MANAGEMENTUL RISCULUI DE CREDITARE ÎN INSTITUŢIILE DE MICROFINANŢARE DIN REPUBLICA MOLDOVA

Veronica MÂRZAC Universitatea Cooperatist-Comercială din Moldova

Abstract

Delinquency tends to be more volatile in MFIs than in commercial banks. Most microloans are not secured by tangible assets that can be seized or sold easily in case of default. Meaningful delinquency monitoring is a crucial diagnostic tool. The international standard for measuring bank loan delinquency is portfolio at risk (PAR). This measure compares apples with apples. In microfinance, delinquency is more delicate. Amortization is more frequent. Loans become nonperforming more quickly, and most are uncollateralized. Once clients fall significantly behind, they often never become current again. An arrears rate simply does not reflect the true risk level of a microloan portfolio with substantial numbers of late payments, or one where a significant portion of loans have several missed payments.