MICROCAPITAL BRIEF: Online Fundraiser Kiva, Microlender Microinvest of Moldova End Partnership

Kiva, a US-based online microlending fundraiser, and Moldovan microfinance institution (MFI) Microinvest have agreed to terminate their six-year partnership for undisclosed reasons. Microinvest has repaid all outstanding loans to Kiva and there will be no additional funding to the MFI. During the life of the partnership, Kiva users loaned USD 370,000 to Microinvest, benefiting approximately 323 borrowers.

In 2011, approximately USD 90 million in loans was raised by Kiva and disbursed by Kiva’s field partner MFIs in approximately 60 developing and rich countries. For the year 2011, Microinvest reported to the US-based nonprofit Microfinance Information Exchange (MIX) total assets of USD 25.9 million, a gross loan portfolio of USD 17.9 million and approximately 5,100 active borrowers. Microinvest does not accept deposits. The shareholders of Microinvest include Balkan Financial Sector Equity (BFSE) Holding, Soros Foundation Moldova and Oikocredit.

By Brendan Millan, Research Associate

About Kiva
Incorporated in 2005, Kiva is a US-based online portal allowing individuals to make loans to microfinance institutions (MFIs), which then make loans to people with low incomes. In 2011, approximately USD 90 million in loans was raised by Kiva and disbursed by Kiva’s field partner MFIs in approximately 60 developing and rich countries.

About Microinvest
Founded in 2003, Microinvest is a microfinance institution in Moldova. The shareholders of Microinvest include Balkan Financial Sector Equity (BFSE) Holding, Soros Foundation Moldova and Oikocredit. For the year 2011, Microinvest reported to the US-based nonprofit Microfinance Information Exchange (MIX) a gross loan portfolio of USD 17.9 million, total assets of USD 25.9 million and approximately 5,100 active borrowers. Microinvest does not accept deposits.

Sources and Additional Resources:

[1] Kiva: “Kiva Partners: Microinvest”, http://www.kiva.org/partners/17

MicroCapital.org story, May 21, 2012, “Kiva Boosts Funding Raised for Microfinance Loans by $18m to $89m in 2011”, https://www.microcapital.org/microcapital-brief-kiva-boosts-funding-raised-for-microfinance-loans-loans-by-18m-to-89m-in-2011/

MicroCapital.org story, January 26, 2012, “Kiva Piloting Peer-to-Peer Microfinance Lending Platform Kiva Zip in Kenya, San Francisco”, https://www.microcapital.org/microcapital-brief-capgemini-group-microworld-launch-digital-microfinance-platform/

MicroCapital.org story, September 22, 2011, “ ‘Intercontinental Ballistic Microfinance’ Video Shows Graphic Of Kiva’s Worldwide Microlending Activities”, https://www.microcapital.org/microcapital-brief-%E2%80%9Cintercontinental-ballistic-microfinance%E2%80%9D-video-shows-graphic-of-kiva%E2%80%99s-worldwide-microlending-activities-2/

MicroCapital.org story, December 22, 2009, “European Bank for Reconstruction and Development (EBRD) Extends $5m Local Currency Credit Line to Microinvest to Boost Microfinance Industry in Moldova”, https://www.microcapital.org/microcapital-brief-european-bank-for-reconstruction-and-development-ebrd-extends-5m-local-currency-credit-line-to-microinvest-to-boost-microfinance-industry-in-moldova/

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

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

Do you know that MicroCapital publishes the MicroCapital Monitor newspaper each month? Find out more at  https://www.microcapital.org/products-page/

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