MICROCAPITAL BRIEF: International Finance Corporation (IFC) Loans $31m to Fullerton Credit to Support Small, Medium-Sized Enterprises (SMEs) in China

The International Finance Corporation (IFC), a member of the US-based World Bank Group, has announced an investment of CNY 186 million (USD 30.5 million) in Fullerton Credit (FC), a subsidiary of Singapore-based Fullerton Financial Holdings (FFH), to support financial access to small and medium-sized enterprises (SMEs) in western and central provinces of China [1]. Continue reading

MICROCAPITAL BRIEF: International Finance Corporation (IFC), Government of Canada to Loan $85m to Dewan Housing Finance of India for “Green” Mortgages

The International Finance Corporation (IFC), a member of the US-based World Bank, and the government of Canada have partnered to loan USD 85 million to Dewan Housing Finance Corporation of India, a for-profit housing finance company, to finance “green” mortgages under the joint IFC-Canada Climate Change Program. Continue reading

MICROCAPITAL BRIEF: JP Morgan Chase “Catalyst for Growth” Reports Improved Performance of Small and Medium-Sized Enterprises (SMEs) in South Africa

JP Morgan Chase, a US-based investment and banking firm, recently announced that the 20 small and medium-sized enterprises (SMEs) that are participating in its two-year pilot programme Catalyst for Growth (C4G), have reported increases of: 43 percent in overall average revenue; 19 percent in permanent employees; and 13 percent in accessing capital for their businesses [1]. Continue reading

SPECIAL REPORT: Why Microfinance Institutions Offer Unprofitable Housing Loans

On November 14, the closing day of the European Microfinance Platform’s (e-MFP’s) European Microfinance Week, Wilson Twamuhabwa, CEO of Uganda’s Ugafode Microfinance Limited, explained that his organization began to offer housing loan products partly because its clients were using 30 percent of their loans for housing anyway. Continue reading

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]. Continue reading

MICROCAPITAL BRIEF: Triodos Investment Management of the Netherlands Sells Stake in Mongolian TenGer Financial Group to Orix, International Finance Corporation (IFC), Mongolyn Alt Group

Triodos Investment Management, a subsidiary of financial service provider Triodos Bank of the Netherlands, recently announced that it has sold the majority of its 13.5% equity stake in TenGer Financial Group, a Mongolia-based microfinance institution, through its Triodos-Doen and Triodos Fair Share Funds [1]. Continue reading

MICROCAPITAL BRIEF: Kenya Commercial Bank, Safaricom’s M-Pesa Launch Mobile App KCB M-Benki to Increase Financial Inclusion

Kenya Commercial Bank (KCB), a publicly-traded financial services company in Kenya, has partnered with Safaricom, a Kenyan mobile service provider that operates the mobile money service M-Pesa, to launch a mobile banking application called KCB M-Benki in Kenya and five other East African countries serviced by KCB [1]. Continue reading

SPECIAL REPORT: Overcoming Barriers to Agricultural Microfinance

At European Microfinance Week, which is hosted by Luxembourg’s 140-member European Microfinance Platform (e-MFP), Daniela Rottger, a consultant to German development finance institution Deutsche Investitions-und Entwicklungsgesellschaft (DEG), spoke Wednesday about her study of the agricultural lending products offered by several African banks and microlenders. Continue reading

SPECIAL REPORT: Women Microfinance Clients Often Save More, Are More Loyal to Lenders

At today’s session on gender at European Microfinance Week in Luxembourg, panelists eschewed the idea that lenders have a moral obligation to serve a greater proportion of women. Instead, Anne-Marie Chidzero of South Africa and Anna Gincherman of the US-based Women’s World Banking (WWB) network both argued strenuously that lenders are leaving money on the table by failing to reach out to women. Continue reading

MICROCAPITAL BRIEF: European Bank for Reconstruction and Development (EBRD) Issues $12.5m in Local Currency Loans to Armenia’s Agricultural Cooperative Bank of Armenia-Credit Agricole Bank (ACBA) to Support Micro-, Small and Medium-Sized Enterprises (MSMEs), Energy Efficient Investments

The UK-based European Bank for Reconstruction and Development (EBRD), a multilateral institution that finances development projects, has provided two local-currency loans totaling the equivalent of USD 12.5 million to Agricultural Cooperative Bank of Armenia-Credit Agricole Bank (ACBA), a microfinance bank partially owned by French bank Credit Agricole [1]. Continue reading

SPECIAL REPORT: Michael Chu: “Disrupt this Old Model to Unlock the Potential of Microfinance”

At today’s opening plenary of European Microfinance Week, which is hosted by Luxembourg’s 140-member European Microfinance Platform (e-MFP), Michael Chu of the US-based Harvard Business School and the Mexico-based venture capital fund Ignia, argued that microfinance is generally implemented using a 20-year-old model that is inefficient and “ripe for disruption” through technology. Continue reading

MICROCAPITAL BRIEF: Gates Foundation, International Finance Corporation (IFC), MicroSave, United Nations Development Program (UNDP) Partner to Create Helix Institute of Digital Finance

The Bill and Melinda Gates Foundation, a US-based nonprofit that provides grants to organizations; the International Finance Corporation (IFC), a member of the US-based World Bank; MicroSave, an India-based for-profit consulting center; and the United Nations Development Program (UNDP), the global development network of the United Nations, have partnered to create the Helix Institute of Digital Finance, an online platform that will train mobile network operators, financial institutions and third-party providers in an effort to increase the efficiency and impact of their digital and financial services [1]. Continue reading

SPECIAL REPORT: “Making Microfinance Investment Responsible” Group Wrestles with Inconsistent Data Reporting at European Microfinance Week

On this first day of European Microfinance Week, which is hosted by the 140-member European Microfinance Platform (e-MFP) of Luxembourg, e-MFP’s “Making Microfinance Investment Responsible” Action Group convened to work on the data it has collected on client protection from 10 microfinance investors, rating agencies and NGOs. Continue reading

MICROCAPITAL BRIEF: responsAbility Investments Loans $20m to Improsa Bank of Costa Rica, Supports Small and Medium-Sized Enterprises (SMEs)

The Switzerland-based investment company responsAbility Investments recently notified MicroCapital that it has disbursed a loan of USD 20 million to Improsa Bank SA of Costa Rica, a financial institution that provides services to small and medium-sized enterprises (SMEs) [1]. Continue reading

SPECIAL REPORT: Youth Financial Inclusion Group Tackles Business Training, Scaling-up, Dormant Accounts, Program Indicators, Self-sufficiency at European Microfinance Week

As part of the opening day of European Microfinance Week, a series of events hosted by the Luxembourg-based European Microfinance Platform (e-MFP), the Youth Financial Inclusion Action Group of e-MFP met today to carry on its work relating to savings and other financial services for young people, particularly those aged 15 to 24. Continue reading