1. Name of the Organization
Location
Kiva
Potential Partner Evaluation Report
Fastrack
Greenlight Report
Final Report
Prepared by:
Name of MPM/PDS
Date of Due Diligence
1

2. Table of Contents
SECTION 1 – MFI OVERVIEW AND HIGHLIGHTS.............................................................................3
SECTION 2 – SOCIAL PERFORMANCE.................................................................................................6
SECTION 3 – RISK......................................................................................................................................14
APPENDIX 1 – PRODUCTS AND SERVICES...........................................................................................................19
APPENDIX 2 – FINANCIAL PERFORMANCE..........................................................................................................20
APPENDIX 3 – FINANCIAL PROJECTIONS............................................................................................................21
2

3. Section 1 – MFI overview and highlights
1.1 Executive Summary
Overview
1
Commitment to Microfinance
Organization Start Date
Network Affiliation
Number of Branches
Country Legal Memo (y/n)
DOT and DOJ Terrorist Exclusion (y/n)
OFAC check (y/n)
Legal Status
For profit/ Non-profit?
Regulated?
Date of latest MIX Market Data
Gross Outstanding Portfolio
Loan Growth
Desired Funding
30% of Total Portfolio Size
42% of Total Portfolio2
Projected Risk Star Rating Limit
Projected Overall Limit
Expected start date with Kiva
Kiva’s country penetration
Loans that meet criteria (size, term) (Number)
Loans that meet criteria (size, term) (USD)
Risk
Overall estimated risk rating
Stakeholders commitment to financial sustainability3
Audited Financial Statements (date)
Borrower Growth Over Previous Year
Portfolio Growth Over Previous Year
PAR30 (as of )
OSS (as of )
Current Ratio (as of )
Debt to Equity (as of )
1
GLP< 30% of Assets (1); GLP< 50% of Assets (2); GLP< 70% of Assets (3); GLP> 70% of Assets (4).
2
Kiva’s 30% limit on financing relative to the portfolio is dynamic and, therefore, changes, as the portfolio
grows. For new organizations, a simulation can be created in which the current portfolio financed by non-
Kiva sources remains exactly the same and Kiva funding is additional to the portfolio size. This simulative
multiplies the current portfolio size by 3/7 (42%) instead of 3/10 (30%).
3
How does the MFI rate the objective of financial sustainability? Not an objective (1); Minor objective (2);
Important objective but cannot be reached in the short term (3); Major objective to be reached within 2
to 3 years (4); The institution is already financially sustainable (5).
3

4. Social Performance
Overall estimated Social Performance rating
Stakeholders commitment to Social Performance4
Goal of poverty reduction? (y/n)
Endorsed Consumer Protection Principles?
Code of Conduct?
OK with Client Waiver?
Consumer Protection Principles – Data available?
Principle 1: Prevent over-indebtedness
Principle 2: Transparent Pricing
Principle 3: Appropriate Collections Practices
Principle 4: Ethical Staff Behavior
Principle 5: Mechanisms for Complaints Handling and Resolution
Principle 6: Privacy of client data
Fair Pricing
Below or Above MF Transparency APR curve? (if available)
Can provide interest and fee per borrower? (y/n)
Lending methodologies (individual lending, group lending, village
banking, other)
Total Active Clients
Total Active Borrowers/ Total Active Women Borrowers
Total Active Voluntary Savers/ Total Active Women Voluntary
Savers
Breakdown by geographical area
Total/ % Active Borrowers in urban areas
Total/ % Active Borrowers in semi-urban areas
Total/ % Active Borrowers in rural areas
Breakdown by type of enterprise
% portfolio in microenterprise
% portfolio in small enterprises
% portfolio in medium enterprises
% portfolio in large microenterprises
4
Comment on the social objectives of the main stakeholders (managers, staff, clients, shareholders,
donors, banks/investors, etc.) and how they ensure that the social mission is accomplished. Is there a
strong culture of social performance at all levels of the institution? No (1); Only among top management
(2); Only among top management and selected employees (3); Yes among most employees (4); Yes among
all employees and clients? (5).
4

