG s research on the challenge of the climate change in Vietnam and around the world, as well as the role of microfinance, especially semi-formal microfinance providers on climate change adaptation. The workshop aimed to seek good practices for developing products and services of MFIs to address climate change challenges and find the solution for semi-formal microfinance providers (MFIs) in affected areas and for other related stakeholders to contribute to the reduction of climate change effects CMA Report

12 The workshop was also a good chance to improve awareness and understanding of donors, policy makers, local authorities and community about the role of MFIs in the confronting climate change issues. According to the evaluation after the workshop, 90% of participants were highly appreciative of the useful content and 93% said there were suitable presentations at the workshop (combined presentations and open discussions in order to increase opportunities of delegates to exchange ideas). Overall, participants expressed satisfaction with the workshop and expected to attend further workshops designed to combine sharing of knowledge and open discussion. Program Area 2: Strengthening and increasing the role of the MFWG as the network of MFIs in Vietnam through improving the effective administration and management of MFWG. Performance Indicator 1: Number of official members registered with MFWG up to 2012 through developing effective communication strategy to members Results 1 Target Results Comparison Preliminary Target % 90 Data Source: The list of official members of the MFWG, updated by 31 st December 2012 Notes: 1. Data on 2011 based on CMA report to Citi Foundation submitted in targets are set at a preliminary level and will be updated when the 2013 budget is appropriated. The MFWG played a significant role in promoting microfinance and the 2012 CMA program in a series of media in InfoTV, workshops as well as websites. As a result, more and more microfinance institutions are registering as MFWG s official members in Until 31 December 2012, the number of official members registering to MFWG increased to LESSONS LEARNT More positive support from the Government was stated by issuing a strategy plan for microfinance development in Vietnam to 2020 by the Prime Minister's Decision No. 2195/QD-TTg dated 6 December 2011, highlighting more microfinance institutions to join MFWG and the need to support from the network through the CMA program. In the coming years, the MFWG would benefit from more support for MFI s marketing activities as well as for the microfinance entrepreneurs in Vietnam CMA Report

13 APPENDICES APPENDICES APPENDIX 1: THE COUNTRY TEAM 1. Organizers Nguyen Thi Tuyet Mai Managing Director, MFWG Brett Krause Chief Country Officer, Citibank Vietnam Bui Quang Huy Vice President, Public Affairs Officer, Citibank Vietnam Mr. To Hoai Nam General Secretary cum Vice Chairman, Vietnam Small and Medium Enterprises Association (VINASME) 2. Secretariat Nguyen Thi Minh Hue Project Assistant cum Administration, MFWG Nguyen Thi Anh Phuong Project Assistant cum Accountant, MFWG 3. Interns Nguyen The Anh Intern, MFWG Nguyen Thanh Binh Intern, MFWG APPENDIX 2: ADVISORY BOARD AND JUDGING COMMITTEE No NAME TITLE Advisory Board 1 Dr. Nguyen Kim Anh Director of Human Resource Department, State Bank of Vietnam (SBV) Technical judges 1 Mr. To Ngoc Hung Director, Banking Academy/ Chairman of Jury 2012 CMA 2 Mr. Truong Ngoc Anh Chief of the Secretariat, Banking Inspection and Supervision Agency, State Bank of Vietnam 3 Mr. Hoang Quoc Manh Deputy Director, Licensing Department, State Bank of Vietnam 4 MA. Le Thi Thuy Former Director, Centre of Women and Development/ Member of Jury 2012 CMA 5 Phd. Le Thanh Tam Lecturer, Faculty of Banking and Finance, National Economics University/ Member of Jury 2012 CMA 6 MA. Phan Cu Nhan Director, International Relation Department, Vietnam Bank for Social Policies/ Member of Jury 2012 CMA 7 Ms. Ho Thi Quy Head of Economics, The Vietnam Women s Union 8 MA. Nguyen Duc Trung Banking Academy/ Member of Jury 2012 CMA 9 Mrs. Nguyen Bich Vuong Director, Microfinance and Development Center (M&D) CMA Report

