Vulnerability of microfinance institutions to climate risk in the Satkhira District, Southwest Bangladesh

This article explores how microfinance institutions are affected by and are responding to flooding by examining a case study in Satkhira District, Southwest Bangladesh. Develop a framework for understanding how microfinance institutions can reduce their vulnerability to climate risks and use the framework to empirically assess local-level practices, drawing from semi-structured interviews with households and local branch managers as well as household survey data. While microfinance institutions are directly vulnerable to flooding, their main exposure arises from the exposure and sensitivity of client livelihoods and their lack of adaptive capacity.