Accion Venture Lab, the “seed-stage investment arm” of US-based NGO Accion, recently raised USD 23 million from a co-investment vehicle of third-party funds and USD 10 million from Accion. Accion Venture Lab invests in
MICROCAPITAL BRIEF: Grameen Crédit Agricole Foundation, CA-CIB Loan $6.1m to Fusion Microfinance of India
The Grameen Crédit Agricole (GCA) Foundation and the Crédit Agricole Corporate and Investment Bank (CA-CIB) recently established a loan guarantee scheme in the amount of EUR 5.5 million (USD 6.1 million) on behalf of Fusion Microfinance Limited, a microfinance institution based in northern India. This agreement is part of a program to secure approximately
MICROCAPITAL BRIEF: FMO, PROPARCO Loan $80m to Banco Supervielle of Argentina for SMEs
The Dutch development bank, which is known by the acronym FMO, recently assembled a loan of USD 80 million for Banco Supervielle, a bank in Argentina, to finance small and medium-sized enterprises (SMEs) amid the recession in Argentina. The loan is funded in equal parts by
MICROCAPITAL BRIEF: Engie Acquires Mobisol, Provider of Pay-as-you-go Solar Systems in East Africa
Engie, a France-based, “low-carbon” energy firm, recently agreed to acquire Mobisol, a Germany-based provider of solar-powered products in Kenya, Rwanda and Tanzania, for an undisclosed price. Among the reasons Engie is pursuing the transaction is the opening for “extending its customer base from rural to urban areas.”
Mobisol provides solar-powered products such as lights and telephone chargers that customers pay for via mobile payments over as many as four years. When a buyer wishes to delay a payment, Mobisol can temporarily disable the device remotely.
Engie’s holdings include: (1) Fenix International, which has delivered solar home power systems to
MICROFINANCE PAPER WRAP-UP: “Using Satellite Data in Financial Inclusion;” published by CGAP
By Maria Fernandez Vidal and Peter Bull, published by CGAP (Consultative Group to Assist the Poor), July 2019, 24 pages, available at https://www.cgap.org/sites/default/files/publications/2019_07_Technical%20Guide_Using_Satellite_Data.pdf
In this paper, the authors provide guidance on how satellite data and data analytics can be used by financial service providers (FSPs) to extend the reach
MICROCAPITAL BRIEF: Luxembourg, AFD, BMZ Funding AFI Multi-Donor Financial Inclusion Policy Implementation Facility for Africa
The Ministry of Finance of Luxembourg and the 100-member Alliance for Financial Inclusion (AFI) recently announced the launch of a Multi-Donor Financial Inclusion Policy Implementation Facility (MD-PIF) in partnership with the French government’s Agence Française de Développement (AFD) and the German government’s Bundesministerium für wirtschaftliche Zusammenarbeit und Entwicklung (BMZ). Luxembourg is granting
MICROFINANCE EVENT: Columbia University Social Enterprise Conference; October 11, 2019; New York, USA
Themed “capital for good,” this event’s program is intended to “bring together industry leaders, professionals, academics, students and alumni to share best practices and engender new ideas surrounding the intersection of business and society.” Sample session topics include:
MICROCAPITAL BRIEF: G7 Nations Raise $2.5b for 2X Challenge for Women Entrepreneurs
The Group of Seven (G7) large economies recently announced that they have mobilized a total of USD 2.47 billion in “gender-smart” investments as part of the 2X Challenge, which was initiated in 2018 by the US government’s Overseas Private Investment Corporation (OPIC). The goal of the 2X Challenge is to
MICROCAPITAL BRIEF: Creation Investments Social Ventures Fund IV Closes with $184m to Invest in Microfinance, SME Finance
US-based Creation Investments Capital Management LLC recently met its goal of securing commitments totaling USD 184 million for its Social Ventures Fund IV. The investors were a mix of “existing and new investors including corporate pension plans, funds of funds, insurance companies, endowments and foundations, public pension funds, and family offices.”
