MICROCAPITAL BRIEF: Grameen Crédit Agricole Microfinance Foundation Loans $1.2m to Kenya’s Juhudi Kilimo, Uganda Microcredit Foundation (UMF), Uganda’s Encot

The Grameen Crédit Agricole Microfinance Foundation (GCAMF), a Luxembourg-based provider of financial services to microfinance institutions (MFIs) and other social businesses, recently informed MicroCapital that it has issued the following three loans in local currency equivalent to: (1) EUR 482,000 (USD 555,000) over a two-year period to Juhudi Kilimo, a for-profit provider of microloans and microinsurance in Kenya; (2) EUR 293,000 (USD 339,000) over a three-year period to Uganda Microcredit Foundation (UMF), a microfinance institution offering financial services to “economically active” Ugandans; and (3) EUR 257,000 (USD 297,000) over a three-year period to Encot, a provider of microloans to rural enterprises in Uganda [1]. 

As of the quarter ending June 2014, Juhudi Kilimo reported to the US-based nonprofit Microfinance Information Exchange (MIX) total assets of USD 9.4 million, a gross loan portfolio of USD 6.6 million outstanding to approximately 18,000 borrowers, return on assets (ROA) of -14.47 percent and a return on equity (ROE) of -89.39 percent. Juhudi does not accept deposits. Juhudi Kilimo is a for-profit Kenyan microlender that started operations in 2004 within the Kenya Rural Enterprise Program (K-Rep) Development Agency (KDA), a nonprofit  microfinance development organization in Kenya.

UMF serves 3,811 borrowers, but financial data on the organization are not available.

As of 2013, Encot reported to the US-based nonprofit Microfinance Information Exchange (MIX) total assets of USD 762,000 and a gross loan portfolio of USD 625,000 outstanding to approximately 3,770 borrowers, return on assets (ROA) of 12.53 percent and a return on equity (ROE) of 21.44 percent. Encot does not accept deposits.

As of December 2013, Crédit Agricole Microfinance Foundation reported total assets of EUR 50.6 million (USD 63.3 million). Since its inception in 2008 through 2013, the foundation invested in 35 microfinance institutions (MFIs), 11 social-business projects and one fund in 22 countries.

By Julia Marín, Research Associate

About Juhudi Kilimo Company Limited (Juhudi Kilimo)

Juhudi Kilimo is a for-profit Kenyan microlender that started operations in 2004 within the Kenya Rural Enterprise Program (K-Rep) Development Agency (KDA), a nonprofit  microfinance development organization in Kenya. Juhudi Kilimo provides agricultural asset insurance, start-up capital for agribusinesses and loan products to small-scale farmers to purchase “productive” agricultural assets. As of the quarter ending June 2014, Juhudi Kilimo reported to the US-based nonprofit Microfinance Information Exchange (MIX) total assets of USD 9.4 million, a gross loan portfolio of USD 6.6 million outstanding to approximately 18,000 borrowers, return on assets (ROA) of -14.47 percent and a return on equity (ROE) of -89.39 percent. Juhudi KILIMO does not accept deposits.

About Uganda Microcredit Foundation (UMF)

Uganda Microcredit Foundation Limited (UMF) is an indigenous microfinance company that was incorporated in 2008 in Uganda. UMF offers “small and medium” credit facilities to Ugandans in rural and urban areas who are seeking to establish or improve their income generating activities and livelihood. As of September 2014, UMF had 3,811 active borrowers, 68 percent of them women and 73 percent of them located in rural areas. No financial information is available for this company.

About Encot

Encot is a Ugandan microfinance institution (MFI) that was founded in 2006 and provides microloans and enterprise development services to individuals with low incomes and rural enterprises. Before evolving into a formal organization, it was started as an academic project on the impact of microfinance on agriculture in Masindi, Uganda. As of 2013, Encot reported to the US-based nonprofit Microfinance Information Exchange (MIX) total assets of USD 762,000 and a gross loan portfolio of USD 625,000 outstanding to approximately 3,770 borrowers, return on assets (ROA) of 12.53 percent and a return on equity (ROE) of 21.44 percent. Encot does not accept deposits. Encot does not accept deposits.

About Grameen Crédit Agricole Microfinance Foundation (GCAMF)

The Grameen Crédit Agricole Microfinance Foundation (GCAMF) provides financial services to microfinance institutions (MFIs) and social business projects. GCAMF was founded in Luxembourg in 2008 by Crédit Agricole SA, a French retail bank, and Grameen Trust, a nonprofit microfinance organization affiliated with Grameen Bank of Bangladesh. In financing microfinance institutions (MFIs), GCAMF focuses on those that prioritize rural development, transparency, consumer protection and serving women. As of December 2013, GCAMF reported total assets of EUR 50.6 million (USD 63.3 million). Since its inception in 2008 through 2013, the foundation has invested in 35 microfinance institutions (MFIs), 11 social-business projects and one fund in 22 countries.

[1] Information provided by Grameen Crédit Agricole Microfinance Foundation to MicroCapital, January 2015

MicroCapital, October 12, 2014, Grameen Crédit Agricole Microfinance Foundation (GCAMF) to Loan $1.1m to FINCA Malawi, $580k to Réseau de Micro-institutions de Croissance de Revenus of Mali 

MicroCapital, October 9, 2014, Grameen Credit Agricole Microfinance Foundation Loans $609k to Juhudi Kilimo of Kenya 

MicroCapital, October 7, 2014, Grameen Crédit Agricole Microfinance Foundation Invests $1.68m in Palestine’s Faten, in Azerbaijan’s Viator, in Bangladesh’s Grameen Danone 

MicroCapital Universe Profile, Juhudi Kilimo 

MicroCapital Universe Profile, Uganda Microcredit Foundation (UMF)

MicroCapital Universe Profile, Encot

MicroCapital Universe Profile, Grameen Credit Agricole Microfinance Foundation (GCAMF) 

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