5. 1.2 Executive Summary Narrative
Please provide a brief summary of the following, in paragraph form:
• Full name of MFI, legal status, regulatory and supervision status and any related
implications when working with Kiva
• Brief History of operations – when / where / why were they founded? How has the MFI
evolved into what it is today?
• Note whether the MFI meets all minimum criteria. If not, explain the reason for
overriding the minimum criteria
• Mission, vision and values, and their alignment with Kiva
• Financial & non-financial product /service offerings, and target clientele. Include
information about any particular focuses the MFI has (women / IDP / refugees / youth /
other)
• Explain the capability and adequacy of current governance, leadership, long term vision
• Describe MFIs current financial performance, status of operations
• Describe the MFI’s level of transparency and market position – Do they have a rating?
(Include score) Affiliations? Funders (international / national)? Who do they report to?
Other international references?
• Comment on current risk assessment, internal controls, internal and external audit
• Explain how this potential partnership feeds into your regional goals and the overall Kiva
strategy, and how the MFI will use Kiva funding (innovation, rural financing, etc)
1.3 Rationale for Kiva Partnership
Explain intended use of Kiva funding by MFI. Why does Kiva want to work with this MFI?
1.4 SWOT Analysis
Strengths Weaknesses
• •
Opportunities Threats
• •
1.5 Market Context
Comment on the microfinance market, and where the MFI fits in this landscape. Include the
following:
• Kiva market penetration
• Size – Total portfolio, # of MFIs, different type of institutions, coverage
• MFI Networks
• Regulatory Bodies
• Relevant laws governing MFI (interest rate caps, etc)
• Funding Landscape
• Country Rating
• Political Climate
5

6. Section 2 – Social Performance
Kiva Social Performance Model Core Criteria:
Risk Model Core Criteria Max Score
Score Given
1 Targeting and outreach 5
Geographic targeting
Individual targeting
Pro-poor methodology
2 Products and Services 5
Range of traditional services
Quality services
Innovative and non-financial services
3 Benefits to Clients 5
Economic benefits for clients
Client participation
Social capital/client empowerment
4 Social Responsibility 5
Social responsibility to employees
Social responsibility to clients
Social responsibility to the community and environment
2.1 Social Priorities
Specifically, discuss the MFI’s Mission and Vision and its Social Performance Reporting
(including awards).
Indicate below whether the MFI is reporting its social performance using any of the following
tools:
Report to MIX
MIX Award? (indicate Gold or Silver)
SPS Report (data in XL)
Social Performance Rating
Market Study
Focus group study
PPI Report
PPI data (data XL)
PPI presentation (PPT)
Environment Policy Report
CERISE SPI (data XL)
CERISE SPI (data Word)
CERISE SPI Report
Poverty Assessment Tool (PAT)
Quality Assessment Tool (QAT)
Other (Specify)
6

7. How does MFI management ensure the social mission is accomplished?
How would the MFI rank the four dimensions of the SPI tool in terms of social priorities?
1. Not an 2. Minor 3. Neutral 4. Important 5. Major
objective objective objective objective
Targeting & outreach
Products and services
Benefits to clients
Social responsibility
2.2 Targeting and Outreach
Discuss the MFI’s target market. Specifically, indicate the extent to which the MFI is targeting
and reaching poor, marginalized, excluded borrowers.
MFI target market:
Women
Adolescent and youth (below the age of 18)
Indigenous people and ethnic minorities
Clients living in rural areas
Clients living in urban/ semi-urban areas
Clients living in underdeveloped areas5
Marginalized and/or socially vulnerable groups6
No specific target (all population)
Other (specify)
Poverty level of MFI target market (of clients that the MFI aims to reach):
Very poor clients
Poor clients
Low income clients
No specific focus (all population)
Poverty Level Benchmark (Definition for ‘poor’ or ‘very poor’clients):
Poor:
Persons living below the poverty line established by the national government
Persons living on less than $2 a day international poverty line
Other (specify)
Very poor:
5
Areas with little or no access to basic services: water, electricity, education, health, sanitation, infrastructure;
marginalized areas with basic services but far removed or isolated from metropolitan areas; areas with an above
average concentration of poor people.
6
Definition: excluded groups may be defined by race, caste, ethnicity or religion, and may include persons with
disabilities, homeless, internally displaced persons or refugees. Also may include persons often excluded from
microfinance such as farmers or young people between 16-25 years of age. The data must be less than two years old.
Indicate the definition of groups considered socially marginalized or vulnerable in the MFI country, and indicate the
definition used by the MFI.
7

