MICROCAPITAL BRIEF: Russian Payday Lender Bistrodengi Selects Diasoft’s Flextera Banking Software

Bistrodengi, a Russian payday lender that offers payday loans of RUB 1,000 to RUB 16,000 (USD 28 to USD 453) for periods of seven to 16 days, recently selected Flextera Loans, a core banking solution from Diasoft, to support its lending and accounting operations. Diasoft’s software is used by approximately 340 financial institutions worldwide. The company is headquartered in Russia, and it also has offices in China, Cyprus, Ukraine and the United Kingdom. Continue reading

MICROCAPITAL BRIEF: Lok Capital Sextuples Investment With Partial Exit from Indian “Socio-commercial” Outsourcing Firm RuralShores

Lok Capital (Lok), a Mauritius-based venture fund focused on the microfinance and social business sectors in India, reportedly has sold part of its equity stake in RuralShores Business Services, an India-based company offering business process outsourcing to public and private clients in the microfinance, banking, insurance, telecom and information technology sectors. Continue reading

MICROCAPITAL BRIEF: Multilateral Investment Fund (MIF) Allocates $5.3m to Test, Develop Social Impact Bond Market in Latin America, Caribbean

The Multilateral Investment Fund (MIF), a member of the US-based Inter-American Development Bank (IDB) Group, recently announced that it has allocated USD 5.3 million for the testing, development and implementation of social impact bond (SIB) programs in Latin America and the Caribbean. Continue reading

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MICROCAPITAL BRIEF: Depositors of 5 Microfinance Institutions in Fiji to Be Reimbursed

The Trade and Investment Ministry of Fiji has announced that it has identified approximately 1,000 people who lost savings that they had deposited with five microfinance institutions (MFIs) and has started reimbursement of their claims [1][2]. Continue reading

MICROCAPITAL BRIEF: African Development Bank (AfDB) Announces $9m Line of Credit for Moza Banco of Mozambique for SMEs

The African Development Bank (AfDB), a multilateral institution that provides loans and grants to governments and private companies in Africa, recently announced that it will issue a local-currency credit line equivalent to USD 9 million to Moza Banco, a private financial institution that focuses on small and medium-sized enterprises (SMEs) in Mozambique. Continue reading

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MICROFINANCE PAPER WRAP-UP: “Financial Capability in Colombia: Results from a National Survey on Financial Behaviors, Attitudes, and Knowledge;” by Rekha Reddy, Miriam Bruhn and Congyan Tan; Published by The World Bank

“Financial Capability in Colombia: Results from a National Survey on Financial Behaviors, Attitudes, and Knowledge;” by Rekha Reddy, Miriam Bruhn and Congyan Tan; published by The World Bank; 2013; 87 pages; available at http://documents.worldbank.org/curated/en/2013/07/18054984/financial-capability-colombia-results-national-survey-financial-behaviors-attitudes-knowledge

This report, which was published by The World Bank, a US-based multilateral institution, analyzes a survey carried out in Colombia regarding “financial capabilities,” including behaviors, attitudes and knowledge regarding financial products. Continue reading

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MICROCAPITAL BRIEF: European Bank for Reconstruction and Development (EBRD) Considers $277m Investment for Financial Institutions in Western Balkans

The European Bank for Reconstruction and Development (EBRD), a UK-based multilateral financial institution, is considering investing an additional EUR 200 million (USD 277 million) through its Western Balkans Financing Framework, an initiative that funds development projects through intermediary financial institutions in Albania, Bosnia and Herzegovina, Kosovo, Macedonia, Montenegro and Serbia. Continue reading

Written by Comments Off on MICROCAPITAL BRIEF: European Bank for Reconstruction and Development (EBRD) Considers $277m Investment for Financial Institutions in Western Balkans Posted in Eastern Europe and Central Asia

MICROFINANCE PAPER WRAP-UP: “Dynamic Effects of Microcredit in Bangladesh,” Published by the Development Research Group of the World Bank

