CSR360

Posted: Tuesday 5 October 10, 9.49am GMT

How does the Global Microfinance Group work?
A&O’s global microfinance group is a group of over 200 lawyers from around our global network with a shared interest in, and experience of, microfinance. We share information and contacts across the group so that we are able to make sure that we have the right people in the right place able to assist on any microfinance project. We have an internal newsletter and intranet for the group to help facilitate this.

Who’s idea was it and what is the motivation behind the Group?
As a global law firm we often found ourselves getting involved in various pro bono matters in the microfinance sectors, as so many of the issues (eg the raising of cross-border finance, lending and security issues etc) are exactly the same as we face for our other clients. In 2008 the decision was made to try to bring together our firm-wide experience under a common grouping so that we could operate in a more effective fashion. A&O’s management have always been strongly supportive of the group as it is seen as being a pro-bono offering that plays to our strengths (ie cross-border and multi-jurisdictional advice on finance related matters)

What significant benefits has the Global Micrifinance Group brought to Allen & Overy?
We have found that we have been able to share know-how, contacts and good practice across the group so that our overall knowledge of microfinance transactions is significantly enhanced. It has also allowed us to act in a more co-ordinated and joined up fashion when pursuing microfinance related work or otherwise presenting ourselves to the outside world. For example, when we are approached about a possible microfinance related piece of advice, we are able to use the group to identify those people from the group who are either in the right geographic location and/or who have the right skill set for the job in hand.

How does the Global Microfinance Group’s impact on the MDGs?
Microfinance is an activity that can support many of the MDGs, being a tool that can have a real ground-level impact in helping build self-sufficient communities and create wealth for people who may otherwise have few opportunities. Microfinance also has a very good record of supporting women’s’ rights, as it is often the case that women will use microfinance as a way to start a business to support themselves and their families. The A&O global microfinance group is able to provide legal support, usually on a pro bono basis, to different participants in the microfinance sector and thereby help them deal with legal and/or financial issues. By supporting the sector in this way we hope that we are able to indirectly help microfinance contribute to achieving the MDGs.

What challenges have the Micro Finance Group faced and how have they overcome them?
We have been fortunate in that the firm has always been strongly supportive of the group and we have been very lucky to have many enthusiastic lawyers around the network who are keen to be involved. In many ways the main challenge is ensuring that this enthusiasm can be maintained and that we are able to find enough opportunities to keep everyone fully engaged.

What does the Global Microfinance Group mean to employees involved in it?
At the risk of generalisation, I think people see it as a great way to use their particular set of legal skills in a way that can be seen as adding real value to a sector with obvious social benefits. If you are a corporate or financial lawyer, you have skills that have a real market value, but perhaps relatively few opportunities where you can use those same skills for charitable or pro bono purposes. Microfinance is one of a handful of areas where issues of commerce and finance overlap so clearly with development, and we feel that we are very well placed as an organisation to add value to people working in that area.

What are some of the most exciting developments the Global Micrifinance Group has seen?
We were very pleased and honoured to be awarded the Law Society’s Excellence in Community Investment award in 2009, which was great recognition for the work that the group has done.

What stories have you heard about the impact the Global Microfinance Group’s work is having?
One of the good things about the group is the variety of work we handle, as we have been involved in significantfinancings in the sector, as well as handling relatively simple legal queries for much smaller organisations who are just starting out. In each case it is gratifying to see that our involvement is able to help people find ways of avoiding and structuring around problems and challenges that they would otherwise face, so that we can see we have been of real assistance.