8. Persons in the bottom 50% of those living below the poverty line established by the
national government
Persons living on less than $1 a day international poverty line
Other (specify)
Type of enterprises supported by the MFI:
Micro enterprises (less than 10 employees)
Small enterprises (between 10 and 50 employees)
Medium enterprises (between 50 and 250 employees)
Large enterprises (more than 250 employees)
Development objective(s):
Poverty reduction
Employment generation
Development of start-up enterprises
Growth of existing business
Income and productivity growth
Adult education improvement
Children schooling
Health improvement
Gender equality and women’s empowerment
Other (specify)
If the institution has any other social goals please state them here
What is the MFI’s strategy regarding outreach to the poor and the excluded?
How does the economic, legal, social and cultural environment facilitate or limit the
implementation of a strategy regarding the poor and the excluded?
Indicate if the MFI tracks the poverty level of its clients. If not, is it planning on doing it in the
future? If yes, indicate the tool used to track poverty levels.
Poverty measurement tool:
Progress out of Poverty Index (PPI) (Grameen Foundation)
Poverty Assessment Tool (PAT) (USAID-IRIS)
Cashpoor Housing Index
Participatory Wealth Ranking (PWR)
Means Test
Food Security Index
Household income
Per Capita Household Expenditure
Per Capita Household Income
Own Proxy Poverty Index
Other (specify)
2.3 Products and Services
8

9. Refer to Appendix 1 and discuss the MFI’s products and services. Specifically, does the MFI
have appropriate products and services for its target clientele, and a client-centric approach?
How many different types of loan products does the MFI offer? (Products are considered
different when at least two of the following characteristics are different: purpose, disbursement
conditions, minimum-maximum amount, term, collateral, interest rate and repayment schedule.
Example: A MFI offers two loans. One has a 3 month term, the other a 5 month term. The
purpose, minimum and maximum amounts, collateral, interest rates and schedule are the same
for both. In this questionnaire, these two types of loans must be considered as a single product).
What is the MFI’s strategy regarding the adaptation of products and services to target clients?
How does the economic, legal, social and cultural environment facilitate or limit the
implementation of a strategy to adapt products and services?
Put a check mark if the MFI offers any of the following:
Financial Services:
Other (specify)
Credit
General loans
Microenterprise
loans
SME loans Insurance
Line of credit Credit life
Education loans insurance
Housing loans Life insurance
Loans for House insurance
immediate Livestock and
household needs agricultural
Health loans insurance
Energy loans Health insurance
Water loans Other (specify)
Other (specify)
Other financial services
Savings Debit/ credit card
Checking accounts Savings facilitation
Savings accounts service
Fixed term Money transfer
deposits service
Special purpose Payment by check
savings accounts Other (specify)
(Education,
Health, Housing,
Other)
Mandatory
savings
9

10. Non-financial services: Business training
to enhance
Enterprise services women’s market
Enterprise skills opportunities
development Women’s
Business leadership training
development service Training on rights
Other (specify) and
responsibilities
Adult education as leaders in
Financial literacy participative
Basic health/ models
nutrition Women’s rights
education education/
Other (specify) Gender issues
(training for men
Health services and women)
Basic medical Counseling/ Legal
services services for
Special medical women victims
services for of violence
women and Other (specify)
children
Other (specify) Other non-financial
services
Women empowerment
Does the MFI offer the non-financial services directly or through a
third party?
Fair Pricing
A financial institution can measure up to this principle by offering
quality services for the price, demonstrating its competitiveness in
the marketplace, and favoring a long-term beneficial relationship
with the customer over short-term profit maximization.
How does the MFI state the interest rate?
• Declining balance method
• Flat interest method
What is the main loan product offered by the MFI?
What percentage of the portfolio does it represent?
Annual Percentage Rate for the MFI’s main loan product (using
Deutsche Bank interest rate tool):

