The responsAbility Global Microfinance Fund, headquartered in Switzerland and founded in 2003, has executed debt investments totaling the equivalent of USD 2.76 million to three microfinance banks, according to a report submitted by responsAbility to MicroCapital. The microfinance investment vehicle (MIV) reports total assets of USD 358 million as of 2009 and is one of four funds operated by responsAbility, the others being responsAbility Base of the Pyramid, responsAbility Mikrofinanz-Fonds and responsAbility Microfinance Leaders Fund.
Category: Latin America & Caribbean
MICROCAPITAL BRIEF: IGNIA Fund I Invests $4m in Mexican Mobile Services Company Finestrella
IGNIA Fund I, a social venture capital fund that aims to support the low-income population in Mexico and other regions of Latin America, recently invested USD 4 million in Finestrella, a Mexican company that offers postpaid mobile plans to consumers without the necessity of a credit history or upfront deposit.
MICROCAPITAL BRIEF: Dr John Hatch, Founder of FINCA International, Discusses the Role of Microfinance in Disaster and Conflict Zones
In a recent interview on the Microfinance Focus website, Dr John Hatch, founder of FINCA International, a global microfinance network serving 700,000 people, discusses the successes of microfinance and FINCA’s experiences in disaster and conflict zones.
MICROCAPITAL BRIEF: In Ecuador, Cap on Interest Rates Pressures Microlenders to Increase Loan Sizes, Sell to Larger Institutions
Ecuador’s central bank, Banco Central del Ecuador (BCE), recently further reduced the cap on annual interest rates to 30.5 percent from 33.9 percent for retail microlenders, and to 27.5 percent from 33.3 percent for all others lenders [1]. Since 2007, when the national government enacted banking reforms allowing the central bank to set a maximum interest rate for all banking institutions, the cap for microlenders has been dropping. According to Javier Vaca, the executive director of Red Financiera Rural (RFR), an Ecuadorian network of organizations that is focused on facilitating and promoting access to financial services, this forces microlenders to increase the average amount of their loans. Some are left with no choice but to sell their portfolios to larger institutions with lower fixed costs [2].
MICROCAPITAL BRIEF: Microfinance Information Exchange (MIX) Releases 2009 Brazilian Microfinance Report
The nonprofit Microfinance Information Exchange (MIX) recently released the 2009 benchmarking report on the microfinance sector in Brazil, available in Spanish.
MICROCAPITAL BRIEF: Pro Mujer Releases First Issue of Publication on Innovative Microfinance Services
Pro Mujer, an international microfinance organization serving 202,000 clients in Latin America, recently released the first issue of a publication that will evaluate field research on new microfinance services.
MICROCAPITAL BRIEF: Citigroup Pledges $1m to Help Rebuild Microfinance Sector in Haiti Following January Earthquake
Citigroup, a major American financial services company based in New York City, has pledged USD 1 million in grants to help rebuild Haiti’s microfinance industry [1]. The money will be distributed via three microfinance providers: SOGESOL, Fonkoze and FINCA-Haiti. The grants are to be used by microentrepreneurs whose businesses were damaged by the earthquake in mid-January. This adds to the large grants already given to microfinance institutions in Haiti. Fonkoze has already received a USD 4.5 million grant from the MasterCard Foundation, based in Canada [2].
MICROCAPITAL BRIEF: Vision Microfinance Fund Invests $2m in EcoFuturo of Bolivia
Vision Microfinance Fund, a Luxembourg-based fund that focuses on microfinance institutions (MFIs) in emerging countries in Latin America, Eastern Europe and Asia, recently invested USD 2 million in EcoFuturo, a Bolivian microfinance institution (MFI) with 43,486 active borrowers and total assets of USD 118 million as of 2009.
MICROCAPITAL BRIEF: MicroSave Releases Podcast on the 2007 Initial Public Offering of Mexican Microfinance Lender Compartamos
MicroSave, a technical assistance, training and technical resource center for microfinance organizations, has released a podcast discussing issues surrounding the controversially lucrative 2007, USD 458 million initial public offering of the Mexican microfinance bank, Compartamos.
MICROCAPITAL BRIEF: Mark Coffey Named Chief Investment Officer of Global Partnerships
Mark Coffey has been named the chief investment officer of Global Partnerships (GP), a Seattle-based non-profit that supports microfinance institutions (MFIs) in Latin America.
