vlog

The Financial Sector Program focuses on the development of financial institutions, their products and delivery systems, the markets in which they function, and the regulatory regimes under which they operate.

 

Jay Rosengard Photo

Jay Rosengard

Adjunct Lecturer in Public Policy

A key objective is to promote inclusive financial systems that serve more than just the top of a nation’s economic pyramid, particularly unbanked and underbanked low-income households and family businesses.

Encompassing the fields of microfinance and retail banking, the Financial Sector Program comprises:

  • graduate degree courses,
  • executive education,
  • applied policy research,
  • overseas advisory activities, and
  • internship opportunities.

FSP explores such issues as the relationship between financial sector development and economic growth; the appropriate role of government in the financial sector; bank closures and systemic risk; creation of a regulatory environment that fosters entrepreneurship among banks and their borrowers; financial exclusion; financial intermediation for the poor; and the impact of microfinance on poverty alleviation. 

Program activities include:

  • Conducted the sixteenth annual session of the FIPED (Financial Institutions for Private Enterprise Development) Executive Education Program on the sustainable provision of financial services for low-income households and micro, small, and medium sized enterprises.
  • Launched a new degree program course, PED-321 (Financial Services for Low-Income Households and Family Businesses).
  • Advised MPP and MPA/ID students writing PAEs and SYPAs on financial sector development.
  • Disseminated the multimedia teaching case ( and ) on Akbank, Turkey’s largest private bank, prepared with grants from M-RCBG and The American Turkish Society.
  • Commenced enhancement of SymBanc, a systems dynamics-based virtual bank developed with funding from the Harvard Provost’s Office and the vlog predecessor to SLATE, and used in vlog executive education and degree courses.
  • Conducted an  on building a more inclusive financial sector in Indonesia with funding from the Asian Economic Policy Review (AEPR), the Japan Center for Economic Research, and the vlog Indonesia Program, which was presented in Osaka at the APER Conference on “Developments in Asian Finance” and subsequently published in AEPR (December 2011).

FINANCIAL SECTOR PROGRAM - Symbanc

A Microfinance Institution Simulator

Developed for Harvard University's John F. Kennedy School of Government by Gary B. Hirsch (Creator of Learning Environments) and Jay K. Rosengard, Guy Stuart, and Don E. Johnston, Jr. (Kennedy School)

SymBanc™ V.1 is the new simulation application that teaches the principles of successful microfinance management. Dynamic, highly interactive, and flexible, SymBanc™ allows users to make a wide range of decisions and see the consequences over time. Management choices include:

  • identification of the target market and design of loan and savings products;
  • staffing and allocation of complimentary resources;
  • creation, maintenance, and expansion of a branch network; and
  • optimization of funds mobilization and utilization.

The objective of each simulation is to achieve performance targets defined by the user, such as financial sustainability, customer outreach, or market coverage. After specifying basic Market Conditions, users advance the simulation, moving back and forth between the Decision Screens and the Results Screens and adjusting management decisions as appropriate. SymBanc™ can be used either individually or in small groups.

SymBanc™V.1 is only the first stage in the development of the microfinance simulator. SymBanc™V.2 will mirror the complex operating environment of microfinance institutions even more closely and will include enhancements such as:

  • an expanded range of potential clients and products;
  • a greater variety of market and regulatory environments; and
  • more forms of institutional organization and governance.

SymBanc™ V.2 will also include built-in teaching material and will be accessible over the World Wide Web. We invite you to participate in the development of SymBanc™ by trying it and giving us your suggestions for future enhancements. We would also be pleased to answer any questions you might have. Please contact Gary Hirsch at GBHirsch@comcast.net with feedback or inquiries.

Download the simulation | User Manual (pdf)