Sa-Dhan, the largest association of microfinance practitioners, adopted a code of conduct for self regulation.
The code focuses on protection of borrowers in rural and urban areas and strengthening of transparency and governance of MFIs in the state.
The implementation of the code will help MFIs in Andhra Pradesh to comply with the provisions of the ordinance. Sa-Dhan on Wednesday formed an ethics and grievance redressal committee.
It organised a meeting to bring the government, bankers and its members to a platform to deliberate on the issues relating to MFIs.
Sa-Dhan members including Spandana, Share, Basix, Asmita, Saadhana, Pragathi Seva Samithi and Indur MACS, and 25 banks attended the meeting.