11. MFI Median for Peers
Avg. Portfolio Yield
Avg. Loan Size (as Per Capita Income)
Avg. Return on Assets
Kiva Loan Product #1 (repeat for all For For corresponding avg. loan size on MFT
products to be posted on Kiva) MFI curve (when available)
Avg. Loan Size (in Local currency)
APR for Kiva loan product
2.4 Benefits to Clients
What is the MFI’s strategy for ensuring improvement in the
economic and social situation of clients?
How does the economic, legal, social and cultural environment
facilitate or limit the implementation of a strategy for improving
the situation of clients? In particular, what are the pre-existing
social networks in the operating areas? Is there strong social
cohesion? Do community members/ clients share values of
solidarity?
2.5 Social Responsibility
Policy of the MFI on Social Responsibility7
Does the MFI have a policy defining its social (1) (2) (3) (4) (5)
responsibility...
... to clients (client protection policies)?
... to the community?
... to staff (human resources)?
...vis à vis the environmental impact of the
businesses it finances?
... vis à vis its own environmental impact at HQ and
branches (e.g., use of energy, water, paper, waste)?
What is the MFI’s strategy regarding social responsibility?
How does the economic, legal, social and cultural environment
facilitate or limit the implementation of a socially responsible
strategy?
Social Responsibility towards Clients
As an endorser of the Consumer Protection Principles (CPP), Kiva is
committed to ensuring that the principles are promoted to its MFI
7
None (1); None, but planned for the future (2); Under development (3); No formal policy but the values
are reflected in operations (4); Yes, the MFI has a formal, written policy (5).

12. partners. If the MFI has not endorsed CPP, explain why and
provide timeline for when the will endorse them.
Describe the MFIs activities around consumer protection.
1. Principle 1: Prevent over-indebtedness. A financial
institution measures up to this principle by carefully
establishing the borrower’s ability to afford the loan and
repay it. Clients should be able to handle debt service
payments without sacrificing their basic quality of life.
Highlight measures that have been implemented and what the
MFI is doing to ensure that these measures are effective. If the
MFI clients are borrowing from other institutions or money
lenders, indicate percentage). Highlight if the MFI provide some
type of loan-insurance in case of death of the borrower (insurance
on the loan that frees the family from the burden of debt in case
of death of the borrower).
2. Principle 2: Transparent Pricing. A financial institution
measures up to this principle by ensuring that complete
information is made available to customers in clear
language that is not misleading and that the customer is
able to understand.
Describe how the MFI ensures transparent communication with
clients about prices, terms and conditions of financial products.
Include a description on how the MFI discloses the information
and how it ensures that the communication is clear and
understandable.
3. Principle 3: Appropriate Collections Practices. A financial
institution measures up to this principle by maintaining
high standards of ethical behavior even when clients fail to
meet their contractual commitments.
Describe MFI collection practices and how the MFI ensures that
appropriate collections practices are followed.
4. Principle 4: Ethical Staff Behavior. A financial institution
measures up to this principle by creating a corporate
culture that values high ethical standards among staff and
ensuring safeguards are in place to prevent, detect and
correct corruption or mistreatment of clients.
Describe how the MFI ensures staff ethical codes of conduct are
consistently followed.

