In bilateral microfinance projects, exit strategies or "hand over" phases generally have not proven very successful. Institutions, groups, or processes designed with the sole purpose of implementing microfinance projects, to the exclusion of promoting post project sustainability, tend to develop vulnerabilities that lead to their programs' failure. To counter this problem, China's Chongqing Comprehensive Poverty Alleviation Project (CCPAP) takes a different tack, designing an exit-strategy approach into its microfinance program from the outset. While still in the design phase, this approach has raised several critical issues that must be resolved, and these comprise the main focus of this paper.
Larry Hendricks is microfinance specialist with CCPAP and senior consultant and manager of Henricks & Associates.
Journal of Microfinance
Issue and Volume
BYU ScholarsArchive Citation
"Designing Microfinance from an Exit-Strategy Perspective,"
Journal of Microfinance / ESR Review: Vol. 5
, Article 5.
Available at: http://scholarsarchive.byu.edu/esr/vol5/iss1/5