The article Pakistan: a protected microfinance borrower? written by Arsala Kidwai from the International Development Law Organization - IDLO provides an insight of the legislation enforced to regulate MFIs activities in the country. The paper monitors and evaluates laws and regulations in place in Pakistan against a number of indicators (listed below) to state rights and warranties of microfinance customers.
- Transparency and disclosure in lending practices and initiatives to improve financial literacy.
- Types of collaterals collected and procedures of enforcement.
- Initiatives to prevent overindebtedness and limit multiple lending (like credit information databases)
- R ecovery loans mechanisms
- Availability and accessibility of redress mechanisms to the consumer.