14 APPENDIX 3: LIST OF WINNERS 1. EXCELLENT MICROENTREPRENEURS OF THE YEAR No. NAME ORGANIZATION 1 Truong Thi Dam 2 Pham Thi Dieu Golden Hand Program 3 Duong Thi Thuy Microfinance Program World Vision, Vietnam 4 Dinh Thi Pho 5 Luong Thi Thuong 6 Luu Thi Huyen 7 Nguyen Thi Thoa 8 Le Thi Hoa 9 Hoang Thi Hoa 10 Le Thi Lan 11 Lai Thi Tam 12 Luong Thi Thuy Saving and Credit program, Phu Yen Women s Union CESVI project Soc Son province Women s Union, Hanoi The Women s Union in Quang Ninh, Quang Binh province Dong Trieu Women Development Fund Mai Son Women Development Fund 13 Thieu Thi Cuc 14 Tran Thi Minh 15 Nguyen Thi Hue Thanh Hoa Fund for Poor Women 16 Le Thi Ly 17 Tran Thi Mai Loan Soc Trang Fund for Poor Women CMA Report

15 18 Ly Thi Hien Soc Trang Fund for Poor Women 19 Tran Thi Tu 20 Dong Thi Ut Em Tien Giang Capital Aid Fund for Women s Economic Development 21 Nguyen Thi Huynh Trang 22 Nguyen Ngoc Dung 23 Pham Thi Lieu 24 Duong Thi Hoa Capital Aid Fund for Women s Economic Development, Ho Chi Minh Women s Union Ninh Phuoc Women Development Fund 25 Hoang Thi Nhan Uong Bi Women Development Fund 26 Nguyen Thi Dam An Phu Development Fund 27 Truong Thi Hien Ha Tinh Women Development Fund 28 Quang Thi Tinh Dien Bien province - Women Development Fund 29 Tong Thi Tinh 30 Hoang Thi Lan 31 Vo Thi Thanh Van Dien Bien Phu City Women Development Fund 32 Lo Thi Anh 33 Quang Thi Danh 34 Nguyen Thi Hien 35 Le Xuan Nam Capital Aid Fund for Poor Employers Ba Ria Vung Tau 36 Pham Thi Thuy Duyen 37 Phan Thi Giau Tinh Thuong One Member Limited Liability MFI (TYM) CMA Report

16 38 Vu Thi Hiep 39 Duong Thi Hang 40 Nguyen Thi Huong 41 Luu Thi An 42 Nguyen Thi Thanh 43 Nguyen Thi Cuc Tinh Thuong One Member Limited Liability MFI (TYM) 44 Nguyen Thi Nhi 45 Pham Thi Vuot 46 Nguyen Thi Mai 47 Nguyen Thi Tan 48 Nguyen Thi Sang 49 Nguyen Thi Lon 50 Phan Thi Nguyet NaPa Microfinance Institution, Le Thuy, Quang Binh Pro-Poor Center Can Loc (PPC) 51 Nguyen Thi Kim Khanh 52 Nguyen Thi Thuy 53 Phan Thi Hong Center for Social Organizations and Community Development CMA Report

17 2. OUTSTANDING CREDIT OFFICERS OF THE YEAR No. NAME ORGANIZATION 1 Nguyen Thi Huong Hai Phong Women s Union 2 Nguyen Thanh Phong Tien Giang Capital Aid Fund for Women s Economic Development 3 Nguyen Thi Mi Uong Bi Women Development Fund 4 Phan Thi Thanh Huyen 5 Luong Thi Bich Hanh Tinh Thuong One Member Limited Liability MFI (TYM) 6 Hoang Thi Hoi Mai Son Women Development Fund 7 Nguyen Thi Ngoc Lien Microfinance Program, Ben Tre Women s Union 8 Le Thi Lan Dien Bien Phu City Women Development Fund 9 Vi Thi Tien Dien Bien province Women Development Fund 10 Le Van Dai World Vision/ Vietnam 11 Nguyen Thi Kim Lien Ninh Phuoc Women Development Fund 12 Dang Thi Thanh Nga Soc Trang Fund for Poor Women 13 Nguyen Thi Thu Hang Thanh Hoa Fund for Poor Women 14 Le Thi Sang Capital Aid Fund for Women s Economic Development, Ho Chi Minh Women s Union 15 Dang Thi Oanh NaPa Microfinance Program CMA Report

