Microfinance development programme, a component of the market reform policies in Uzbekistan, is designed to improve living standards. Its main objective is to provide assistance to the broad population groups by supporting private entrepreneurship through transforming crediting into a more effective instrument. The national government is making a significant contribution in facilitating development and strengthening microfinance in Uzbekistan.
This objective contains feasible targets – upscale activities and services to make microfinance a sustainable component of the national financial system as a whole. In order to achieve this objective, microfinance’s potential should be enhanced through promotion of international experience and implementation of international standards on these organizations’ activities.
On May 18-19, 2007, a two-day workshop on the subject "International Standards of Financial Reporting of Microfinance Organizations" was held in "Snejniy Bars" recreation zone.
CGAP, United Nations Development Programme Public Finance Reform in Uzbekistan Project, Microfinance Center of the Central and Eastern Europe and CIS countries, as well as microcredit programme of the Northwestern Medical Teams representative office hosted this training.
This training was arranged to introduce international principles of financial reporting and financial analysis to the government officials and microfinance organizations in Uzbekistan.
Experts with solid experience in microfinance, who represent Central Asian Microfinance Center and the European Bank for Reconstruction and Development, conducted the training.
Officials of the Ministry of Finance, Central Bank, Ministry of Justice, State Tax Committee, and international microfinance organizations involved in microfinance took part in the training.
Participants were introduced to the international standards of financial reports for microfinance institutions, the specific nature of financial coefficients and indicators used in international practices, as well as, the principles of successful microfinance services. The training’s main focus was on financial analysis of the performance of microfinance organizations and its link with decision-making on vital matters of development of microfinance organizations, and practical recommendations to increase efficiency and financial performance of the organizations in general. Comparative analysis of microfinance organizations’ performance in Central Asia was also conducted.
The training is of substantial practical significance. It was built on most modern teaching techniques based on the review of real-life examples and resolution of practical examples.
It is expected that the information received in the course of the training will provide government officials with better understanding of the specific nature of international standards of financial reporting, and, improve specialists’ practical knowledge of microfinance organizations.