MICROCAPITAL BRIEF: Agents for Impact Loans $3m from Invest in Visions to Imon International for Microfinance in Tajikistan

Two German impact investment firms, Agents for Impact (AFI) and Invest in Visions (IIV) recently collaborated to disburse USD 3 million in loan funds to Imon International, a microfinance institution (MFI) in Tajikistan. Imon offers individuals as well as small and medium-sized enterprises loans, savings, internet banking and payment cards. The MFI plans to use the fresh funds to expand its user base. The role of AFI was to manage the disbursement of the funds from IIV.

Imon was created by the National Association of Business Women of Tajikistan and US-based NGO Mercy Corps to empower female entrepreneurs. The MFI received a license from the National Bank of Tajikistan to operate as a microcredit deposit-taking organization in 2013 and became independent of Mercy Corps shortly thereafter. As of September 2021, Imon reported TJS 1.28 billion (USD 113 million) in total assets and savings deposits of TJS 94.6 million (USD 8.38 million). As of December 2020, Imon had a gross loan portfolio of TJS 869 million (USD 77 million), annual return on assets of approximately 1 percent and return on equity of 5 percent. The MFI operates in 28 regions of Tajikistan, serving approximately 109,000 customers.

Launched in 2006, IIV manages “investments in sustainable agriculture, social enterprises and social impact lending.” The firm created IIV Mikrofinanzfonds in 2011 to invest in micro-, small and medium-sized enterprises via intermediaries in developing countries. It does this mainly via “small and medium-sized MFIs, particularly in rural areas.” The minimum investment in the fund is EUR 100 (USD 113).

Headquartered in Frankfurt, AFI aims to bring together investors to make progress toward the UN Sustainable Development Goals. Financial information on the firm has not been disclosed.

By Zachary DeLuca, Research Associate

Sources and Additional Resources

AFI press release
https://www.linkedin.com/posts/agents-for-impact_tajikistan-afi-impact-activity-6877209676291870720-JmvK/

Imon homepage
https://www.Imon.tj/

Imon financials
https://www.Imon.tj/news/finance-report-1

AFI homepage
https://www.agentsforimpact.com/

IIV homepage
https://www.investinvisions.com/

IIV impact report 2020
https://www.investinvisions.com/media/jrk_iiv_social_report_2020_en_210624.pdf

Previous MicroCapital article on IIV
https://www.microcapital.org/microcapital-brief-invest-in-visions-iiv-mikrofinanzfonds-lends-12m-to-bayport-for-payroll-lending-in-colombia/

Previous MicroCapital article on AFI
https://www.microcapital.org/microcapital-brief-iiv-mikrofinanzfonds-loans-2m-to-finca-tajikistan-for-microfinance/

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