18 3. BEST MICROFINANCE INSTITUTIONS OF THE YEAR No. NAME OF ORGNIZATIONS 1 Dong Trieu Women Development Fund 2 Mai Son Women Development Fund 3 Tinh Thuong One Member Limited Liability MFI (TYM) 4 World Vision/ Vietnam 5 Hai Phong Women s Union 6 Thanh Hoa Fund for Poor Women 7 Ha Tinh Women Development Fund 8 The Dariu Foundation 9 Capital Aid Fund for Women s Economic Development, Ho Chi Minh Women s Union 10 Capital Aid Fund for Poor Employers Ba Ria Vung Tau CMA Report

19 APPENDIX 4: PROFILES OF SOME TYPICAL WINNERS MICROENTREPRENEUR 1: Full name: TRAN THI TU Location: Binh Thoi B hamlet, Binh Trung village, Chau Thanh, Tien Giang, Vietnam Member: Tien Giang Capital Aid Fund for Women s Economic Development Year of starting loan: 2007 To begin, Tran Thi Tu borrowed 1.5 million VND from the Tien Giang Capital Aid Fund for Women in 2007 and started making the export chair weaving class for her business. By 2011, she received the largest ever loan of general capital products from the fund, which was 6 million VND, and expanded her production locations. She tried to practice the skills that she learned from the class. Up to now, she has created permanent jobs for 36 employees and 18 seasonal workers. Total assets in 2012 were 220 million VND. The advantage of her business is that the materials are always available in her village, and the output of her products is stable. However, her family also has to face difficulties such as lack of capital, lack of machine and technology. With her efforts, she received many awards from Chau Thanh province Women s Union. She said that if I receive the CMA award, I will invest in items of equipment for expansion and training of skilled workers, to help them have a stable job and contribute to social security. MICROENTREPRENEUR 2: Full name: PHAM THI LIEU Location: Tu Tam 2 hamlet, Phuoc Hai village, Ninh Phuoc district, Ninh Thuận Member: Ninh Phuoc Women Development Fund Year of starting loan: 2008 From the loan of VND, Ms. Pham Thi Lieu co-operated with the cashew nuts company to open the cut-split cashews factory. This factory not only solved the issue of providing work for her family but also created permanent jobs for 50 employees in her village. Her total income now is VND - rising CMA Report

20 million VND over the years her business has operated. She received many awards from Ninh Phuoc Women Development Fund. She has overcome many challenges to become one of the best microentrepreneurs in the program, such as lack of capital and lack of skills. Being in this program not only helped Ms. Soi financially but also with her skills in management and business for better achievement in the future. If I receive the prize, I will spend one part to invest in production facilities and the rest to do charity work within the local community, she said. CREDIT OFFICER: Full name: PHAN THI THANH HUYEN Staff of: Tinh Thuong One Member Limited Liability MFI (TYM) Number of clients: 430 (until 2011) Outstanding Loan: 2,208,400,000 VND ~ 105,162 USD (until December 2011) In 2000, Ms. Huyen was appointed to Transactions Chief of TYM in Nghe An province. In 2011, she managed 430 clients (increase of 4% compared to 2010) with VND 2,208,400,000 VND ~ 105,162 USD total outstanding loan and VND 1,170,530,000 (~ USD 55,740) total savings. Her clients are almost entirely living in poverty (representing 100%) and the majority work in farming, the rest are Kinh and Thai people. In addition to loan management, she has also been training clients on bookkeeping or technical training of livestock farming on the 1 st and 15 th day of each month. Her difficulties mostly came from the limited knowledge of clients on microfinance. She said that: To become a successful credit officer, I often went to client s houses, talking with them and encouraging them to invest in suitable work. I introduced them the [a] suitable loan to use this [it] effective[ly], my success also is my client s success. MICROFINANCE INSTITUTIONS: Name of organization: MAI SON WOMEN DEVELOPMENT FUND (M7 MAI SON) Established year: 1993 Gross Loan Porfolio: 19,243,991,000 VND ~ 916, USD (until 2011) Active borrowers: 5,173 (until 2011) Mai Son Supporting Fund for Ethnic Women was founded in accordance with Decision 63/QD-UBND of 10 July 2007 by the People Committee of Mai Son district. The forerunner of the Fund was the credit-savings program implemented in Mai Son district, following the village/commune bank approach. From , this CMA Report

