The SEEP Network invites you to comment on draft standards for financial reporting by microfinance institutions. The objective is an "abundance of comparable, reliable financial performance information that will improve efficiency and decision-making in microfinance."I'm all for disclosure of good financial information, so this seems like a valuable project. I don't have the expertise to comment on the specifics of this draft.I do know, however, that you cannot judge the financial situation of a lender just by looking at its financials. That's because a lender's fate depends on the actions of its peers. A collapsing credit market can destroy even strong, properly disclosing banks. So I would like to see similar energy going into erecting systems for industry surveillance. Observers need ways to monitor market dynamics to help judge whether conditions are reasonably safe for all concerned.