Corporacion Andina de Fomento (CAF), a development finance organization that was founded in 1970 and is headquartered in Caracas, Venezuela, recently increased its credit line to Banco ProCredit Ecuador, a bank that provides financial services to micro-, small and medium-sized enterprises, from USD 8 million to USD 12 million. The extended credit limit will help Banco ProCredit Ecuador expand lending in previously marginalized communities. Banco ProCredit Ecuador is a member of Germany’s ProCredit Holding Group, which operates twenty-one banks in transition economies and developing countries in Eastern Europe, Latin America and Africa. CAF’s decision to increase Banco ProCredit’s line of credit is aligned with its agenda to promote equity and inclusiveness in supporting economic growth.
In 2009, Banco ProCredit Ecuador reported to the Microfinance Information Exchange (MIX), the microfinance information clearinghouse, total assets of USD 330 million, a gross loan portfolio (GLP) of USD 235 million, return on assets of 1.50 percent, return on equity of 12.10 percent and 54,800 active borrowers. Meanwhile ProCredit Holding reported total assets of EUR 4.9 billion (USD 6 billion) and GLP of EUR 3.3 billion (USD 4 billion) in the same year. In 2009, CAF reported total capital of USD 10 billion and total assets of USD 15.9 billion.
By Julie Moksim, Research Associate
About Banco ProCredit Ecuador: Banco ProCredit Ecuador is a development-oriented bank that was established in Ecuador in 2001. Banco ProCredit offers financial services and products to micro-, small and medium-sized enterprises in an effort to contribute to the country’s economic growth. Banco ProCredit Ecuador is a member of Germany’s ProCredit Holding Group, which operates twenty-one banks in transition economies and developing countries in Eastern Europe, Latin America and Africa. Banco ProCredit Ecuador reported to the Microfinance Information Exchange (MIX), the microfinance information clearinghouse, in 2009 total assets of USD 330 million, a gross loan portfolio of USD 235 million, return on assets of 1.50 percent, return on equity of 12.10 percent and 54,800 active borrowers.
About ProCredit Holding Group: ProCredit Holding consists of twenty-one banks operating in transition economies and developing countries in Eastern Europe, Latin America and Africa. It provides credit and other banking services to small and medium-sized enterprises and lower- and middle-income savers who have limited access to formal financial services. As of 2009 it had reported assets of EUR 4.9 billion (equivalent to USD 6 billion) and a gross loan portfolio of EUR 3.3 billion (equivalent to USD 4 billion).
About Corporacion Andina de Fomento (CAF): CAF is a multilateral financial institution owned by 16 shareholder countries and 14 private banks from Latin America and the Caribbean, as well as Spain and Portugal. It was established in 1970 in Caracas, Venezuela. It provides loans for purposes such as microfinance, infrastructure, and health in Latin America and the Caribbean. It also provides financial advisory services and technical services. As of 2009, CAF reported total capital of USD 10 billion and total assets of USD 15.9 billion.
Sources and Resources:
Corporacion Andina de Fomento (CAF): “CAF Approves Increase in Line of Credit to Banco ProCredit Ecuador”, January 20, 2011, http://www.caf.com/view/index.asp?ms=19&pageMs=62270&new_id=74867
MicroCapital’s Microfinance Universe Profile: Banco ProCredit Ecuador
https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Banco+ProCredit+Ecuador
MicroCapital’s Microfinance Universe Profile: ProCredit Holding Group
https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Procredit+Holding
MicroCapital’s Microfinance Universe Profile: Corporacion Andina de Fomento (CAF)
Browse the MicroCapital Universe and add your entry to the wiki at: https://www.microcapital.org/microfinanceuniverse/
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