21 model was upgraded and aimed at professional transformation. In 2004, ActionAid Vietnam (AAV) handed over the program to the locality and Mai Son district Women s Union continued to manage the program, providing creditsavings services to the poor community, to help them achieve sustainable livelihoods and improve living standards. After the issue of Decree No 28/2005/ND-CP on the Organization and Operation of Microfinance Institutions in Vietnam, AAV encouraged Mai Son Women s Union to establish Mai Son Supporting Fund for Ethnic Women in order to build capacity, structure the organization and mobilize resources in the preparation process to register into a regulated microfinance institution. Recently, M7-MaiSon united with M7-Uong Bi and M7-Dong Trieu to form M7- MFI. M7-MFI has submitted application for license to the State Bank of Vietnam and is now waiting for the approval of the Bank. In 2011, as one of the newest formal Microfinance institutions in Vietnam, M7- MaiSon reached the target of reaching out to nearly 5,173 clients in Son La province. There are over 5,000 loans disbursed with a total value of 19.2 billion Vietnam dong. Beside loan service, M7-MaiSon has awarded VND, out of which: 60 savings worth 30 million VND for the children and poor students to overcome difficulties, people with HIV, people with disabilities, orphans and children who are infected with Agent Orange poison, emergency assistance for two schools in Mai Son district that had all assets washed away by floods, in-kind support for school supplies, blankets, tables, chairs, swings rotation, slide value VND; support for students contests 10,000,000 VND. Based on the results in 2011, M7-MaiSon was awarded as one of the best Microfinance institutions in CMA 2012 award CMA Report

22 APPENDIX 5: PUBLIC MEDIA CAMPAIGN No. Content Guests Channel Schedule Winning microentrepreneur in 2012 CMA Third Microfinance National Workshop Third Workshop on Microfinance Microfinance activities and policy regulation - Tax policy for MFIs Microfinance activities and policy regulation - Tax policy for MFIs Microfinance activities and policy regulation - Tax policy for MFIs Microfinance activities and policy regulation Tax policy for MFIs 2012 Citi-Vietnam Microentrepreneur Awards 2012 Citi-Vietnam Microentrepreneur Awards 2012 Citi-Vietnam Microentrepreneur Awards 2012 Citi-Vietnam Microentrepreneur Awards 2012 Citi-Vietnam Microentrepreneur Awards Tran Thi Tu, microentrepreneur from Tien Giang Capital Aid Fund for Women s Economic Development Third Microfinance National Workshop contents Third Microfinance National Workshop contents Nguyen Tuyet Mai Managing Director MFWG Bui Quang Huy Nguyen Tuyet Mai Managing Director MFWG Bui Quang Huy Info TV VINASME s website Banking Times Info TV Interview11 December, 2012 News on 13 December, 2012 News on 13 December, 2012 Live Interview at 18:15 on 11 December, 2012 Info TV Talk show at 18:15 on 11 December, 2012 Tran Thi Van Hong Info TV Live Interview at 18:15 on 11 December, 2012 Tran Thi Van Hong Info TV Talk show at 21:30 on 11 December, Citi-Vietnam Micro-entrepreneur Awards Ceremony 2012 Citi-Vietnam Micro-entrepreneur Awards Ceremony 2012 Citi-Vietnam Micro-entrepreneur Awards Ceremony 2012 Citi-Vietnam Micro-entrepreneur Awards Ceremony 2012 Citi-Vietnam Micro-entrepreneur Awards Ceremony VNNews News at 19:30 on 14 December, 2012 VNNews News at 06:00 on 15 December, 2012 Info TV News at 09:00 on 15 December, 2012 Rural Today s Website SBV s Website News on 13 December, 2012 News on 13 December, CMA Report