“Dynamic Effects of Microcredit in Bangladesh,” by Shahidur R. Khandker and Hussain A. Samad, published by The World Bank, March 2014, 50 pages, available at http://papers.ssrn.com/sol3/papers.cfm?abstract_id=2417519

Microfinance institutions (MFIs) in Bangladesh have experienced rapid growth over the past two decades and in 2008 disbursed approximately USD 1.8 billion to approximately 30 million clients. Continue reading

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MICROCAPITAL BRIEF: Nepal Rastra Bank Allows Acquisitions of Financial Institutions

Nepal Rastra Bank (NRB), the country’s central bank, recently announced the approval of an acquisition bylaw that will allow banks and financial institutions to acquire similar institutions in the market. Continue reading

MICROFINANCE PUBLICATION ROUND-UP: Responsible Equity Exits in Microfinance; Greenfield Microfinance Models in Africa; Mobile Financial Services Usage Among Rural Women in India, Philippines

“The Art of the Responsible Exit in Microfinance Equity Sales;” by Daniel Rozas, Deborah Drake, Estelle Lahaye, Katharine McKee and Danielle Piskadlo; published by CGAP (Consultative Group to Assist the Poor); April 2014; 32 pages; available at http://www.cgap.org/sites/default/files/Forum-Art-of-the-Responsible-Exit-April-2014.pdf

This paper explores how microfinance investment intermediaries (MIIs) and development finance institutions (DFIs) can exit responsibly from microfinance institutions (MFIs) in which they have invested equity as well as how investors can contribute to healthy development of the overall market. The authors conducted six case studies and interviewed representatives from MIIs, nongovernmental organizations, DFIs, MFIs and merger-and-acquisition specialists. Continue reading

MICROCAPITAL BRIEF: Colombian Government Seeks to Reduce Cost of Remittances

The Colombian government reportedly has announced that it is seeking to reduce the cost of remittance services under its Financial Inclusion Law by encouraging the creation of new financial institutions called Specialized Partnerships in Electronic Deposits and Payments. Continue reading

MICROCAPITAL BRIEF: Financiera Edyficar Launches Microfinance Institution (MFI) Encumbra in Colombia

Peru-based microlender Financiera Edyficar (Edyficar), an operating subsidiary of Peruvian bank holding company Credicorp, recently launched a microfinance institution (MFI) named Encumbra in the Colombian city of Medellin that will serve the micro- and small enterprise sector in the country. Continue reading

MICROFINANCE EVENT: International Conference of Social and Solidarity Finance, May 8-9, 2014, Bochum, Germany

Event  Name: International Conference of Social and Solidarity Finance

Event Date: May 8-9, 2014

Event Location: GLS Bank (Gemeinschaftsbank für Leihen und Schenken eG), Bochum, Germany Continue reading

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MICROCAPITAL BRIEF: Akhuwat, MyBiz Pakistan Launch Incubation Centre to Support Growth of Microenterprises in Pakistan

Akhuwat, a Pakistan-based nonprofit microfinance institution (MFI), in collaboration with MyBiz Pakistan, a nonprofit initiative that provides business advisory services and seed-stage financing for small businesses, recently launched the MyBiz Incubation Centre (MyBiz Incubation), a program that aims to develop microenterprises in the country. Continue reading

MICROCAPITAL BRIEF: Yes Bank’s Sampann, Housing Development Finance Corporation (HDFC) Bank Use “Doorstep” Banking in Rural India

Two private commercial banks based in the Indian city of Mumbai, Yes Bank and the Housing Development Finance Corporation (HDFC) Bank, reportedly have started using “doorstep” banking in rural India to reach more customers by offering services such as credit, savings and insurance at customers’ homes. Continue reading

MICROCAPITAL BRIEF: Airtel Ghana, MicroEnsure, Enterprise Life Roll Out Free Mobile Accident Insurance in Ghana

Airtel Ghana, a subsidiary of Indian telecommunications company Bharti Airtel; MicroEnsure, a UK-based microinsurance company founded by US-based Opportunity International; and Enterprise Life, an insurance company that is part of Ghana-based Enterprise Group, recently announced that 100,000 Airtel Ghana customers have registered for Airtel Insurance. Continue reading