There are a growing number of microfinance institutions catering to the composite credit needs of the poor. The need for credit is recognized by the sector and with all major players of the financial community involved. The challenge is not only to start such organizations but to make them function well and sustainable thus addressing their capacity building needs. With the increasing growth, the quality and maturity of the sector depends on the rigorous approach to capacity building. Hence, it becomes essential to build on the existing capacity building efforts and research to create more dynamic and systematic approach to building the sector as a whole.