The SmartAid Index measures and rates the way funders with an interest in microfinance work. The premise of SmartAid is simple: funders with strong management systems are better equipped to support financial inclusion effectively. Its indicators assess five areas agreed by all funders as critical for effective financial inclusion: strategic clarity, staff capacity, accountability for results, knowledge management, and appropriate instruments.
Agence Française de Développement’s (AFD) and the Société de Promotion et de Participation pour la Coopération Economique (PROPARCO) together representing the AFD Group received 70 out of 100 points, meaning that overall it has “good” systems in place to support microfinance. The AFD Group’s focus and support to microfinance has advanced considerably since 2000. Once considered a failing activity within its rural and agriculture operations, microfinance at AFD has become an integral focus area within the financial sector development program, supported by a strong team of technical experts.