Factors hindering implementation of digital platforms in MFOs of Azerbaijan revealed

The future of microfinance is being shaped by new trends such as blockchain, AI-based credit scoring and sustainable development, Jalal Aliyev, chairman of the Board of the Azerbaijan Microfinance Association (AMFA), said at the conference "Innovative Solutions for Sustainable Microfinance" in Baku, Report informs.

He added that the use of digital platforms allows microfinance organizations (MFOs) to provide better quality services to population groups with limited access to traditional financial services and contribute to poverty reduction.

Jalal Aliyev noted that the microfinance sector continues to create opportunities that simultaneously improve the living standards of beneficiaries and reduce harmful environmental impacts.

He also emphasized that several factors hinder the introduction of innovations in the microfinance industry: "In many cases, MFOs lack resources for in-depth research. The high cost of providing improved services and innovations is also one of the main obstacles."