Incofin Investment Management, a firm based in Belgium, recently made loans totaling the equivalent of USD 3.5 million to microfinance institutions (MFIs) in Russia and Bolivia.
The Impulse Fund, a microfinance investment vehicle (MIV) managed by Incofin, invested RUB 60 million (USD 2 million) in Forus Bank, a Russian bank that provides credit to micro- and small enterprises [1]. As of 2009, Forus Bank reported to the US nonprofit data provider Microfinance Information Exchange (MIX) total assets of USD 39 million, a gross loan portfolio of USD 33 million, approximately 9,900 borrowers, return on assets (ROA) of -11.2 percent and return on equity (ROE) of -85.6 percent.
The Rural Impulse Fund II, another MIV managed by Incofin, loaned USD 1.5 million to CIDRE (Centro de Investigación y Desarrollo Regional), a nonprofit that provides financial services encouraging the development of farming and livestock in rural Bolivia [1]. As of 2009, CIDRE reported to MIX total assets of USD 15.9 million, a gross loan portfolio of USD 11.5 million, approximately 2,800 borrowers, ROA of 3.9 percent and ROE of 12.9 percent.
By Medha Ravi, Research Associate
About Incofin Investment Management:
Incofin Investment Management (Incofin) develops and manages funds investing in microfinance institutions (MFIs) in emerging countries. Incofin manages assets, which are spread over five facilities, that total EUR 180 million (USD 216 million). Incofin has invested in approximately 70 MFIs in 30 countries on 4 continents. Incofin’s head office is in Antwerp, Belgium.
About Incofin Impulse Microfinance Fund:
The Incofin Impulse Microfinance Fund was launched in 2004 by Incofin and four other Belgian financial groups: KBC Bank, one of Belgium’s largest banks; Volksvermogen, a Belgian financial holding group; Boerenbond, the Belgian professional association of agricultural entrepreneurs; and VDK Spaarbank, a Belgian savings bank. The Fund invests in microfinance institutions (MFIs), which are retail micro-lenders, through loans and debt securities. The Fund is managed by Incofin Investment Mangement, a fund manager specializing in microfinance investment.
About Forus Bank:
Forus Bank is a banking microfinance institution (MFI) founded in Nizhniy Novgorod in 2005 by the Fora Fund, a non-profit microfinance organization in Russia. Forus Bank offers supportive financial services for micro- and small businesses, covering 11,000 customers through a 42-branch network. As of 2009, Forus Bank reported to the US nonprofit data provider Microfinance Information Exchange (MIX) total assets of USD 39 million, a gross loan portfolio of USD 33 million, approximately 9,900 borrowers, return on assets (ROA) of -11.2 percent and return on equity (ROE) of -85.6 percent.
About CIDRE (Centro de Investigación y Desarrollo Regional):
Founded in 1981, CIDRE (Centro de Investigación y Desarrollo Regional) is a nonprofit that provides financial services encouraging the development of farming and livestock in rural Bolivia. CIDRE is active in five of Bolivia’s nine states, principally in rural areas. As of 2009, CIDRE reported to the US nonprofit data provider the Microfinance Information Exchange (MIX) total assets of USD 15.9 million, a gross loan portfolio of USD 11.5 million, approximately 2,800 borrowers, return on assets (ROA) of 3.9 percent and return on equity (ROE) of 12.9 percent.
(ROE) of 12.9 percent.
Source and Resources:
[1] Data submitted by Incofin Investment Management to MicroCapital, March 2011
MicroCapital.org story, September 30, 2010, “MICROCAPITAL BRIEF: Central and Eastern Europe (CEE) Microfinance Holdings NV Acquires Microfinance Institutions (MFIs) Opportunity Albania, Inicjatywa Mikro of Poland and Forus Bank of Russia”, https://www.microcapital.org/microcapital-brief-central-and-eastern-europe-cee-microfinance-holdings-nv-acquires-microfinance-institutions-mfis-opportunity-albania-inicjatywa-mikro-of-poland-and-forus-bank-of-russia/
MicroCapital.org story, June 8, 2010, “MICROCAPITAL BRIEF: The European Investment Bank, The International Finance Corporation (IFC), KfW Entwicklungsbank, The Belgian Investment Company for Developing Countries (BIO), The Netherlands Development Finance Company (FMO) and Incofin Investment Management Launch Rural Impulse II, a Rural Microfinance Fund”, https://www.microcapital.org/microcapital-brief-the-european-investment-bank-the-international-finance-corporation-ifc-kfw-entwicklungsbank-the-belgian-investment-company-for-developing-countries-bio-the-netherlands-deve/
MicroCapital.org story, July 27, 2010, “MICROCAPITAL BRIEF: Oikocredit Invests $4.7m in Bolivian Microfinance Institutions (MFIs); CIDRE (Centro de Investigacion y Desarrollo Regional), CRECER (Credito con Educacion Rural), FUBODE (Bolivian Development Foundation) and Diaconia FRIF (Fondo Rotativo de Inversion y Fomento)”, https://www.microcapital.org/microcapital-brief-oikocredit-invests-4-7m-in-bolivian-microfinance-institutions-mfis-cidre-centro-de-investigacion-y-desarrollo-regional-crecer-credito-con-educacion-rural-fubode-bolivian/
MicroCapital’s Microfinance Universe Profile: Incofin Investment Management, https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Incofin+Investment+Management+%28Incofin+IM%29
MicroCapital’s Microfinance Universe Profile: Incofin Impulse Microfinance Fund, https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=responsAbility+Microfinance+Leaders+Fund+%28rAMLF%29
MicroCapital’s Microfinance Universe Profile: Incofin Rural Impulse Fund, https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Incofin+Rural+Impulse+Fund+%28RIF%29
MicroCapital’s Microfinance Universe Profile: Forus Bank, https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Forus+Bank
MicroCapital’s Microfinance Universe Profile: CIDRE (Centro de Investigación y Desarrollo Regional), https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=CIDRE
Browse the MicroCapital Universe and add your entry to the wiki at: https://www.microcapital.org/microfinanceuniverse/
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