Entities of two Dutch institutions, the government-controlled development bank FMO and the foundation-controlled Triodos Bank, recently invested equity in Nicaragua’s Financiera FAMA for the first time. In addition, founding shareholder Accion, a US-based NGO, increased its stake in the microfinance institution. Neither the sizes nor the prices of the stakes have been released. FMO has provided FAMA with technical assistance and loans since 2007.
FAMA General Manager Victor M Telleria G said the new investment will enable his institution “to reach more people throughout Nicaragua with a broader suite of financial services.”
FAMA, which was founded in 1991, serves 580,000 borrowers as of 2017. In addition to micro-, small and medium-sized enterprises, it offers loans for consumption, vehicles and housing. As of 2016, it reports total assets of NIO 1.9 billion (USD 62 million).
The vision of FMO is to help abolish extreme poverty, increase equality and support measures that reduce climate change. It reports total assets of EUR 8.5 billion (USD 9.5 billion) and profit before taxes of EUR 219 million (USD 245 million) for the year 2016.
Triodos Investment Management, a wholly owned subsidiary of Triodos Bank of the Netherlands, manages funds in a range of sectors including financial sector development in developing countries, renewable energy finance and venture capital. As of 2016, Triodos Bank reports total assets of EUR 9.1 billion (USD 10.6 billion). Triodos Bank is held by Stichting Administratiekantoor Aandelen Triodos Bank (the Foundation for the Administration of Triodos Bank Shares).
The mission of Accion is to help financial services providers deliver “affordable products” to those who are not served well by the financial sector. Founded in 1961, Accion partners with 90 institutions in 40 countries as of 2017. As of 2016, Accion and its partners held an aggregate active loan portfolio of USD 8.4 billion and USD 4.5 billion in deposits for 5.9 million clients.
Sources and Additional Resources
FMO press release
https://www.fmo.nl/news-detail/be379592-7418-42e7-914f-82f6deb14bff/fmo-enhances-access-to-capital-for-the-underserved-in-nicaragua
FAMA
http://financierafama.com.ni/
Triodos
https://www.triodos.com/
Accion
http://www.accion.org/
Do you know that MicroCapital publishes the MicroCapital Monitor newspaper each month? Find our more at https://www.microcapital.org/products-page/.
Similar Posts:
- MICROCAPITAL BRIEF: UNI2 Microcrédito of Colombia Raises $3m in Debt from Triodos Microfinance Fund, Triodos Fair Share Fund
- MICROCAPITAL BRIEF: Accion Venture Lab, Brick & Mortar Ventures Lead $3.4m Equity Raise for Licify to Expand Vende+ Construction Portal from Colombia to Mexico
- MICROCAPITAL BRIEF: FMO Committing $30m to South Asia Growth Fund III to Support Equity Placements in Businesses Reducing Environmental Impacts, Mainly in India
- MICROCAPITAL BRIEF: Maquita Cushunchic Borrowing $2m from DID Aequitas Fund for Microfinance, Small-enterprise Lending in Ecuador
- MICROCAPITAL BRIEF: Impact Asset Management’s Dual Return Vision Microfinance Funds Issue Loans to MFIs in Ecuador, Georgia, Kyrgyzstan, Paraguay
