International Finance Corporation (IFC), a member of the World Bank Group, is acquiring an 18 percent stake in the National Rural Support Programme Microfinance Bank (NRSP MF Bank), a Pakistani microfinance institution (MFI), in an effort to increase access to finance for farmers [1]. The investment will support the bank in its efforts to provide farmers with the access to crop and livestock loans and develop deposit products [1].
This project will help the many small farmers that make up Pakistan’s vital agricultural sector, said Dimitris Tsitsiragos, IFC Director for Middle East, North Africa and Southern Europe. In this time of rapidly rising global food prices, providing access to finance for the world’s farmers is more important than ever, he remarked [1].
By: Alexandra Pattee, Research Associate
About International Finance Corperation (IFC): The International Finance Corporation (IFC) is a member of the World Bank Group that was created to support private sector development, mobilize private capital and provide advisory and risk mitigation services to businesses and services. IFC offers loans, equity investments, advisory services and technical assistance to private companies with the intent of alleviating poverty and promoting open and competitive markets in developing countries. As of 2011, IFC has 182 member countries that drive its policies and approve disbursements. As of June 30, 2010, IFC has net income of USD 1.75 billion, total assets of USD 61 billion, return on assets of 3.1 percent, total investment mobilization of USD 18.4 billion and 528 projects.
About National Rural Support Program Microfinance Bank (NRSP MF Bank): National Rural Support Program Microfinance Bank (NRSP MF Bank) is a microfinance bank based in Islamabad, Pakistan. Founded in 1991, NRSP MF Bank is the licensed banking arm of the National Rural Support Program (NRSP), a microfinance institution (MFI), which offers microcredit, microsavings and microinsurance products to the nation’s poor. The bank operates in 46 districts in Pakistan and has approximately 576,000 active borrowers. As of 2009, NRSP reported total assets of USD 81.5 million, return on assets (ROA) of 2.31 percent and return on equity (ROE) of 16.3 percent. NRSP is not a government-backed organization.
Sources and Resources:
[1] Pakistan Observer, “IFC will help NRSP to finance small farmers”, http://pakobserver.net/detailnews.asp?id=81001
MicroCapital.org Article, March 21, 2011, “State Bank of Pakistan (SBP) Announces Launch of $16m Financial Innovation Fund, Support for Mainstreaming Microfinance into Formal Banking System”, https://www.microcapital.org/microcapital-brief-state-bank-of-pakistan-sbp-announces-launch-of-16m-financial-innovation-fund-support-for-mainstreaming-microfinance-into-formal-banking-system/
MicroCapital.org Article, March 13, 2011, “International Finance Corporation (IFC) Purchases $48m Equity Stake in Rizal Commercial Banking Corporation (RCBC) of Philippines Aimed At Increasing Lending to Microfinance Clients, Home Buyers, Small and Medium-Sized Enterprises (SMEs)”, https://www.microcapital.org/microcapital-brief-international-finance-corporation-ifc-purchases-48m-equity-stake-in-rizal-commercial-banking-corporation-rcbc-of-philippines-aimed-at-increasing-lending-to-microfinance-client/
MicroCapital.org Article, February 7, 2011, “Pakistan Telecommunication Company Limited (PTCL) to Provide Connectivity and Surveillance Products to National Rural Support Program (NRSP) Microfinance Bank”, https://www.microcapital.org/microcapital-brief-pakistan-telecommunication-company-limited-ptcl-to-provide-connectivity-and-surveillance-products-to-national-rural-support-program-nrsp-microfinance-bank/
MicroCapital’s Microfinance Universe profile: International Finance Corporation (IFC), https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=International+Finance+Corporation+%28IFC%29
MicroCapital’s Microfinance Universe profile: National Rural Support Program Microfinance Bank (NRSP MF Bank), https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=National+Rural+Support+Program+Microfinance+Bank+(NRSP+MF+Bank)
Browse the MicroCapital Universe and add your entry to the wiki at: https://www.microcapital.org/microfinanceuniverse/
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