23 APPENDIX 6: SPEECHES IN 2012 CMA CEREMONY 1. Congratulation speech by Mr. Brett Krause - Citi Country Officer, Vietnam Distinguished guests, Ladies and gentlemen, It s my great honor to be here with all of you today to celebrate the 6th Citi s Microfinance Award Ceremony in Vietnam. First, I would like to congratulate you all for the wonderful efforts and excellence achievement over the year of Congratulations to those who have been consistent winners of the Citi CMA award and also those who come here the first time. The Citi Microentrepreneurship Awards Vietnam 2012 continues to acknowledge the achievements of 53 microfinance entrepreneurs, who have used micro loans effectively to start their own business, diversify family revenues and help improve the life of their families and communities. CMA Vietnam 2012 also honors outstanding 10 microfinance institutions and 15 credit officers for their efforts to alleviate poverty and eliminate hunger in Vietnam in Microfinance support is one of the key priorities in Citi s community programs and strategy, both globally and in Vietnam. We realize that microfinance activities in Vietnam have brought real opportunities for the poor to enhance their incomes and improve living conditions, and even create jobs for their communities and thus contribute to local social economic development. We believe that microfinance is one of the most effective channel of investing in the poor which has important social impacts. The CMA program has been going on for 6 years in Vietnam now, and has proven to be one of the most prestigious award programs to recognize professionally qualified MFIs, credit officers and microfinance business people. The Citi Microentrepreneurship Awards has three categories: outstanding microentrepreneurs who have successfully established their small businesses; loan officers at microfinance institutions who have effectively developed and served their client base; and local microfinance institutions which have introduced innovative products for their clients. Citibank is proud to continue its support for this important program in Vietnam. Based on the success of last 6 years awards, we are looking forward to receiving even more nominations in 2013, and paying tribute to the tremendous achievements of Vietnam s top microentrepreneurs, microfinance loan officers, and microfinance institutions. We also hope that the program will further increase awareness of the CMA Report

24 significant role that microfinance can play in local economic development, job creation, self-empowerment, and poverty alleviation. This is an excellent proof showing the increasing quality of Vietnam Microfinance community taking advantage of updated technologies and standards. Citi is proud to be part of your success. Last but not least, I would like to thank all judgment team lead by Dr. To Ngoc Hung and all members for your hard work to select and nominate FMIs and people for the awards. Thanks for the great support from SBV, VINASME (Vietnam Association of Small & Medium Enterprises) and especially Vietnam Microfinance Working Group to make this award ceremony today successful and I do hope that we will continue to receive your supports in the coming years. Thank you again for the excellent partnership we built over the years. I would like to wish you a wonderful time and good health and happiness. Let s keep up the great momentum and look forward to another year of even greater success in 2013 for all of us. Thank you. 2. Congratulation speech by Mr. To Hoai Nam Vice President and Secretary General of Vietnam Association of Small and Medium Enterprises Distinguished Guests, Ladies and Gentlemen, First, on behalf of the Vietnam Association of Small and Medium Enterprises, I would like to wish you all happiness and good health. The CMA 2012 has important taskto recognize and honor the great achievements of Vietnamese microentrepreneurs, they are the poorest people who have used the micro-loan to start effectively their business, diversify the household productions, generate more income and improve their lives as well as the surrounding community. Beside this, the CMA 2012 had acknowledged the contributions of the typical individual and microfinance institutions in providing efficient financial services to the poor / low-income households in Vietnam - those who have contributed significantly to the development of Vietnam's economic power, created jobs, improved the quality of life for people in the community, contributed to reduce significantly the rate of poverty in the area. I would like to thank for the support of delegates and guests, especially I would like to welcome the Excellent Micro-entrepreneurs, Outstanding credit officers and Best microfinance institutions in CMA Report

