MICROCAPITAL STORY: responsAbility Global Microfinance Fund of Switzerland Lends $500k to Microfinance Institution Thaneakea Phum (Cambodia) LTD and $4m to Microfinance Institution PRASAC MFI LTD

The Microfinance Capital Markets Newsletter of the Consultative Group to Assist the Poor (CGAP) and the MIX, the microfinance information clearinghouse, reported responsAbility Global Microfinance Fund, a Luxembourg-based fund, has issued a loan of USD 500,000 to microfinance institution (MFI) Thaneakea Phum (Cambodia) Ltd and a loan of USD 4 million to PRASAC MFI Ltd.

The responsAbility Global Microfinance Fund is an investment instrument that allows investors the opportunity to invest in institutions that provide financial returns, social benefits and contribution towards development policy goals. The fund’s primary focus is microfinance. As of January 2007, the fund had total assets of USD 96.1 million of which USD 89.5 million was allocated to microfinance. The fund is managed by responsAbility, a Zurich-based provider of social investment advisory services. responsAbility focuses on developing countries and investments that generate social benefits. responsAbility aims to become the Swiss platform for investment in microfinance.

Thaneakea Phum (Cambodia) Ltd (TPC) was founded in 1994 as part of the Small Enterprise Development program of Catholic Relief Services (CRS), an international relief organization. In 2002, the MFI officially incorporated to become Thaneakea Phum (Cambodia) Ltd and in 2003 received a license from the National Bank of Cambodia to act as a microfinance institution. According to its most recent “financial data” on the MIX, TPC had total assets of equivalent USD 7.6 million which consisted of a gross loan portfolio of equivalent USD 7.1 million. Return on assets for the MFI was 11.38% and it had return on equity of 21.00%. At the end of 2006, the MFI serviced 55,860 active borrowers of which approximately 88.8% are women. The average loan balance per borrower is equivalent USD 128.

PRASAC MFI Ltd was founded in 1995 as the credit component of a project funded by the European Union and implemented by three ministries of the Royal Government of Cambodia to support agricultural sectors in six provinces around Phnom Penh, Cambodia. According to its most recent “financial data” on the MIX, PRASAC had total assets of equivalent USD 26.2 million which consisted of a gross loan portfolio of equivalent USD 22.1 million. Return on assets for the MFI was 3.37% and it had return on equity of 6.88%. At the end of 2006, the MFI serviced 94,264 active borrowers of which approximately 57.1% are women. The average loan balance per borrower is equivalent USD 235. The institution has 2,937 savers with an average savings balance of equivalent USD 82.

Additional Resources:

CGAP: “List of Recent Transactions”

MIX Market: “Profile for Thaneakea Phum (Cambodia) Ltd”

MIX Market: “Profile for PRASAC MFI Ltd”

MicroCapital.org article, October 8, 2007: “MICROCAPITAL STORY: ResponsAbility Global Microfinance Fund of Switzerland Lends over $1m to Peru-based Edpymes Proempresa”

MicroCapital.org article, September 25, 2007: “MICROCAPITAL STORY: ResponsAbility Global Microfinance Fund of Switzerland Lends over USD 2.1 Million to Fondesurco, Fundación ESPOIR and LOKMicro”

MicroCapital.org article, September 3, 2007: “MICROCAPITAL STORY: ResponsAbility Global Microfinance Fund of Switzerland Loans over USD 1.1 Million to Unión de Crédito Interestatal Chiapas (Unicreich) of Mexico and PRESTANIC of Nicaragua”

MicroCapital.org article, April 6, 2007: “MICROCAPITAL STORY: ResponsAbility Lends USD 3.9 Million to 7 Latin American Microbanks: FDL, ADMIC, PRESTANIC, ProCredit Ecuador, AMC-SV, Fundación Campo, Corporación de Productores Café.”

MicroCapital.org article, November 3, 2006: “MICROCAPITAL STORY: The ResponsAbility Global Microfinance Fund Distributes Loans to Various Microfinance Institutions in Latin America”