As part of its Tajikistan Agribusiness Finance and Business Environment Project, the International Finance Corporation (IFC), the private-investment arm of the World Bank Group, will support IMON International, a microfinance institution (MFI) in Tajikistan, in the identification of new clients that may benefit from equipment finance. Through farmer surveys and training sessions for institutional staff, IFC will help IMON broaden its customer base for the financing and leasing of agricultural equipment [1].
IMON International was established in 1999 and offers loans, leasing and training services. According to 2010 data reported to US-based nonprofit Microfinance Information Exchange (MIX), IMON International has total assets of USD 41.1 million, a gross loan portfolio of USD 34.1 million, return on assets (ROA) of 6.5 percent, return on equity of 28.5 percent and approximately 28,900 borrowers.
In addition to expanding access to equipment finance, IFC’s Tajikistan Agribusiness Finance and Business Environment Project involves advising government agencies on agricultural sector reform. While other leasing products exist in Tajikistan, the agriculture sector is reportedly underserved because it is seen as high-risk. By collecting better information about farmers, the IFC project will promote leasing as a solution to outdated and unproductive equipment [2]. Over the last three years, IFC has made Tajikistan a focal point of its investment program and its largest funding target in Central Asia, with total commitments of USD 23 million in 11 projects [1].
By Rohan Trivedi, Research Associate
About International Finance Corporation (IFC):
A member of the World Bank Group, the International Finance Corporation (IFC) offers loans, equity investments, advisory services and technical assistance to private companies with the intent of alleviating poverty and promoting open and competitive markets in developing countries. As of 2011, IFC has 182 member countries that drive its policies and approve disbursements. As of June 30, 2010, IFC has net income of USD 1.75 billion, total assets of USD 61 billion, return on assets of 3.1 percent, total investment mobilization of USD 18.4 billion and 528 projects.
About IMON International:
IMON International LLC is a microfinance institution (MFI) serving vulnerable populations in Tajikistan through loans, leasing, consulting and advisory services. Founded by the National Association of Business Women of Tajikistan and US-based nonprofit Mercy Corps in 1999 as Microloans in Tajikistan, the organization grew to operate seven branches and 33 field offices. In 2007, the founders transformed the organization into a commercial operation, IMON International. According to the MIX, as of end-year 2010, IMON International reported assets of USD 41.1 million, a gross loan portfolio of USD 34.1 million and approximately 28,900 borrowers.
Sources and Additional Resources:
[1] International Finance Corporation (IFC) Press Release: “IFC Helps Tajikistan’s IMON International Finance Agricultural Equipment, Boosting Farmers and Economy”, http://www.ifc.org/ifcext/media.nsf/content/SelectedPressRelease?OpenDocument&UNID=248FD77F2B21ED5C8525787A0049AB77
[2] International Finance Corporation (IFC): “Tajikistan Agribusiness Finance and Business Environment Project”, http://www.ifc.org/ifcext/eca.nsf/Content/TajikistanProjectAFBE
MicroCapital.org story, September 15, 2010, “MICROCAPITAL BRIEF: International Finance Corporation (IFC) Planning Microfinance Policy Study Tour in Mongolia to Assist Policymakers in Eastern Europe and Central Asia”, https://www.microcapital.org/microcapital-brief-international-finance-corporation-ifc-planning-microfinance-policy-study-tour-in-mongolia-to-assist-policymakers-in-eastern-europe-and-central-asia/
MicroCapital.org story, August 23, 2010, “MICROCAPITAL BRIEF: Oikocredit Invests Equivalent of $3.95m in IMON International of Tajikistan, The First Microcredit Company of Kyrgyzstan and Credit Union ABN of Kyrgyzstan”, https://www.microcapital.org/microcapital-brief-oikocredit-invests-equivalent-of-3-95m-in-imon-international-of-tajikistan-the-first-microcredit-company-of-kyrgyzstan-and-credit-union-abn-of-kyrgyzstan/
MicroCapital.org story, May 3, 2010, “MICROCAPITAL BRIEF: International Finance Corporation (IFC), National Bank of Tajikistan and Swiss Government Launch Credit Information Bureau in Tajikistan”, https://www.microcapital.org/microcapital-brief-international-finance-corporation-ifc-national-bank-of-tajikistan-and-swiss-government-launch-credit-information-bureau-in-tajikistan/
MicroCapital.org story, March 30, 2010, “MICROCAPITAL BRIEF: International Finance Corporation (IFC) Invests $2m in AccessBank Tajikistan to Help Expand Microfinance Programs”, https://www.microcapital.org/microcapital-brief-international-finance-corporation-ifc-invests-2m-in-accessbank-tajikistan-to-help-expand-microfinance-programs/
MicroCapital.org story, August 12, 2009, “MICROCAPITAL BRIEF: International Finance Corporation (IFC) to Assist Four Microfinance Institutions (MFIs) in Central Asia to Accept Deposits”, https://www.microcapital.org/microcapital-story-international-finance-corporation-ifc-to-assist-four-microfinance-institutions-mfis-in-central-asia-to-accept-deposits/
MicroCapital Universe Profile: International Finance Corporation (IFC), https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=International+Finance+Corporation+%28IFC%29
MicroCapital Universe Profile: IMON International, https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=IMON+International
Browse the MicroCapital Universe and add your entry to the wiki at https://www.microcapital.org/microfinanceuniverse/
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