MICROCAPITAL BRIEF: Desjardins Fund for Inclusive Finance Acquires Stake in Microfinance Institution Humo & Partners of Tajikistan

The Desjardins Fund for Inclusive Finance, a unit of Canada’s Desjardins Group, recently acquired shares in Humo and Partners, a microfinance institution (MFI) based in Dushanbe, Tajikistan, to support the expansion of the MFI in rural parts of the country. As a result, the fund has become the first foreign shareholder of Humo. The acquisition follows the issuance of a senior loan of USD 1 million to Humo by Développement international Desjardins (DiD), another part of the Desjardins Group, through the Desjardins Fund for Inclusive Finance in November 2013.

As of October 2014, Humo reported a gross loan portfolio of USD 25.2 million and 29,400 borrowers. The institution accepts deposits, but financials have not been disclosed.

The fund manages CAD 15 million (USD 13 million) in assets as of 2014. As of 2014, DiD has a budget of CAD 23.5 million (USD 20.5 million). As of 2013, Desjardins Group reports total assets of CAD 212 billion (USD 186 billion), a gross loan portfolio of CAD 141 billion (USD 124 billion) and deposits of CAD 137 billion (USD 120 billion).

By Simon Pfanner, Research Associate

About Humo and Partners

Founded in 2004 in Tajikistan by the local affiliate of Switzerland-based nongovernmental organization CARE International, Humo and Partners is a microfinance institution (MFI) that serves micro- and small businesses. In addition to microcredit services, Humo offers consulting services relating to cash-flow analysis and business plans. The MFI also obtained a license by the National bank of Tajikistan to implement microcredit deposits in November 2013. While The institution accepts deposits, financials have not yet been disclosed.. As of October 2014, Humo reported a gross loan portfolio of USD 25.2 million and 29,400 borrowers.

About Desjardins Fund for Inclusive Finance

The Desjardins Fund for Inclusive Finance, an investment fund established in 2011 by the Desjardins Group of Canada, is intended to assist in the development of microfinance institutions. The fund manages CAD 15 million (USD 13 million) in assets as of 2014.

About Développement international Desjardins (DiD)

Développement international Desjardins (DiD) is a Canadian nonprofit corporation that specializes in providing technical support and investment for the community finance sector in emerging economies. It assists organizations in approximately 30 nations in Africa, Asia, the Caribbean, Central and Eastern Europe and Latin America. DiD is a component of the Desjardins Group, a financial cooperative offering banking, insurance, securities and investment services, with approximately CAD 212 billion (USD 186 billion) in assets as of 2013. As of 2014, DiD had a budget of CAD 23.5 million (USD 20.5 million).

About Desjardins Group

Desjardins Group is a cooperative financial group based in Canada that serves 6 million clients with services such as retail banking, wealth management, securities brokerage, venture capital and asset management. Members of the group include Développement international Desjardins (DiD) and Desjardins Fund for Inclusive Finance. As of 2013, Desjardins Group reports total assets of CAD 212 billion (USD 186 billion), a gross loan portfolio of CAD 141 billion (USD 124 billion) and deposits of CAD 137 billion (USD 120 billion).

Sources and Additional Resources

[1] Information provided by the Développement international Desjardins

MicroCapital, November 5, 2014, Développement International Desjardins (DID) Loans $1m to Microfinance Institution Arnur of Kazakhstan

MicroCapital, October 22, 2014, Développement international Desjardins (DID), International Co-operative Alliance (ICA), Proxfin Members Endorse Draft Declaration on Food Security, Job Creation, Access to Healthcare

MicroCapital, November 8, 2013, Développement International Desjardins (DID) Loans $1m to Microfinance Institution (MFI) Humo & Partners of Tajikistan

MicroCapital Universe Profile: Humo and Partners

MicroCapital Universe Profile: Desjardins Fund for Inclusive Finance

MicroCapital Universe Profile: Développement international Desjardins (DiD)

MicroCapital Universe Profile: Desjardins Group

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