ISLAMABAD - The Pakistan Microfinance Network (PMN) held a one-day Workshop on Post-Flood Microfinance Product Development at the National Institute of Banking and Finance as part of it flood management initiative. The workshop was conducted in collaboration with Grameen Foundation USA and the International Finance Corporation (IFC), and was funded by CITI Foundation and UKAID. The workshop was designed to help participants plan for post disaster situations given the magnitude and diversity of calamities that have affected Pakistan in recent years, such as the 2005Earthquake and the recent floods. The Floods of 2010, which have deeply impacted the entire economy of Pakistan, with over 20 million people affected of which 6 million dependent on food aid and over 1.7 million homes damaged or destroyed. Given that the microfinance sector seeks to serve the low income and vulnerable population, which is also the hardest hit by this disaster, the sector has seen adverse effects as well. Preliminary estimates suggest losses of nearly PKR 2.0 billion out of a total portfolio of PKR 7.1 billion in the flood affected districts. Additionally 86 branches of MFPs have been damaged. Refinancing requirements are being placed at about PKR 5 billion. With an impact of this degree, the Pakistan Microfinance Network decided to engage in certain Flood Initiatives to help the MFPs mitigate the negative impact of this disaster. These Initiatives have been supported by CITI Foundation and UKAID. The Workshop began with an introductory session where Hashim Bakht of CITI Pakistan, spoke of CITIs longstanding relationship with PMN which began in November 2007 with the three-year CITI Network Strengthening Program. With CITIs support PMN has been able to set up industry infrastructure for knowledge management and information sharing through its two online products. PMN has also established a credit bureau which will help in improving information symmetries at the client level. PMN has developed links with academic institutions to help in providing good quality HR for the industry and is also engaged in building links with the media to remove the misconceptions surrounding microfinance. This was followed by a presentation by Ms. Aban Haq of PMN that gave an overview of the impact of the floods on the microfinance sector and global best practices in these situations. Mohammed Nurul Alam, from Grameen Foundation - USA, conducted an interactive session designed to provide microfinance providers with insights into what type of products are needed post-disaster along the entire spectrum of financial services i.e. credit, savings, insurance and transfer payments and other microfinance services that are needed by the flood affected particularly. Mr. Alam has worked with Grameen Bank for 16 years in various capacities and has spent 10 years as Technical Officer at the Grameen Foundation - USA. The latter half of the Workshop was conducted by Syed Farhan Fasihuddin, the Senior Housing Finance Specialist at IFC Global Financial Markets who focused on Housing Microfinance as low cost housing has emerged as a top need of the flood affected population. With nearly 1.7 million homes destroyed or damaged, the session explored the role of MFPs and the products they can offer to fill this gap. The Workshop was closed by Ms. Shabana Khawar from the World Bank with a commentary on findings of the Bank on the needs for the sector in the coming months to deal with the direct and indirect impact of the floods.