STRATEGIC FINANCIAL ANALYSIS AND DESIGN

AKHUWAT
ASSIGNMENT QUESTIONS

1. What is a microfinance institution and describe its business model? Also explain its
origins.
2. What is Akhuwat? How is Akhuwat different from a conventional microfinance
institution?
3. Explain the concept of social collateralization? Is it a good alternative to the
collateralization practices used by conventional banks? Why?
4. How was Akhuwat able to minimize its operational expenses but still maintain very
high recovery rates over the years?
5. Why was Akhuwat criticized by financial experts for its business model?
6. Is Akhuwat successful in achieving its vision and making the social impact desired by
its founder? Explain.