IMPACT Monitoring and Evaluation

Loan analysis by loan size and category confirm that FAF-DC lending have significantly contributed to rural areas economic growth, resulting in positive changes at the level of households’ income; increased employment, increased assets; increased enterprise profits and assets, etc. Only during 2010, taking into consideration the number of loans disbursed as 1230, and the average number of new jobs created by one loan, it can be figured out that FAF-DC lending has created 2128 new jobs during this period.

The results of the Impact Survey illustrate the considerable impact of the FAF-DC on enabling access to micro financial services (loan) to the poor. For sure there is strong evidence of positive impact on the multiple dimensions of household income and enterprise performance, being FAF-DC client is associated with greater acquisition of land relative to non-clients, which can be taken as significant evidence of positive impact.  Moreover, there is plenty of evidence to illustrate the role played by FAF-DC in assisting with consumption-smoothing and coping against vulnerabilities.

Overall, it is important that the evidence of positive impact of FAF-DC products (loans) on income is viewed in conjunction with the broader macro-economic environment of Albania, which is improving every day.