MICROCAPITAL STORY: Enda Inter-Arabe, the Tunisian Microfinance Institution Becomes the Latest Network Member to Join Women's World Banking

Enda Inter-Arabe (Enda I-A), the first and largest microfinance institution (MFI) in Tunisia has joined Women’s World Banking (WWB), a US non-profit organization that works with 53 MFIs and banks in 29 countries worldwide. Tunisia is the third Arab country, after Jordan and Morocco, to be represented in the WWB network as part of their planned expansion into the Middle East.

Enda Inter-Arabe was created in 1990 as a branch of Enda Third World, the Environment and Development Action agency based in Dakar, Senegal, with affiliates in 21 countries. According to the MixMarket, as of 31.05.07, it has USD 14.7 million total assets and a debt to equity ratio of 107.7%. It was awarded a B+ score by Planet Rating in June 2006.

85% of Enda I-A’s 54,000 clients are women and an increasing number of them are requesting larger, individual loans rather than the smaller group loans that are typically given to first-time borrowers. In addition to business credit, housing loans and education loans for children, Enda’s Business Development Services provide clients with a range of training activities to improve their artisanal skills and access to markets as well as their business planning and accounting procedures.

Enda I-A has joined WWB so it can gain access to knowledge through the network membership. Ms Essma Ben Hamida, Co-Director of the organisation said, “Microfinance is relatively new in the Arab world,” she says. “It’s only been around for about 15 years and there’s not a lot of well-developed experience that we can learn from. But microfinance institutions in Latin America and Asia have much longer experience.” Enda I-A also wants to learn how other MFIs have become formalized banking entities, as it is interested in becoming a legally registered MFI able to offer savings to clients as well as credit.

By 2010, Enda I-A expects to reach 135,000 clients with a portfolio of USD 42 million and 100 branches

With the addition of Enda I-A, WWB now serves more than 480,000 low-income clients in the Middle East region through its network members.

Amy Rennison, Microcapital writer

Additional Resources:

PR Newswire:
http://sev.prnewswire.com/banking-financial-services/20070910/DCM04910092007-1.html

Media Market News:
http://209.85.129.104/search?q=cache:0_b66dT7kicJ:www.mn1.com/educationnews.php+Women%27s+World+Banking+Enda+Inter-Arabe&hl=en&ct=clnk&cd=25

Women’s World Banking:
http://www.swwb.org/id,95/newsid,18