MICROCAPITAL BRIEF: International Finance Corporation (IFC) Loans $4m to Advans Côte d’Ivoire for On-lending to Micro-, Small, Medium-Sized Enterprises (MSMEs)

The International Finance Corporation (IFC), a member of the World Bank Group that offers financial services to businesses and governments in developing countries with the aim of increasing economic growth, has announced that it will loan CFA 2 billion (USD 4.3 million) to Advans Côte d’Ivoire, a bank that was founded in 2012 to provide savings and lending services to micro-, small and medium-sized enterprises (MSMEs) in the country.

As of 2014, the company serves approximately 20,000 MSMEs in Côte D’Ivoire. IFC is a founding investor in the bank and holds a 13.3-percent equity stake in the company. IFC has 184 member countries and reported total assets of USD 77.5 billion as of fiscal year-end 2013. Advans Côte d’Ivoire has 18,232 clients with a gross loan portfolio of EUR 10.2 million (USD 12.9 million) . It also holds voluntary deposits of EUR 4.5 million (USD 5.7 million). Advans Côte D’Ivoire is one of eight members of Advans SA, which is managed by Horus Development Finance of France. These members serve 322,000 clients in Asia and Africa, which combines total assets equivalent to USD 61.7 million.

The CEO of Advans Côte D’Ivoire, Grégoire Danel-Fedou, stated that “Advans Côte d’Ivoire will increase its contribution to the recovery and development of the Ivorian economy by broadening access to quality financial services that micro, small and middle size enterprises need to grow and to create jobs.” According to 2014 World Bank data, one in ten companies in Côte d’Ivoire has access to credit.

By Emily Teleposky, Research Associate

About Advans Côte d’Ivoire:
Advans Cote d’Ivoire is a microfinance institution (MFI) operating in the Ivory Coast as a member of the Advans SA group of financial institutions, which is registered in Luxembourg. Advans Cote d’Ivoire was founded in 2009 but opened its doors in 2012. The firm offers credit and savings services to 18,000 micro-, small and medium-sized enterprises (MSMEs) and reports a gross loan portfolio of EUR 10.2 million (USD 12.9 million)  and total voluntary deposits  EUR 4.5 million (USD 5.7 million).

About International Finance Corporation (IFC):
The International Finance Corporation (IFC), a US-based multilateral development bank and member of the World Bank Group, offers loans, equity investments, advisory and risk mitigation services and technical assistance to private companies with the intent of alleviating poverty and promoting open and competitive markets in developing countries. IFC has 184 member countries and reported total assets of USD 77.5 billion as of fiscal year-end 2013.

About Advans Group (Advans SA):
Launched in 2005, Advans SA SICAR is a venture capital company that is registered in Luxembourg and managed by Horus Development Finance of France. The mission of Advans is to increase access to financial services for micro-, small and medium-sized enterprises (MSMEs) in emerging economies. In addition to equity and debt funding for microfinance institutions (MFIs), Advans provides technical assistance to MSMEs in an effort to assist them in achieving sustainable and profitable operations. As of 2013, the Advans network serves approximately 322,000 loan clients via 140 branches in eight countries: Cambodia, Cameroon, Côte d’Ivoire, Democratic Republic of the Congo, Ghana, Pakistan, Tanzania, and Nigeria. As of March 2013, Advans SA held total assets of EUR 45.0 million (USD 61.7 million) and committed capital of EUR 43.6 million (USD 58 million).

Additional Sources and Resources:

[1] IFC Invests in Advans Côte d’Ivoire to Expand Access to Finance for Small-Scale Businesses, http://ifcextapps.ifc.org/IFCExt/Pressroom/IFCPressRoom.nsf/0/E5C6D0ACC56B730742257D49002F28A3?opendocument

[2] MICROCAPITAL BRIEF: International Finance Corporation (IFC) Announces $1m in Advisory Services to Airtel Zambia to Strengthen Financial Inclusion, August 27, 2014, https://www.microcapital.org/microcapital-brief-international-finance-corporation-ifc-announces-1m-in-advisory-services-to-airtel-zambia-to-strengthen-financial-inclusion/

[3] MICROCAPITAL BRIEF: Advans SA Opens Microfinance Institution Advans Cote d’Ivoire, International Finance Corporation (IFC) Invests $1m in Equity, April 8, 2012, https://www.microcapital.org/microcapital-brief-advans-sa-opens-microfinance-institution-advans-cote-divoire-international-finance-corporation-ifc-invests-1m-in-equity/

[4] MICROCAPITAL BRIEF: Microfinance Venture Capital Company Advans SA Wins $4m in Grants From Agence Française de Développement (AFD), Oesterreichische Entwicklungsbank AG (OeEB), Part for Democratic Republic of the Congo, Côte d’Ivoire, August 8, 2011, https://www.microcapital.org/microcapital-brief-microfinance-venture-capital-company-advans-sa-wins-4m-in-grants-from-agence-francaise-de-developpement-afd-oesterreichische-entwicklungsbank-ag-oeeb-part-for-democratic-rep/

[5] MicroCapital Universe, International Finance Corporation, https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=International+Finance+Corporation+%28IFC%29

[6] MicroCapital Universe, Advans Côte d’Ivoire, https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Advans+Côte+d’Ivoire

[7] MicroCapital Universe, Advans Group, https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Advans+SA

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