13. 5. Principle 5: Mechanisms for Complaints Handling and
Resolution. A financial institution measures up to this
principle by having a mechanism for collecting, responding
in a timely manner, and resolving problems for their
clients.
Describe MFI policies and procedures in place for complaint
resolution and client problem solving.
6. Principle 6: Privacy of client data. A financial institution
measures up to this principle by respecting the privacy of
client data, ensuring the integrity and security of client
information, and seeking the client’s permission to share
information with outside parties prior to doing so.
Describe how the MFI safeguard privacy of clients’ data.
If the MFI has other policies or practices designed to protect
clients and ensure their fair treatment, describe as well.

14. Section 3 – Risk
Kiva Risk Model Core Criteria:
Risk Model Core Criteria Max Score Score
Given
1 People 5
Board
Management
Staff
Reputation
Planning
2 Financial Performance 5
Overall Financial Performance
Transparency and Responsiveness
3 Risk Control 5
Internal Audit
Internal Controls
Sustainability
FX Hedging
MIS
4 Oversight 5
Recommendation of Local Experts
Funding History
Regulation and Supervision
Network Affiliation

15. 3.1 People
Discuss the MFI’s Board of Directors, including:
• Composition – list board members, length of time on
board, and qualifications
• Structure – discuss structure, including notes on
involvement and support
• Involvement and Support
Discuss the background and qualifications of the Management
Team, including:
• Leadership and senior managers
• Middle Management
Discuss the Formalization of the Human Resource Function:
• Is there a formal HR department
• Employee turnover
• Appraisal
• Incentive Schemes
• Training
• Succession planning
3.2 Financial Performance
Fill Appendix 2.
Discuss Profitability and Sustainability drivers, including:
• Revenue Growth
• Trends in Profitability, including OSS
• Efficiency and Profitability
• ROE and ROA
• Margin Analysis
Discuss the Portfolio and Asset Quality drivers, including:
• Provisioning Adequacy
• Product offerings
• Delinquency
• Write-offs, rescheduling and policies
• Concentrations by branch, product or sector
PAR Most Previous Previous Previous Previous
Recent Year Year-1 Year-2 Year-3
Year
Unprovisioned PAR30 /
Equity

16. Discuss the Capital Structure and Asset Liability Management,
including:
• Leverage
• Financing Structure
• Interest Rate Risk
• Maturity Risk and Liquidity Management
• Compulsory Savings Intermediation
• FX Risk
ALM Most Previous Previous Previous Previous
Recent Year Year-1 Year-2 Year-3
Year
Current Ratio8
Debt/Equity Ratio
Foreign Exchange Gap /
Equity
Compulsory Savings
Intermediation Ratio
Financing Source Loan Amount Currency Terms Collateral,
denomination Covenants, and
Inter-creditor
Issues
Discuss the confidence in Audited Financial Statements.
Discuss the Business Planning process, including:
• Expansion plans
• Hiring plans
Fill Appendix 3.
Discuss Financial Projections (cover same areas as for current
financial performance listed above).
ALM Projections Projections Projections Projections Projections
Year 1 Year 2 Year 3 Year 4 Year 5
Current Ratio9
Debt/Equity Ratio
Foreign Exchange Gap /
8
Juhudi Kilimo cannot distinguish between the current and non-current portions of its portfolio. For
calculation, the analysts have assumed all of the portfolio is current.
9
Juhudi Kilimo cannot distinguish between the current and non-current portions of its portfolio. For
calculation, the analysts have assumed all of the portfolio is current.

17. Equity
Compulsory Savings
Intermediation Ratio
Discuss the Transparency and Responsiveness, including:
• External Transparency (including financial and social
reporting to MIX)
• Internal Transparency
• Responsiveness
3.3 Risk Control, Program Methodology and
Systems/ Documentation
Discuss the following:
• Internal Audit Department– does the MFI have one?
Structure? Quality?
• Internal Control Department – does the MFI have one?
Structure?
• Cash Handling
• Foreign exchange policies
• MIS Data Quality
• Reconciliation
• Ghost clients/ Cases of fraud to date
Comment on the existence and quality of the following manuals:
• Operations Manual
• Finance Manual
• Credit Manual
• HR Manual
• Internal Audit/ Internal Controls
Discuss the MFI’s program methodology and credit discipline:
• Program Methodology in general
• Credit decision making and delegation of authority
• Delinquency monitoring
Discuss the MFI’s MIS/ Information System:
• Functionality
• Reporting
• Back-ups
• Access Controls and Audits
• Problems
• Technical Support
3.4 Regulatory environment and oversight