With approximately USD 700 million in assets under management as of September 2019, Creation Investments seeks to “serve the
MICROFINANCE EVENT: Social Entrepreneurship World Forum; October 23-25, 2019; Addis Ababa, Ethiopia
The 12th annual Social Entrepreneurship World Forum offers plenaries and workshops such as: (1) Social Entrepreneurship Addressing the Challenges of Migration; (2) Government Policy, Strategy and Support – Realising the Potential of Social Enterprise; and (3) Social Enterprise Impact – the Need for Better Research and Teaching. Other sessions will cover the impact of social entrepreneurship in particular sectors, such as
MICROFINANCE PAPER WRAP-UP: “Taxing Mobile Phone Transactions in Africa: Lessons from Kenya,” by Njuguna Ndung’u
By Professor Njuguna Ndung’u, published by the Africa Growth Initiative at the Brookings Institution, August 2019, 14 pages, available at https://www.brookings.edu/wp-content/uploads/2019/08/Taxing_mobile_transactions_20190806.pdf
In this paper, the author uses data from the Central Bank of Kenya to explore the impact that the taxation of mobile phone financial transactions and airtime may have on the use of mobile
MICROCAPITAL BRIEF: Suicides in Sri Lanka Blamed on Microfinance Loans, Regulation Criticized
At least 170 people in Sri Lanka reportedly took their own lives during 2018 after being unable to repay their microloan debt. Interest rates in the country have ranged up to
MICROCAPITAL BRIEF: BIO Loans $7m to Banco VisionFund Ecuador for Microfinance
Banco VisionFund Ecuador (BVE), a for-profit microfinance institution and member of VisionFund International, recently borrowed USD 7 million from the government-owned Belgian Investment Company for Developing Countries, which is also known by its Dutch acronym BIO. The funding is intended to grow BVE’s portfolio, including in underserved areas.
BVE was formed in 2016 by the transformation of the nonprofit
MICROCAPITAL BRIEF: CDC, Omidyar Network, Accel Lead $21m Equity Funding Round for Indifi Technologies, Lender to SMEs in India
The CDC Group, the UK’s development finance institution, recently invested USD 15 million as part of a USD 21 million fundraising round for Indifi Technologies, a digital lender to small and medium-sized enterprises (SMEs) in India. Two US-based investors, Omidyar Network and Accel, also
SPECIAL REPORT: Al-Fal Boosts Rural, Interest-free, Value Chain Microfinance in Sudan via SAM, the Pan-African Conference on Financial Inclusion
Two years ago, 
Elkhidir Elamin Mohammed (pictured below), the managing director of Al-Fal Microfinance, was the only attendee from Sudan at the SAM conference in Addis Ababa. Because Al-Fal lends in compliance with Islamic law, Mr Elkhidir was keen to network with others on the topic of interest-free lending. As a result of meeting Dr Mebrahtu Meles, Ethiopia’s Minister of Industry, Mr Elkhidir connected with
MICROCAPITAL BRIEF: EFSE Loans $33m to Erste Bank Montenegro for Housing Microfinance
The European Fund for Southeast Europe (EFSE), a microfinance investment vehicle domiciled in Luxembourg, recently announced it has lent EUR 30 million (USD 33 million) to Erste Bank Montenegro, a commercial banking member of the Austria-based Erste Group, to expand housing finance in Montenegro. Erste Bank Montenegro CEO Aleksa Lukic commented
MICROCAPITAL BRIEF: Sierra Leone Launching National Digital Identity Platform in Partnership with Kiva, Rippleworks, UNCDF, UNDP
The government of Sierra Leone recently launched “Africa’s first blockchain and decentralized identity implementation” in partnership with Kiva, a US-based nonprofit microfinance fundraiser, as well as the UN Capital Development Fund (UNCDF) and the UN Development Programme (UNDP). The national digital identity platform is powered by
MICROFINANCE EVENT: Fintech and Insurtech Innovator Summit (FINNOSUMMIT) for Innovation on Financial Services in Latin America; September 10-13, 2019; Mexico City
This eighth iteration of this event offers speakers, panels and workshops related to financial technology (fintech) and insurance technology (insurtech), as well as access to two startup competitions. Session topics include