As regards the external commercial borrowings, the imperatives of exchange rate risk and the capacity of the MFIs to effectively assess and manage this risk would also need to be duly reckoned. Seventh, what could be the scope and effectiveness of a self regulatory organisation for the MFIs and how it dove-tails with the possible formalised regulatory framework under contemplation?
To answer this question appropriately, we need to know whether it is a problem for financing different stages of a project, what type of risk is holding any financing back, what type of institutions and instruments might help any shortfall, etc.