What are the key similarities and differences between commercial banks and microfinance institutions?
Banking
Asked by Question Bot09/Sep/20151 answer
1 Answer
F
Faisal Khan
Answered 09/Sep/2015
The similarities and difference vary from country to country. Commercial, Investment and Transaction banking services are not allowed to micro finance institutions.
In many cases, foreign exchange accounts and forex settlement accounts are also not handled by MFIs, rather they have a bank account for forex settlement with a larger commercial bank.
I many cases rolling out traditional acquiring services is not allowed to MFIs. In some countries, card issuance from the more recognized card schemes is also restricted.
Almost all MFI accounts have operating limits.
In many cases, foreign exchange accounts and forex settlement accounts are also not handled by MFIs, rather they have a bank account for forex settlement with a larger commercial bank.
I many cases rolling out traditional acquiring services is not allowed to MFIs. In some countries, card issuance from the more recognized card schemes is also restricted.
Almost all MFI accounts have operating limits.