Progress out of Poverty
The PPI is a ten-question survey tool developed by Grameen Foundation. This tool enables microfinance institutions to accurately select clients that are poor. In addition, implementation of the tool over time provides information whether clients have moved out of poverty. Oikocredit promotes the implementation of PPI among its partners to ensure they reach out to the poor and that MFIs do not shift to other target groups.
The PPI in South America
Since 2008, 17 project partners in Peru and Ecuador have piloted the PPI. Some have integrated data collection and monitoring into their operations while others use the tool to reaffirm or adjust their targeting strategies. Download the Report 'Measuring outreach in Ecuador & Peru'
The PPI in Asia
Three project partners in the Philippines started to use the PPI after piloting the tool in 2008. A year later, six other partners in the Philippines decided to follow. In 2010, Oikocredit introduced the tool to project partners in Cambodia. ASKI, Paginupdanay and RSPI have successfully integrated data collection into their operations and are developing further policies based on the outcome of the PPI. Data from these three MFIs show that clients have moved out of poverty. In total nine project partners in the Philippines and two in Cambodia received assistance to use the PPI.
Next steps
Following the initial results from microfinance institutions, Oikocredit is committed to further promote use of the PPI. Oikocredit partners who use the tool and demonstrate consistently that they are focused on reaching poor people are considered ‘preferred partners’ who are eligible to receive better terms and conditions on loans from Oikocredit and to access capacity building funds to improve their services to clients. After its introduction in the Philippines, Cambodia, Peru, Ecuador, Mali and Senegal, we plan to roll out the PPI to partners in Guatemala, Honduras, Nicaragua and El Salvador in the near future.
Case studies for download
Progress out of Poverty case study: Grameen and Oikocredit
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