The Microfinance Capital Markets Newsletter of the Consultative Group to Assist the Poor (CGAP) reported that Dexia Micro-Credit Fund, a Luxembourg-based fund, issued loans of USD 1 million to microfinance institution (MFI) CCA of Cameroon, USD 1 million to MFI Credo of Georgia, USD 5 million to Bolivian bank BancoSol, USD 5 million to MFI FINDESA of Nicaragua, USD 5 million to Azerbaijani bank MFBA, USD 3 million to ProCredit Holding, USD 5 million to ProCredit Bank, USD 1.5 million to MFI LOKmicro of Bosnia, and USD 500,000 to MFI AMK of Cambodia.
Category: Deals
MICROCAPITAL STORY: IMON Receives USD 1.5 million in Investments from Incofin and MicroCredit Enterprises
The Consultative Group to Assist the Poor (CGAP) recently reported International Microloan Fund (IMON), a non-bank microfinance institution based in Tajikistan, received loan investments of USD 500 thousand from US-based MicroCredit Enterprises and USD 1 million from Incofin of Belgium this past February 2008.
MICROCAPITAL STORY: Luxembourg-based responsAbility Global Microfinance Fund Loans $3m to FINCA Kyrgyzstan
The Consultative Group to Assist the Poor (CGAP) recent list of transactions reported Luxembourg-based responsAbility Global Microfinance Fund invested USD 3 million in loans to the Foundation for International Community Assistance (FINCA) Kyrgyzstan this past January 18, 2008.
MICROCAPITAL STORY: European Bank for Reconstruction and Development (EBRD) Lends $1.5m to Microfinance Institution (MFI) Credo of Georgia
The European Bank for Reconstruction and Development (EBRD), a multilateral development bank serving European and Asian ex-Communist economies, will loan USD 1.5 million to Credo, Georgia’s second-largest microfinance institution (MFI) by loan portfolio size, according to the Financial.
MICROCAPITAL STORY: The Federal Executive Council (FEC) of Nigeria Approves $27.2m Loan from the International Fund for Agricultural Development (IFAD) for Rural Microfinance
The Federal Executive Council (FEC) of Nigeria, presided over by President Umaru Musa Yar’Adua, approved a USD 27.2 million loan from the International Fund for Agricultural Development (IFAD), as reported by AllAfrica.com. The loan, along with a USD 400,000 grant from IFAD, will constitute the core financing of IFAD’s Rural Finance Institution-Building Programme (RFIBP), a seven-year plan to strengthen rural microfinance institutions (MFIs) in Nigeria as well as establish increased linkages between MFIs and mainstream financial institutions. As stated in the September 2006 submission from the Executive Board of IFAD to the government of Nigeria, the official recipient of the loan is the Federal Republic of Nigeria and the loan terms are for 40 years, including a grace period of ten years, and a service charge of 0.75 percent per year (page vi). The Federal Ministry for Agriculture and Rural Development will implement the RFIBP (page 10).
MICROCAPITAL STORY: South African Microfinance Institution (MFI) Blue Financial Services and Nigeria’s Intercontinental Bank to Launch $25.9m Microfinance Bank
Blue Financial Services (BFS), a South African microfinance institution (MFI), and Intercontinental Bank Plc, Nigeria’s largest commercial and retail bank by assets, are collaborating to launch a Nigerian microfinance bank capitalized at NGN 3 billion (USD 25.9 million), the largest such institution in the country.
NEWS WIRE: Nigeria: AIG, Blue Financial Services, Intercontinental Bank (ICB) to Invest $20m in New Microfinance Institution
Souce: Business Day.
NEWS WIRE: Bangladesh: Citibank Bangladesh Provides $65m in Equivalent Local Currency Credit Facility to Leading Microfinance Institutions (MFIs)
Source: The New Nation (Bangladesh).
MICROCAPITAL STORY: European Bank for Reconstruction and Development (EBRD) Lends $1m to Microfinance Institution (MFI) IMON of Tajikistan
The European Bank for Reconstruction and Development (EBRD), a multilateral development bank focused on European and Asian ex-Communist economies, will provide a USD 1 million loan to IMON, a Tajikistan-based microfinance institution (MFI) – its third such loan thus far.
