Thesis (MComm)--Stellenbosch University, 2005. / ENGLISH ABSTRACT: South Africans earning less than Rl 440 per month (18 million adults) and less than R2 880 per
month (29 million adults) are regarded as poor and relatively poor respectively. Of the relatively
poor, 78% are unbanked, i.e. do not have access to a formal bank account, while 86% of the poor
are unbanked.
These figures show clearly that commercial banks do not meet the financial needs of many people,
especially the poor for savings, credit, transmission and insurance services. Therefore the
importance of those institutions that do not form part of the formal financial sector and provide
micro savings and micro credit services, generally referred to as micro finance, to the poor at the
local level on a sustainable basis.
The objective of this research is twofold.
Firstly, a review of the literature on micro finance in general to establish the financial needs of the
poor, the constraints formal financial institutions face in providing micro financial services and to
identify best practice regarding the provision of financial services to the poor in order to be in the
position to form an opinion on institutional success.
Secondly, to analyse a specific South African micro finance initiative, Financial Services
Cooperatives (FSCs), to identify how FSCs relate to the international best practice and to establish
whether they are successful in addressing the financial needs of the poor.
A FSC is a financial institution through which micro finance services (savings, credit, transmission
and insurance) are extended to unbanked households in a rural village. It utilises a community's
rules, customs, relationships, knowledge, solidarity and resources combined with formal financial
methods and concepts. The FSC is initiated, owned, financed and managed by the villagers themselves. FSCs are registered cooperatives under the Cooperative Act of 1981 and may accept
deposits from their members in terms of an exemption from the Bank Act of 1990. Currently, FSCs
experience problems in providing credit, transmission and insurance services, preventing them from
intermediating between borrowers and savers.
After reviewing the above-mentioned international best practice the conclusion reached with regard
to FSCs includes the following:
FSCs only provide savings services and therefore do not intermediate between borrowers and savers
as required for a financial institution. This in tum prevents them from being sustainable. FSCs'
failure can be ascribed to the restrictive legislation, unsuccessful regulation and supervision. New
legislation is currently under review that will change the landscape for micro finance and
specifically for FSCs. / AFRIKAANSE OPSOMMING: Suid-Afrikaners wat minder as Rl 440 per maand (18 miljoen volwassenes) en minder as R2 880
per maand verdien (29 miljoen volwassenes) word onderskeidelik as arm and relatief arm
bestempel. Agt-en-sewentig persent van dié wat relatief arm is, het nie toegang tot 'n formele
bankrekening nie, terwyl 86% van dié wat arm is, geen toegang het nie.
Hierdie syfers toon duidelik dat kommersiële banke nie aan die finansiële behoeftes, met betrekking
tot spaar-, krediet-, transmissie- en versekeringsdienste van baie mense voldoen nie, veral nie die
armes nie. Daarom dat instellings wat nie deel vorm van die formele finansiële sektor nie en mikrobesparings
en mikro-krediet, algemeen bekend as mikro-finansies, in 'n plaaslike gebied en op 'n
volhoubare basis verleen, belangrik is.
Die doel van hierdie navorsing is tweeledig:
Eerstens, bied dit 'n oorsig oor die mikro-finansiering literatuur ten einde die finansiële behoeftes
van die armes te ondersoek en die beperkings wat formele finansiële instellings ondervind om
mikro-finansiële dienste te verskaf, aan te stip. Beste praktyk rakende die voorsiening van
finansiële dienste aan die armes word geïdentifiseer, om sodoende in 'n posisie te wees om 'n
opinie te kan vorm oor institusionele suksesfaktore.
Tweedens, om a spesifieke Suid-Afrikaanse mikro-finansiële inisiatief, Finanical Services
Cooperatives (FSCs) te ondersoek, ten einde vas te stel hoe hierdie inisiatief vergelyk met
internasionale beste praktyk en hoe suksesvol dit is in die voorsiening van finansiële dienste aan die
armes.
'n FSC is 'n finansiële instelling waardeur mikro-finansiële dienste (spaar-, krediet-, transmissie- en
versekeringsdienste) verskaf word aan diegene in 'n plattelandse nedersetting wat nie toegang tot formele bankdienste het me. FSCs maak gebruik van 'n gemeenskap se reëls, gebruike,
verhoudings, kennis, solidariteit en hulpbronne en kombineer dit met formele finansiële metodes en
konsepte. Dit is 'n inisiatief van die gemeenskap en word deur die inwoners van die nedersetting
besit, finansier en bestuur. FSCs is geregistreerde koëperasies in terme van die Ko-operatiewe Wet
van 1981, en mag ook deposito's van hulle lede aanvaar op grand van 'n vrystelling van die
Bankwet van 1990. Tans ondervind FSCs probleme in die verskaffing van krediet-, transmissieen
versekeringsdienste wat hulle verhoed om as tussenganger tussen leners en spaarders op te tree.
Na die oorweging van die internasionale beste-praktyk, kan die volgende gevolgtrekking rakende
FSCs gemaak word:
FSCs tree nie op as tussenganger tussen leners en spaarders nie, soos vereis word van 'n finansiële
instelling nie. Dit beperk gevolglik volhoubaarheid. Die mislukking kan toegeskryf word aan
beperkte wetgewing, onsuksesvolle regulering en supervisie. Nuwe wetgewing is tans onder
oorweging wat die landskap vir mikro finansiering en veral vir FSCs sal verander.
| Identifer | oai:union.ndltd.org:netd.ac.za/oai:union.ndltd.org:sun/oai:scholar.sun.ac.za:10019.1/50357 |
| Date | 12 1900 |
| Creators | Nigrini, Morne |
| Contributors | Schoombee, G. A., Stellenbosch University. Faculty of Economic and Management Sciences. Dept. of Economics. |
| Publisher | Stellenbosch : Stellenbosch University |
| Source Sets | South African National ETD Portal |
| Language | en_ZA |
| Detected Language | English |
| Type | Thesis |
| Format | 135 pages |
| Rights | Stellenbosch University |
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