25 More than that, I would like to thank the State Bank of Vietnam, Banking Academy that supported and cooperated with us in the CMA2012. I would like to share the deep appreciation of the major donor - Citi Foundation - Citi bank, who has supported our successful implementation of this program for the past six years. Once again, I would like to thank you for your support, and wish the Citi Microentrepreneur Award Vietnam 2012 (CMA 2012) a successful continuation of the ceremony. Thank you. 3. Congratulation speech by Mr. Dang Thanh Binh Deputy Governor of the State Bank of Vietnam Ladies and Gentlemen, First, on behalf of the State Bank of Vietnam, I would like to send all happiness and good health to distinguished guests, 53 Excellent Micro-entrepreneurs, 15 Outstanding credit officers and 10 representatives of best microfinance institutions. Over 25 years of comprehensive renovation of the country, with the proper and creative way of the Party and State, Viet Nam has made impressive achievements in economic development and poverty reduction. From the starting point of the world's poorest countries, Vietnam has attempted to rise and by the end of 2010 it became the country with average national income. Poverty rate fell from 58% in 1993 to 28.9% in 2002, and from 14.5% in 2008 to 12% in According to the Global Hunger Index (GHI), Vietnam ranks 25th out of 81 countries with poverty reduction achievements. The achievements and efforts of Vietnam's poverty reduction have been highly due to the international community, which is also considered one of the great achievements in the economic development of the country. However, Vietnam is still facing many challenges and difficulties in the fight against the risk of falling back into poverty, especially in the context of the world s complicated economic conditions, while the major economies have slowed down, there is limited purchasing power and continuously rising inflation risk. This context requires Vietnam to have an appropriate policy response, and dedicate sufficient attention to ensuring social security. The fact that Vietnam is an agricultural country with over 70% of the population living in rural areas, the Vietnamese Government has identified agriculture, farmers and rural areas, which have a strategic position in the national construction industry, being an important basis for sustainable socio-economic development and gives major priority for the rural financial sector. According to the orientations of the Government, the operation of microfinance in Vietnam has shown an important role CMA Report

26 in strengthening financial support, step by step to meet the demand for loans and other financial services for rural and low-income households. The Citi Micro Entrepreneur Awards Vietnam over the past six years has contributed significantly to the objective of encouraging development of microfinance in Vietnam. The State Bank of Vietnam welcomes and appreciates the efforts of the Vietnam Microfinance Working Group (MFWG) in the organization of the program of Citi Micro Entrepreneur Award-Vietnam in 2012 and hopes that the Citi Foundation - Citi group and other organizations will continue to show interest in and support this program to be held regularly in Vietnam in the coming years in order to continue to recognize and encourage the microfinance institutions and their members to contribute more and more to the economic development of Vietnam. Once again, I would like to thank you for your support, and wish to the Citi Microentrepreneur Award Vietnam 2012 (CMA2012) to continue the ceremony successfully. Thank you. 4. Congratulation speech by Mr. To Ngoc Hung Director of Banking Academy Distinguished Guests, Ladies and Gentlemen, This year, we have found 68 individuals (including 53 micro-entrepreneurs and 15 credit officers) to be honored as well as 68 outstanding and best-practice examples for thousands of micro-entrepreneurs and credit officers in the microfinance industry. You are truly the silent soldiers and pioneers in the cause of poverty reduction in Vietnam. 10 microfinance organizations recognized today are actually typical microfinance institutions. In the judging process we see the contribution of this organization is very significant. Vietnam has a need for many MFIs like your organizations. Dear Mr Brett Krause - Citi Country Officer, I know that Citi Group has organized this award in over 30 countries. As chairman of the jury, I can confirm that Citi Bank's operations have been successful in Vietnam. Thanks to this award, many people have increased their knowledge about the microfinance industry in Vietnam, CMA Report

27 and also through these awards, credit officers have been able to learn and share with each other to create a more rewarding working experience. I hope that Citi will continue this award and may it expand to a larger scale, for many, many MFIs that have already benefitted from it. We also hope that this award will continue to recognize, reward and strengthen the microfinance sector in the future. I believe that with the policies and priority attention from the Government of Viet Nam on the development of the microfinance sector, along with the efforts of each microfinance institution as well as of the microentrepreneurs, which are represented by the groups honored today, we can fully accomplish the sustainable future development of the microfinance sector in Vietnam. Finally, on behalf of the Jury, allow me to wish health and success to all delegates who are attending the CMA I hope the microentrepreneurs and MFIs can increasingly focus on and achieve sustainable development, and make a positive contribution to the socio-economic development of Vietnam. Thank you CMA Report