MICROCAPITAL BRIEF: Wholesale Microfinance Lender Ananya Finance for Inclusive Growth (Ananya) of India Raises Equity Capital of $2.86m from Women’s World Banking, Industrial Development Bank of India

Ananya Finance for Inclusive Growth Private Limited (Ananya), a non-banking financial company (NBFC) in India, has raised INR 180 million (USD 2.86 million) in equity capital from the Isis Fund of Women’s World Banking (WWB), a US-based network of 39 microfinance institutions (MFIs), and Industrial Development Bank of India (IDBI), an Indian public-sector bank [1]. WWB’s Isis Fund, a microfinance investment vehicle (MIV) that aims to increase financial access for women worldwide, is contributing INR 90 million (USD 1.43 million), while IDBI will be investing the remaining INR 90 million (USD 1.43 million). This transaction is intended to increase the capital adequacy of Ananya, increasing its ability to borrow money from financial institutions to on-lend to MFIs and other “social businesses” in India. Unitus Capital, an Indian financial consulting firm, acted as the financial advisor for the transaction.

As of 2013, Ananya lends to 68 MFIs across 16 states. As of the same year, the 39 MFI members of WWB reported USD 4.4 billion in savings deposits from an unspecified number of depositors, a gross loan portfolio of USD 6.9 billion and serve approximately 14 million women. As of 2012, IDBI reported total assets of USD 41 billion.

By Nisha Koul, Research Associate

About Ananya Finance for Inclusive Growth Private Limited (Ananya): Ananya Finance for Inclusive Growth Private Limited (Ananya) was established in India by Friends of Women’s World Banking (FWWB), a network member of US-based Women’s World Banking (WWB). In 2010, Ananya inherited the wholesale lending operations of FWWB. As of 2013, Ananya lends to 68 MFIs across 16 Indian states.

About Women’s World Banking (WWB): Women’s World Banking (WWB) is a nonprofit organization based in the US city of New York that was founded in 1979 to help women around the world by providing them microfinance services. As of 2013, WWB members serve 26 million active clients in 28 countries; the 39 MFI members of WWB reported USD 4.4 billion in savings deposits from an unspecified number of depositors, a gross loan portfolio of USD 6.9 billion and serve approximately 14 million women.

About Industrial Development Bank of India (IDBI): Industrial Development Bank of India (IDBI) is a public sector bank based in Mumbai, India. The bank offers personalized banking and financial solutions to its clients in the retail and corporate banking arena. As of 2013, IDBI has a network of 1159 branches and as of 2012, it reported total assets of USD 41 billion.

Sources and Additional Resources:

[1] Ananya Press release sent to MicroCapital, November 2013

MicroCapital Story, March 15, 2013, “Women’s World Banking (WWB), Citi Foundation Launch Women in Leadership Program,” https://www.microcapital.org/microcapital-brief-womens-world-banking-wwb-citi-foundation-launch-women-in-leadership-program/

MicroCapital Story, February 29, 2012, “Bandhan Financial Services Sells $112m in Securitized Loans to Industrial Development Bank of India (IDBI), Axis Bank, Development Credit Bank,” https://www.microcapital.org/microcapital-brief-bandhan-financial-services-sells-5b-in-securitized-loans-to-industrial-development-bank-of-india-idbi-axis-bank-development-credit-bank/

MicroCapital Story, October 1, 2010, “Indian Microfinance Institution Sanchetna Financial Services Lowers Interest Rate on Samridhi Loan Product from 15% to 12.5% with a 45-Week Term,” https://www.microcapital.org/microcapital-brief-indian-microfinance-institution-sanchetna-financial-services-lowers-interest-rate-on-samridhi-loan-product-from-15-to-12-5-with-a-45-week-term/

MicroCapital Universe Profile, Ananya Finance for Inclusive Growth Private Limited (Ananya), https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Anyana+Finance+for+Inclusive+Growth

MicroCapital Universe Profile, Women’s World Banking (WWB), https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Women%27s+World+Banking+%28WWB%29

MicroCapital Universe Profile, Industrial Development Bank of India (IDBI), https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=IDBI+Bank

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