MICROCAPITAL EVENT: Latin American Forum: Carrying out Social Management in Microfinance: “Turning Mission into Practice,” Hosted by the Central America Regional Forum (REDCAMIF) on April 28 to 29, 2010
Event Name: Latin American Forum: Carrying out Social Management in Microfinance: “Turning Mission into Practice”
Event Date: April 28 to April 29, 2010
Event Location: Hotel Holiday Inn Managua, Nicaragua
See Our Comprehensive Event Calendar Here: http://microfinanceassociation.ning.com/events
MICROCAPITAL BRIEF: Multilateral Investment Fund (MIF) of the Inter-American Development Bank (IDB) Launches Inter-American Awards for Microenterprise Development 2010
In an effort to acknowledge the achievements of organizations supporting microenterprise development in Latin America and the Caribbean, the Multilateral Investment Fund (MIF) of the Inter-American Development Bank (IDB) recently launched the Inter-American Awards for Microenterprise Development 2010.
MICROCAPITAL BRIEF: MasterCard Foundation Provides $4.5m Grant to Haitian Microfinance Institution (MFI) Fonkoze
The MasterCard Foundation, a private Canadian foundation that supports microfinance, recently announced it would provide a USD 4.5 million grant to Fonkoze, a Haitian microfinance institution (MFI) serving 200,000 borrowers and savers.
MICROCAPITAL BRIEF: International Finance Corporation (IFC) to Provide $30m Loan to Banco Patagonia, a Commercial Bank in Argentina, to Lend to Farmers and Small and Medium-sized Agribusinesses
The International Finance Corporation (IFC), the investment arm of the World Bank, will provide a USD 30 million loan to Banco Patagonia S.A., a commercial bank in Argentina, to lend to farmers and small and medium-sized agribusinesses.
MICROCAPITAL BRIEF: Compartamos Banco, Mexican Microfinance Bank, Targets Latin American Expansion by Acquisition
Compartamos Banco, a Mexican microfinance bank founded in 1990, is in the process of finding a Latin American microfinance lender to acquire. Fernando Alvarez Toca, the Chief Executive Officer of Compartamos Banco, stated that his company is planning to acquire a Latin American company in accordance with their plan for rapid expansion. Alvarez Toca names Colombia, Peru and Brazil as the primary countries they are investigating [1]. Compartamos Banco has been pursuing this avenue since November of 2009 [2].
MICROFINANCE EVENT: “Microfinance Transparency Workshop on Transparent Pricing in Bolivia” From May 4 to May 6, 2010
Event Name: MFTransparency Workshop on Transparent Pricing in Bolivia
Event Dates and Locations: May 4, 2010, in La Paz, Bolivia; May 5, 2010, in Santa Cruz, Bolivia; May 6, 2010, in La Paz, Bolivia
Event Website: http://www.mftransparency.org/pages/transparent-pricing-initiative-in-bolivia
See Our Comprehensive Event Calendar Here: http://microfinanceassociation.ning.com/events
Cost: Free
MICROCAPITAL BRIEF: Credit Rating Agency Standard and Poor’s (S&P) Upgrades Mexican Microfinance Institution (MFI) Compartamos Banco
Compartamos Banco, a publicly-listed microfinance institution (MFI) based in Mexico, has been upgraded by credit rating agency Standard and Poor’s (S&P) to ‘mxAA’ and ‘mxA-1+’ for its long and short-term ratings, respectively. Compartamos Banco’s local bank bonds issued in August 2009, COMPART 09, were also upgraded to ‘mxAA’ and ‘mxA-1+’ with a ‘stable’ outlook.
MICROFINANCE EVENT: “MFTransparency Workshops on Transparent Pricing in Ecuador” April 27 to April 29, 2010
MICROFINANCE EVENT: “MFTransparency Workshops on Transparent Pricing in Ecuador” April 27 to April 29, 2010
Event Name: MFTransparency Workshop on Transparent Pricing in Ecuador
Event Dates and Locations: April 27, 2010, in Quito, Ecuador; April 28, 2010, in Ambato,
Ecuador; April 29, 2010, in Guyaquil, Ecuador
Event Website: http://www.mftransparency.org/pages/transparent-pricing-initiative-in-ec…
See Our Comprehensive Event Calendar Here: http://microfinanceassociation.ning.com/events
Cost: Free