INAFI Nepal sees the potential of microfinance going beyond just access to credit for the poor. Microfinance is not as an end in itself, but a means to achieve the goals of poverty alleviation and social justice. The poor and the disadvantaged are faced with numerous obstacles that confine their progress to the lowest economic quintile. They are constantly faced with vulnerabilities that can set off poverty traps causing them to fall into a vicious cycle of debt and poverty. Insurance services can cushion such setbacks; however, in the context of Nepal, such services are still beyond a poor man’s reach.
INAFI Nepal has been involved in knowledge creation, policy assessment, and consultations with microfinance institutions to promote demand-driven insurance products and an enabling environment for such service delivery.