Unguka Microfinance, a microfinance institution (MFI) that was established in Rwanda in 2005, recently reported that its net profit increased 58 percent from RWF 146 million (USD 234,000) in 2009 to RWF 230 million (USD 384,000) in 2010. The MFI attributes the profit increase to a growth in its customer base as well as a good track record in loan repayment. Unguka Microfinance currently has eight branches in Rwanda and plans to open five more branches in April. Unspecified shareholders have also chosen to reinvest their profits into the organization to help strengthen its operations. Between 2005 and 2010 Unguka Microfinance’s working capital grew from RWF 320 million (USD 533,000) to RWF 1.1 billion (USD 1.8 million). Faustin Byakunda, director of the MFI, expressed optimism for the future of the organization, saying, “Our profits have been gradually improving and we noticed that it can even be more provided our service improves in terms of quality.” Unguka Microfinance does not report to the Microfinance Information Exchange (MIX), the US-based microfinance data provider.
By Julie Moksim, Research Associate
About Unguka Microfinance: Unguka Microfinance is a microfinance institution (MFI) that was established in Rwanda in 2005. As of December 2010, the organization reported net profit of RWF 230 million (USD 384,000), working capital of RWF 1.1 billion (USD 1.8 million) and five branches. Unguka Microfinance does not report to the Microfinance Information Exchange (MIX), the US-based microfinance data provider, and further financial details are not otherwise available.
Sources and Additional Resources:
The New Times: “Unguka Microfinance Profits Surge” by Grace Mugoya, March 22, 2011, http://allafrica.com/stories/201103220094.html
MicroCapital.org Brief, November 1, 2010: Rwandan Government Launches 7-Year Program for Economic Recovery, Aims to Reach 80% of Population With Financial Services, https://www.microcapital.org/microcapital-brief-rwandan-government-launches-7-year-program-for-economic-recovery-aims-to-reach-80-of-population-with-financial-services/
MicroCapital’s Microfinance Universe Profile: Unguka Microfinance
https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Unguka+Microfinance
Browse the MicroCapital Universe and add your entry to the wiki at: https://www.microcapital.org/microfinanceuniverse/
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