FINANCIAL ANALYSIS AND ACCOUNTING PROCESSES FOR MICROFINANCE BANKING

Live-Online Training: N175,000
Classroom Training: N 215,000
3 - 4 participants: 5% discount
5 or more participants: 10% discount

(Available also for Customised Training by Duration, Venue & Fee)
(PARTICIPANTS MUST BE WITH THEIR LAPTOPS)

Programme Description

For any Microfinance Bank to succeed in achieving its mission and long term survival, its operations must be sustainable. It is critical therefore that each Microfinance Bank’s Management understands the components of early detection of possible threats.

Through this course, a quick guide is provided to learn all about desired accounting concepts, conventions and principles for running a successful Microfinance Bank.

Course Objectives

By the end of this training, participants will be able to:

• Conduct balance sheet analysis of Microfinance Banks.  
• Assess and analyse the performance trends of a Microfinance Banks by using financial ratios that are relevant.
• Compare the performance of Microfinance Banks within the banking industry in Nigeria.
• Undertake business planning and financial modeling, including costing and leveraging resources.
• Understand the concepts of micro-lending and the canons of good lending.
• Develop appropriate tools for analyzing and evaluating credit proposals and risks involved.
• Exercise sound credit judgements and be placed in a position to protect their organizations’ interest in the credit cycle.

Course Contents

DAY ONE

Overview of Accounting Concepts, Conventions, Principles & Standards.

• What are Accounting Concepts
• What are Accounting Conventions 
• What are Accounting Principles
• What are Accounting Standards
• SAS: The repelled/replaced local accounting standards
• IFRS: International accounting standard issued from 2001 onwards
• SIC: Contains interpretations of the IASs.

Components of Financial Statements for MFBs 

• Income Statements
• Statement of Financial Positions  - the Balance Sheet
• Income Statements
• Statement of Cash Flows  
• Value Added Statements
• Specific Statements and Notes to the Financial Statements
• Portfolio Reports.      

DAY TWO

Financial Statement Analysis and Interpretation 

• What is Financial Analysis?
• What is Financial Sustainability?
• Portfolio Reporting  
• Cash-flow Analysis
• Profitability and Sustainability Indicators
• Efficiency and Productivity Indicators
• Growth and Outreach Indicators  
• Financial Structures Indicators

The Interpretations of Items that often have particular use in MFBs.

DAY THREE

The Systems Approaches to Analyzing Regulated MFBs

• Capital Adequacy, Asset Quality, Management, Earnings, Liquidity, and Sensitivity Model (CAMELS)
• Protection, Effective Financial Structure, Asset Quality, Rates of Return and Costs, Liquidity and Signs of Growth Model: PEARLS
• Micro-Credit Rating International Limited: M-CRIL Rating
• Government and Decision Making (G): Information and Management Tools (I): Risk Analysis and Control (R); Activities and Loan Portfolio (A); Funding (F); Efficiency and Liability (E): GIRAFE Rating

DAY FOUR

• Comparative Analysis
• Industry Standards and Benchmarks Locally and Internationally.
• Identifying Costing
• Leveraging of Funding Sources.
• What is Strategic Planning?
• What is Financial Management?
• What is Financial Planning?
• Policies Development
• Liquidity Management
• Financial Projections for MFBS
• Business Modeling for MFBs
• Differences Between Financial Accounting and Management Accounting