18. Discuss the Regulatory Environment under which the MFI
operates:
• Legal Operation
• Savings Handling
• Regulation
• Legal Status
Discuss the MFI’s External Relationships:
Name of the Type of How long has Basis of Level of
partner organization the MFI had a partnership ( e.g., Influence on MFI
organization (Network relationship with financial/technical (High, medium
support, TA the assistance) or low)
providers etc) organization?
Typically, Kiva has relied on network relationships for signaling
(whether the MFI is good), for information (feedback on the MFI),
for ongoing technical assistance to improve an organization’s risk
profile, and as an implicit guarantor on an MFI’s debt to Kiva.
Name Name
Signaling
Information
Technical Assistance
Implicit Guarantor
Discuss the Recommendation of Local and Non-local Experts on
the MFI:
Name of the Expert Designation Major Reasoning for
Recommendations recommendations

19. Appendix 1 – Products and Services
List the Main characteristics of the MFI’s Products and Services
and highlight which ones will be posted on Kiva.
MFI Will Descriptio Sector Lending If group Collatera Averag Averag Average
Produc be n (green, Methodolog methodolog l e Loan e GDP Loan
t poste education, y y (solidarity Required Amount per Amount/
d on health, or village capita Average
Kiva? water, banking, (PPP) in GDP Per
other) average local Capita
number of country (PPP)
members (see
per group) country
data
section)
MFI Average Repayment Interest Annual Up- Value- Compulsory Savings
Product Loan Term Frequency Method Interest front added Savings (%) Interest
(continued) (flat, Rate (%) Fees Tax (%) Paid (%)
declining) (%)

20. Appendix 2 – Financial Performance
(in Local Currency) Most Recent Previous Previous Previous Previous
Year Year-1 Year-2 Year-3
Total Assets
Gross Loan Portfolio
% Change
Total Liabilities
Total Equity
Revenue
% Change
OSS
FSS
Net Income
ROA
ROE
Current Ratio
Leverage Ratio
Net Worth
PAR30
Write-offs
Number of Borrowers
% Change
Number of Branches
Revenue/ Staff
Cost Structure Breakdown
Portfolio Yield
Non-Portfolio Financial revenue
Ratio
Operating Expense Ratio
Finance Expense Ratio
Loan Loss Provision Expense Ratio
Efficiency Analysis
Loans/ Loan Officer
Loan Officers/ Total Staff
Loans/ Staff Member
Cost per Loan
Average Disbursed Loan (Local
Currency)
Average Outstanding Loan (Local
Currency)
Average Disbursed Loan (USD)
Average Outstanding Loan (USD)
Number of Loan Officers

21. Appendix 3 – Financial Projections
(in Local Currency) Projections Projections Projections Projections Projections
Year 1 Year 2 Year 3 Year 4 Year 5
Total Assets
Gross Loan Portfolio
% Change
Total Liabilities
Total Equity
Revenue
% Change
OSS
FSS
Net Income
ROA
ROE
Current Ratio
Leverage Ratio
Net Worth
PAR30
Write-offs
Number of Borrowers
% Change
Number of Branches
Revenue/ Staff
Cost Structure Breakdown
Portfolio Yield
Non-Portfolio Financial revenue
Ratio
Operating Expense Ratio
Finance Expense Ratio
Loan Loss Provision Expense
Ratio
Efficiency Analysis
Loans/ Loan Officer
Loan Officers/ Total Staff
Loans/ Staff Member
Cost per Loan
Average Disbursed Loan (Local
Currency)
Average Outstanding Loan (Local
Currency)
Average Disbursed Loan (USD)
Average Outstanding Loan
(USD)
Number of Loan Officers