MICROCAPITAL BRIEF: MFIs in Bosnia and Herzegovina, Georgia, India, Panama, Tajikistan, Uzbekistan Refinance $38m in Microloans via Sales to IIV Mikrofinanzfonds

Microfinance institutions (MFIs) in six countries recently sold non-securitized loan claims for USD 7.8 million-plus EUR 28 million (USD 30.4 million) to IIV Mikrofinanzfonds, a fund managed by Germany-based Invest in Visions (IIV). While the MFIs have not been named, they are located in Bosnia and Herzegovina, Georgia, India, Panama, Tajikistan and Uzbekistan.

Launched in 2006, IIV offers “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. Its “focus is on small- and medium-sized MFIs, particularly in rural areas.” The minimum investment in the fund is EUR 100 (USD 109). Since inception, it has produced average annual returns of 1.9 percent and 2.38 percent for its two investor classes. As of March 2020, with a volume of EUR 799 million (USD 867 million), the fund supported 320,000 microborrowers with an average loan size of USD 2,300. Of these microborrowers, 58 percent are women.

By Madigan Ruch, Research Associate

Sources and Additional Resources

IIV Mikrofinanzfonds monthly report
https://www.investinvisions.com/files/2003_factsheet_maerz_2020_englisch.pdf

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

MicroCapital on previous Mikrofinanzfonds transactions
https://www.microcapital.org/microcapital-brief-invest-in-visions-iiv-mikrofinanzfonds-refinances-26m-in-microloans-for-mfis-in-cambodia-ecuador-georgia/

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