The IMFI.org website is the Iraqi Microfinance Knowledge Portal. This website presents the Iraqi microfinance industry, and its constituent 12 microfinance institutions (MFIs) which are partnered with the USAID-Tijara Provincial Economic Growth Program. It highlights the qualities, performance, impact as well as issues facing the industry as it grows, becomes more sustainable, and with some of its MFIs in the process of transforming from non-governmental organizational (NGO) status to that of non-bank financial intermediaries (NBFIs). The main reasons for its establishment were the felt need for microfinance practitioners to have a common voice; to lobby government for favourable policies; to share information and experiences; and to link up and network with both local and international actors.

This portal brings together a network of 12 microfinance institutions operating in all 18 governorates of Iraq. These institutions lend to micro and small business enterprises with loans ranging from $500 to $25,000 and a 12-month loan term. Each microfinance institution (MFI) charges its own interest rate which are from 12% to 18% per annum. Other fees are also charged by select institutions depending on the conditions set for each loan product.

The microfinance industry based on best practices has experienced impressive growth since its inception in 2003. Its growth in outreach to clients was as high as 78% per annum through December 2007. From December 2007 through January 2009 growth stabilized to a still impressive 64%. This stabilization is due to the stage of growth and maturation of the MFI industry, lack of capital, limited institutional capacity, and a lack of enabling legislation to support the industry. Some major accomplishments include (figures are as of the end of November 2011):

Twelve emerging microfinance institutions are now functioning, ten of which are indigenous with a total outstanding loan portfolio of $127.8 m for almost 87,020 active clients (20% of whom are women).

Cumulative loan disbursements of over $808.9 million to over 3447,574 clients and an annual growth rate of 27%.

The MFIs enjoy operational self-sufficiency and a portfolio at risk (PAR) of one percent for loans whose payments are 30 days or more days in default.

A Performance Classification Monitoring System (PCMS) has been initiated to track the evolution of the MFIs as of December 2007.

Financial systems verified and structured to improve data quality.

A performance monitoring tool (PMT) fully implemented by MFIs which automatically generates the performance results and ratios used for management decision-making to monitor and analyze progress, improve growth and manage risk, and report to funders and investors.

An industry performance monitoring system (PMS) that can be used to monitor and provide feedback on progress against consistent performance standards in a coherent and transparent manner.

Regional and international integration of the Iraqi microfinance industry by way of membership and participation in the Sanabel Arab Network of MFIs, and uploading key data to the Microfinance Information eXchange (MIX) Market web-based platform.

A vision and mission of the industry to further institutionalize, modernize and become mainstreamed into the financial sector, with USAID-Tijara helping to facilitate this development at the macro, meso and micro levels:

Macro level, which works with the enabling environment, and the legal and regulatory framework within which the Iraqi microfinance industry is to operate.

Meso level, which works with the infrastructural supports to individuals MFIs, such as developing an industry association/network, growing a cadre of a highly qualified human resource base of microfinance skills trainers, governance, and a credit bureau.

Micro level, which works to develop individual MFI capabilities such as through direct training of MFI staff members, operational assessments, and onsite monitoring visits.