Mexican microfinance institutions (MFIs) Credito Real SA and Financiera Independencia SAB have reported gains in bond sales that are double those of the average of bank in Latin America [1].
According to data gathered by Bloomberg News, a US-based media company, and Credit Suisse Group, a Switzerland-based financial services company, Financiera Independencia SAB experienced a 6.3 percent increase in dollar-denominated bonds sold during 2010 compared to an average 2.4 percent increase for bank bonds throughout Latin America [1]. Credito Real SA reported an increase of 6 percent during the same period [1].
According to Bloomberg, the expansion of Mexico’s economy is fueling the demand for microcredit, which has driven up MFI borrowing to MXN 2.1 trillion (USD 179 billion) as of March 2011 [1]. Financiera Independencia increased its loan portfolio by 21 percent to MXN 6.6 billion (USD 565 million) during 2010, while Credito Real increased lending by 16 percent to MXN 3.8 billion (USD 325 million) during the same period [1].
By: Alexandra Pattee, Research Associate
About Financiera Independencia: Founded in 1993, Financiera Independencia is a Mexico-based financial institution that offers loan products including CrediPopular, which is aimed at self-employed individuals; CrediMama, which is directed at mothers who have at least one child under the age of 18; CrediConstruye, comprising loans for the financing of home construction and improvements; and CedrInmediato, which is oriented towards corporate clients. Additionally, the company provides a range of life and health insurance policies. As of 2010 Financiera Independencia repotedly had a loan portfolio of MXN 6.6 billion (USD 565 million). As of 2009, Financiera Independencia reported to the US nonprofit data provider Microfinance Information Exchange (MIX) return on assets (ROA) of 8.7 percent, return on equity (ROE) of 30.3 percent and approximately 1.2 million borrowers.
Sources and Resources:
[1] Bloomberg, “Microfinance Bonds Trounce Bank Debt in Region: Mexico Credit”
Credito Real SA Website: http://www.creditoreal.com.br
MicroCapital.org Article, March 10, 2010, “Mexican Microfinance Institution (MFI) Financiera Independencia Announces Completion of Acquisition of Apoyo Financiero Incorporated (AFI) of California”, https://www.microcapital.org/microcapital-brief-mexican-microfinance-institution-mfi-financiera-independencia-announces-completion-of-acquisition-of-apoyo-financiero-incorporated-afi-of-california/
MicroCapital.org Article, January 8, 2011, “Mexican Microfinance Lender Financiera Independencia Acquires Apoyo Economico Familiar (AEF) of Mexico, Apoyo Financiero Incorporated (AFI) of California”, https://www.microcapital.org/microcapital-brief-mexican-microfinance-lender-financiera-independencia-acquires-apoyo-economico-familiar-aef-of-mexico-apoyo-financiero-incorporated-afi-of-california/
MicroCapital.org Article, March 29, 2010, “Financiera Independencia, a Mexico-based Microfinance Institution, Sells $200m in Senior Guaranteed Notes to the International Market”, https://www.microcapital.org/microcapital-brief-financiera-independencia-a-mexico-based-microfinance-institution-sells-200m-in-senior-guaranteed-notes-to-the-international-market/
MicroCapital.org Article, March 2, 2010, “Financiera Independencia, a Microfinance Institution (MFI) Located in Mexico, Will Submit Request to Receive Banking License”, https://www.microcapital.org/microcapital-brief-financiera-independencia-a-microfinance-institution-mfi-located-in-mexico-will-submit-request-to-receive-banking-license/
MicroCapital.org Article, February 9, 2010, “Financiera Independencia, a Mexican Microfinance Institution, Completes $65m Offering to Fund Acquisitions of Financiera Finsol and Finsol Brazil”, https://www.microcapital.org/microcapital-brief-financiera-independencia-a-mexican-microfinance-institution-completes-65m-offering-to-fund-acquisitions-of-financiera-finsol-and-finsol-brazil/
MicroCapital’s Microfinance Universe: Financiera Independencia, https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Financiera+Independencia
Browse the MicroCapital Universe and add your entry to the wiki at: https://www.microcapital.org/microfinanceuniverse/
Similar Posts:
- MICROCAPITAL BRIEF: Ualá App Offers Saving Account Paying 9% Interest in Mexico
- MICROCAPITAL BRIEF: MicroVest Lending $3.4m to Financiera Finexpar for Agriculture, SME Lending in Paraguay
- MICROCAPITAL BRIEF: Ilu Women’s Empowerment Fund Invests $1m in Acceso Financiero for Microfinance in Honduras
- MICROCAPITAL BRIEF: MicroVest Loans $4.5m to Financiera FAMA for MSMEs in Nicaragua
- MICROCAPITAL BRIEF: IDB Invest, Oikocredit Subscribing to $20m Bond from CJA to Finance MSMEs in Ecuador, Targeting Underrepresented Groups
