The European Fund for Southeast Europe (EFSE), a microfinance investment vehicle (MIV) advised by Finance in Motion and managed by Oppenheim Asset Management Services, has provided ProCredit Bank, the Moldovan operation of ProCredit Holding, with a long-term, synthetic loan in Moldovan leu (MDL) equivalent to USD 7 million for on-lending to micro- and small enterprises.
As of year-end 2009, ProCredit Moldova had a gross loan portfolio of USD 38.1 million, total assets of USD 46.8 million and 6,715 active borrowers. Procredit Holding consists of 21 banks operating in transition economies and developing countries in Eastern Europe, Latin America and Africa. As of 2009 it had total 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).
By Witt Gatchell, Research Associate
About European Fund for Southeast Europe (EFSE):
Established in 2005, the European Fund for Southeastern Europe aims to foster economic development in southeastern Europe and parts of Central Asia by providing financial services to low-income households and micro- and small enterprises via local financial institutions. EFSE is privately managed with Oppenheim Asset Management Services acting as its fund manager and Finance in Motion GmbH acting as fund advisor. As of December 31, 2009, EFSE has an outstanding investment portfolio of EUR 578 million (USD 775 million). LuxFLAG, an independent organization that certifies that microfinance vehicles actually invest in the microfinance sector, renewed EFSE’s label as of April 2010.
About ProCredit Bank Moldova:
Founded in 1999, ProCredit Bank Moldova provides financial services to micro-, small and medium-sized enterprises in Moldova. It is operated by ProCredit Holding, an international organization consisting of 22 banks in Eastern Europe, Africa, Latin America and South America. ProCredit Bank Moldova has USD 32 million worth of assets as of December 31, 2008, and ProCredit Holding has assets worth EUR 4.7 billion (the equivalent of USD 6.5 billion) as of September 30, 2009.
About ProCredit Holding:
Procredit Holding consists of 21 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 previously had limited access to formal financial services. As of 2009 it had total 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).
Sources and Additional Resources:
[1] EFSE Press Release: “EFSE and ProCredit Bank in Moldova sign agreement on synthetic local currency loan” http://www.efse.lu/news-events/press-releases/archive/press-releases-201…
MicroCapital’s Microfinance Universe profile: EFSE
https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Eur…
MicroCapital’s Microfinance Universe profile: ProCredit Bank Moldova
https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Pro…
Browse the MicroCapital Universe and add your entry to the wiki at https://www.microcapital.org/microfinanceuniverse/
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