BFC provided recommendations to the German development bank KfW for the design and implementation of a microfinance program in China which will facilitate the growth of a commercially viable microfinance industry.

As part of this assignment, BFC:

• Conducted a demand survey of 600 micro and small enterprises in both urban and rural areas;
• Wrote the book, "Principles for Commercially Viable Microfinance in China";
• Conducted a financial and institutional due diligence of two MFIs;
• Developed two business plans for commercially viable MFIs in China, one based on upgrading an existing MFI and one for establishing a greenfield MFI;
• Proposed an on-lending mechanism and governance structure for the program;
• Developed terms of reference for consultants.