Unitus and the Michael and Susan Dell Foundation have launched the social performance management implementation project (SPMIP) to increase adoption of social performance practice among microfinance institutions (MFIs). The project would be first implemented in India and then expand to other countries.

The project, which went live from September 4, involves setting clear social objectives such as improved quality of housing and healthcare for micro finance institutions. It would also monitor and assess progress toward achieving these goals. The information would be used to improve the performance and impact of MFIs.

The programme has two phases. In the first phase, Unitus will work with 10 MFI partners to conduct analysis of existing social performance data, collect 6,000 client level surveys per partner and conduct an internal social audit.

Based on Phase I findings, partners may choose to participate in the project’s second phase — SPM Optimisation — and will fully adopt and integrate SPM into their regular operations.

About $756,000 has been committed to the project, a Unitus spokesman told Financial Chronicle.

“With the funding committed by the Michael & Susan Dell Foundation, we have a great opportunity to gain a deeper understanding of the positive social change varied microfinance approaches produce,” Richard Wardell, vice-president of global programmes said.

Geeta Goel, director, microfinance at the Michael & Susan Dell Foundation noted that the growth of microfinance has stemmed from the hypothesis that access to loan products gives low-income people an opportunity to improve their income levels and quality of life and the project would help demonstrate and assess this impact.