PRESS RELEASE: Micro Finance Bank of Azerbaijan (MFBA) Completes $25m Bond Issue Arranged by Developing World Markets (DWM)
Source: Micro Finance Bank of Azerbaijan (MFBA).
PRESS RELEASE: Netherlands Development Finance Company (FMO) Enters Afghani Microfinance Arena With Loan of $9m in Local Currency to First MicroFinanceBank Afghanistan
Source: Netherlands Development Finance Company (FMO).
MICROCAPITAL STORY: Producers Rural Banking Corporation (PRBC) Receives $34m Credit Line for Microfinance Activities in the Philippines
Producers Rural Banking Corporation (PRBC), a Manila-based microfinance institution (MFI) serving the countryside of the island of Luzon, has received a line of credit worth Philippine Peso (PHP) 1.4 billion, or USD 34 million, from both public and private institutions, according to the Philippine Daily Inquirer. These funds will be onlent to individual clients of PRBC. The bank does not report to the MIX Market, the microfinance information clearinghouse, nor do they maintain a Web presence.
MICROCAPITAL STORY: Citi teams with IFC to Support Expansion of BRAC Microlending in Bangladesh with USD 22M, Part of USD 55M Financing Deal
In a deal announced earlier this month and finalized last week the International Finance Corporation (IFC), a member of the World Bank group, has teamed up with Citigroup to loan USD 22 million to the microlending efforts of the Bangladeshi-based organization BRAC, formerly known as the Bangladeshi Rural Action Committee. The trenche is part of a larger financing plan of USD 55 million, of which USD 42 million will be provided by Citi. Citi Bangladesh and BRAC have worked together in the past several years to provide innovative microcredit solutions for Bangladesh, most recently in the first-ever implementation of a backstop facility for a microbank, which allows BRAC to lean on Citi in unfavorable market conditions rather than default on creditors.
MICROCAPITAL STORY: Nigerian Government Creates $426m Microcredit Development Fund
Nigerian President Alhaji Musa Yar’Adua announced the creation of an N50 billion (the equivalent of over USD 426 million) microcredit development fund to be administered by the Central Bank of Nigeria (CBN). The new fund will be used to provide existing microfinance institutions (MFIs) with funding for credit creation and operational expenses.
MICROCAPITAL STORY: Green Microfinance of USA and MicroEnergy International of Germany Launch Program to Promote Clean Energy Through Microcredit
Green Microfinance (GMf) of Pennsylvania and MicroEnergy International (ME) of Germany recently announced the creation of Energizing India, a program that aims to promote clean energy products throughout India. The first phase of the project will focus on four provinces in southern India and will be implemented through a partnership with the microfinance institution (MFI) Evangelical Social Action Forum (ESAF).
MICROCAPITAL STORY: St. Honoré Microfinance Fund invests USD 150,000 in FOLADE (Fondo Semilla)
According to the Consultative Group to Assist the Poor (CGAP) report of recent transactions, St. Honoré Microfinance Fund invested USD 150,000 in The Latin American Development Fund, FOLADE (Fondo Semilla) this past January 10, 2008.
MICROCAPITAL STORY: Oikocredit of the Netherlands Invests $7.4m in Eastern Europe, Central Asia and Latin America in January 2008
The Microfinance Capital Markets Newsletter of the Consultative Group to Assist the Poor (CGAP) and the MIX, the microfinance information clearinghouse reported that Oikocredit, a co-operative financial development institution in the Netherlands, issued loans totaling USD 7.4 million in January 2008. Of this total, USD 3.95 million was invested in three microfinance institutions (MFIs) in Eastern and Central Asia: Opportunity Bank, Kompanion, and Microloan Fund (MLF) Microinvest. The remaining USD 3.45 million was invested in three MFIs in Latin America: Prestanic, FONDECO, and MiCrédito.
MICROCAPITAL STORY: International Finance Corporation (IFC), a Member of the World Bank Group, to Lend $20m in Debt and Invest $400k in Advisory Services to Banco Ficohsa of Honduras
The International Finance Corporation (IFC), a member of the World Bank Group, will invest up to USD 20 million in debt and USD 400,000 in advisory services for the expansion of the small and medium enterprise (SME) lending and housing finance operations of Banco Ficohsa, the third largest bank in Honduras.