MICROCAPITAL BRIEF: Microcred Senegal Raises $5.6m on African Bond Market

Microcred Senegal, a for-profit affiliate of the France-based NGO Positive Planet, recently issued its first bond, raising CFA 3.7 billion (USD 5.6 million) in the African market. Arnaud Ventura, the founding President of Microcred Group, praised the fact that the bond issue has helped the organization diversify its sources of finance. Microcred Senegal has received a long-term BBB rating from the Ivory Coast-based West African Rating Agency.

As of September 2016, Microcred Senegal served 206,000 clients with a loan portfolio of EUR 81 million (USD 91 million) and total deposits worth EUR 42 million (USD 47 million). As of December 2015, Microcred Group reported total assets of EUR 379 million (USD 411 million), outstanding loans of EUR 312 million (USD 339 million) and client deposits of EUR 107 million (USD 116 million). As of September 2016, the group had 520,000 clients.

By Sharanya Madhavan, Research Associate

About Microcred Senegal

Microcred Senegal is a microfinance institution (MFI) based in Dakar, Senegal, that offers both loans and voluntary savings services. It was founded in 2007 by the Microcred Group, which is for-profit member of France-based NGO Positive Planet. The firm functions under the joint supervision of Senegalese Ministry of Economy and Finance and the Central Bank of West African States. As of September 2016, Microcred Senegal had a loan portfolio for EUR 81 million (USD 91 million) and total deposits worth EUR 42 million (USD 47 million) serving 206,000 clients.

About Microcred Group

Microcred Group is a France-based for-profit investment company that offers credit products, savings, insurance and financial services to the population underserved by traditional banks in China and Africa. Microcred was created in 2005 by French NGO Planet Finance, which since has been renamed Positive Planet, and three investors: The World Bank Group’s International Finance Corporation (IFC), Société Générale and AXA Belgium. Those founding shareholders were joined by the Agence Française de Développement and the European Investment Bank (EIB) in 2007 and by Developing World Markets (DWM) in 2008. Microcred operates in China, through Microcred Nanchong and Microcred Sichuan, and in Africa in Burkina Faso, Côte d’Ivoire, Madagascar, Mali, Nigeria, Senegal, Tunisia and Zimbabwe. As of December 2015, Microcred Group reported total assets of EUR 379 million (USD 411 million), outstanding loans of EUR 312 million (USD 339 million) and client deposits of EUR 107 million (USD 116 million). As of September 2016, the group had 520,000 clients.

Sources and Additional Resources

[1] Microcred: Microcred Senegal launches its first bond issue on the African market

MicroCapital Universe: Microcred Senegal

MicroCapital Universe: Microcred Group

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