FINCA Kyrgyzstan Receives $500,000 Microfinance Investment from Swiss ResponsAbility Fund

 

FINCA Microcredit Company in Kyrgyzstan recently received a $500,000 loan from the Swiss based ResponsAbility Global Microfinance Fund.FINCA Microcredit Company, a microfinance institution (MFI), began its operations in 1995 as a member of the transnational microfinance network FINCA International, which started its first MFI in Bolivia in 1985.FINCA Kyrgyzstan provides loans to small businesses, individuals, and groups.The best information available indicates that there are about 11 Kyrgyz MFIs and FINCA Microcredit Company ranks as one of the top with a total loan portfolio of over $9.8 million for about 24,500 borrowers.

The ResponsAbility Global Microfinance Fund was founded in 2003 by Swiss financial institutions Credit Suisse, which is also the fund manager, Raiffeisen Banking Group, Baumann & Cie Banquiers, and the Andromeda Fund.PlaNet Finance, an international network of non-government organizations (NGOs), provides investment advisory services to the fund.ResponsAbility loans between $50,000 and $1.5 million to MFIs for a maximum of 5 years at a rate equal to “LIBOR plus full cost plus full risk.”The Fund’s total assets are reported as $11.45 million on MIX, the World Bank microfinance information clearinghouse, but are actually over $30 million according to individuals knowledgeable about the Fund.

Additional Resources

1) Consultative Group to Assist the Poor (CGAP): “Microfinance Capital Markets Update” is the best source for monthly updates on debt and equity deals in microfinance.
2)
“FINCA International: History.”
3) MicroCapital Blog: “Microfinance Networks (wholesale transnational): Defined and Listed.”
4) “FINCA International: Where We Work”
5) MicroCapital Blog: “Big European Development Bank Makes $2 Million Microfinance Investment in Kyrgyzstan.”
6) “MicroFinance Network: FINCA Microcredit Company, Kyrgyzstan.”
7) “Founding Institutions: Credit Suisse Group.”
8) “Founding Institutions: Swiss Raiffeisen Group.”
9) “Founding Institutions: Baumann & Cie, Basel Private Bankers.”
10) “Founding Institutions: Andromeda Fund.”
11) MIX Market: “ResponsAbility Fund: Fund Description.”
12) MIX Market: “ResponsAbility Fund: Fund Instruments.”
12) PlaNet Finance: “ACTIVITIES/Financing.”
13) “Overview of the Microfinance Industry in the ECA Region in 2003.”

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1 comment
  1. Nice stuff about heavenly place like Kyrgyzstan. I found very less people proving such good stuff on this beautiful country and so many countries don’t even know its use even. Thanks for the ample information.

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