The Role of Microfinance Institutions in Supporting FDI
This document explores key factors influencing foreign direct investment (FDI) decisions, particularly the risks associated with capital investments and country-specific financial considerations. By examining microfinance institutions and country risk tiers, it aims to provide a framework for minimizing risk through due diligence and strategic analysis. Abstract Summary: The document underscores the importance of due diligence in high-risk investment projects. It advocates eliminating countries with elevated risk factors from potential investment lists and highlights the role of tools like risk ratings to inform decision-making. --James Byrd, MBA Highlights from the Exercises: Exercise 1: Microfinance Institutions Analysis Analyzed the top ten microfinance institutions worldwide based on Forbes' ranking. Key observations include: ASA (Bangladesh) : Leads in efficiency with a low risk factor. Colombia : Dominates returns on investment despite ranking lower in scale. Brazil : S...
