MICROCAPITAL BRIEF: Fundación BBVA Microfinanzas to Rebrand Chilean Microfinance Institution Servicios Microfinancieros Credicoop as Emprende Microfinanzas

Fundación BBVA Microfinanzas (BBVA Microfinance Foundation), a Spanish nonprofit organization that supports a network of microfinance institutions (MFIs) in Latin America, is expanding its operations in the Chilean market by rebranding MFI Servicios Microfinancieros Credicoop SA as Emprende Microfinanzas. Credicoop was established in 1986 as a cooperative, and starting in 2009 was affiliated with an entity known as Servicios Microfinancieros. Emprende Microfinanzas expects to triple its lending activities and reach out to a greater number of microentrepreneurs and small businesses across the country [1]. Fundación BBVA Microfinanzas holds 51 percent of the shareholder capital, while Credicoop SA retains 49 percent of the new entity [2].

As of December 31, 2009, Servicios Microfinancieros Credicoop reported to the US-based nonprofit Microfinance Information Exchange (MIX) total assets of USD 17.5 million, a gross loan portfolio of USD 9 million, return on assets (ROA) of 7.88 percent, return on equity (ROE) of 0.5 percent and 6,500 active borrowers.

Fundación BBVA Microfinanzas was created in May 2007 as an outgrowth of the corporate responsibility policy at BBVA, a Spanish bank reporting 47 million customers worldwide as of September 2010. The foundation currently has microfinance operations in Puerto Rico, Panama, Colombia, Peru, Chile and Argentina.

By Rohan Trivedi, Research Associate

About Fundación BBVA Microfinanzas:
Fundación BBVA Microfinanzas (BBVA Microfinance Foundation) is a Spanish nonprofit organization that was created in May 2007 as an outgrowth of the corporate responsibility policy at BBVA, a Spanish bank that reported total assets of EUR 552 billion (USD 710 billion) as of December 31, 2010. The goal of the foundation is to boost the economic and social development of disadvantaged people through access to productive microfinance. Fundación BBVA Microfinanzas is also building the Microfinance Organization Network, which consists of eight microfinance institutions (MFIs) from Colombia, Peru, Argentina, Chile, Puerto Rico and Panama as of August 2011.

About Emprende Microfinanzas:
Emprende Microfinanzas is a Chilean microfinance institution (MFI) that provides credit products to microentrepreneurs and small businesses. Emprende Microfinanzas carries on the work of Credicoop SA, which was founded in 1986 and starting in 2009 was affiliated with an entity known as Servicios Microfinancieros SA. The operation was rebranded with its current name in 2011 when it became a member of the microfinance network operated by Fundación BBVA Microfinanzas, a Spanish nonprofit organization created by commercial bank BBVA. As of December 31, 2009, Servicios Microfinancieros Credicoop reported to the US-based nonprofit Microfinance Information Exchange (MIX) total assets of USD 17.5 million, a gross loan portfolio of USD 9 million, return on assets (ROA) of 7.88 percent, return on equity (ROE) of 0.5 percent and 6,500 active borrowers.

Sources and Additional Resources:

[1] Press release submitted to MicroCapital by Fundación BBVA Microfinanzas, August 2011

[2] Fundación BBVA Microfinanzas: Microfinance Network: “Servicios Microfinancieros S.A. (Chile)”, http://www.mfbbva.org/english/red/network-members/servicios-microfinancieros-sa-chile.html

MicroCapital.org story, December 15, 2009: “MICROCAPITAL BRIEF: Fundación BBVA Microfinanzas, Microfinance Arm of Banco Bilbao Vizcaya Argentaria (BBVA), to Begin Operating in Brazil and Mexico”, https://www.microcapital.org/microcapital-brief-fundacion-bbva-microfinanzas-microfinance-arm-of-banco-bilbao-vizcaya-argentaria-bbva-to-begin-operating-in-brazil-and-mexico/

MicroCapital Universe Profile: Fundación BBVA Microfinanzas, https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Fundación+BBVA+Microfinanzas

MicroCapital Universe Profile: Emprende Microfinanzas, https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Emprende+Microfinanzas

Browse the MicroCapital Universe and add your entry to the wiki at https://www.microcapital.org/microfinanceuniverse/

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