MICROCAPITAL BRIEF: Oikocredit Invests $5m in Alalay Sa Kaunlaran Inc of the Philippines, Capital Aid Fund for Employment of the Poor (CEP) of Vietnam, The TYM Fund of Vietnam and Thaneakea Phum (Cambodia) Limited

Oikocredit, a Dutch cooperative investment fund, recently reported to MicroCapital the details of investments in four microfinance institutions (MFIs) in East Asia: Alalay Sa Kaunlaran Inc (ASKI) of the Philippines, Capital Aid Fund for Employment of the Poor (CEP) of Vietnam, The TYM Fund of Vietnam and Thaneakea Phum (Cambodia) Limited. The details of these transactions, totaling the equivalent of USD 5 million, are as follows.

Oikocredit loaned KHR 8.2 million (the equivalent of USD 1.94 million) to Thaneakea Phum (Cambodia) Limited, a microfinance institution based in Cambodia. As of year-end 2009, TPC reports to the Microfinance Information Exchange (MIX), the microfinance information clearinghouse, total assets of USD 28.3 million, a gross loan portfolio of USD 17.5 million and 91,170 active borrowers.

Oikocredit loaned PHP 25 million (the equivalent of USD 538,688) to Alalay Sa Kaunlaran, Inc (ASKI), a non-stock, non-profit microfinance organization operating primarily in the Northeastern portion of Luzon in the Philippines. As of year-end 2009, ASKI reports to MIX assets of USD 15.6 million, a gross loan portfolio of USD 9.59 million and 41,451 active borrowers.

Oikocredit loaned VND 11.6 billion (the equivalent of USD 609,741) to The TYM Fund, a Vietnamese MFI that provides savings, loans, education, advice and social activities to its clients and communities. As of year-end 2009, the TYM Fund reports to MIX assets of USD 11.9 million, a gross loan portfolio of USD 9.8 million and 40,282 active borrowers.

Finally, Oikocredit loaned VND 36.3 billion (the equivalent of USD 1.9 million) to the Capital Aid Fund for Employment of the Poor (CEP) of Vietnam, a microfinance institution that provides credit and income-generating opportunities to vulnerable populations in Ho Chi Minh City. As of year-end 2009, CEP reports to MIX assets of USD 29.8 million, a gross loan portfolio of USD 28.3 million and 134,141 active borrowers.

As of year-end 2009 Oikocredit reported USD 665 million in total assets with 790 active investments, of which 543 were in MFIs.

By Lindsey Shaughnessy, Research Associate

About Oikocredit: Oikocredit is a Dutch cooperative investment fund comprised of church groups, social support groups and individual investors. Established in 1975, it works in 70 countries worldwide, investing mainly in microfinance institutions (MFIs), as well as trade cooperatives, fair trade organizations and small and medium-sized enterprises (SMEs) in the developing world. As of year-end 2009, Oikocredit reported USD 665 million in total assets with 790 active investments, of which 543 were in MFIs.

About Alalay Sa Kaunlaran, Inc (ASKI): ASKI is a non-stock, non-profit organization operating primarily in the Northeastern portion of Luzon, the Philippines. ASKI was established in 1987 with the objectives of alleviating poverty and promoting socioeconomic development in Nueva Ecija. ASKI also focuses on promoting spiritual transformation and bringing about fullness of life by harnessing the resources of development organizations for the benefit of those living in poverty. As of end-year 2009, ASKI reports to the Microfinance Information Exchange (MIX) assets of USD 15.6 million, a gross loan portfolio of USD 9.59 million and 41, 451 active borrowers.

About Capital Aid Fund for Employment of the Poor (CEP) of Vietnam: Capital Aid Fund for Employment of the Poor (CEP) of Vietnam was founded by the Labour Confederation of Ho Chi Minh City to create employment and income-generating opportunities for poor families through the provision of credit. CEP has expanded its outreach in Ho Chi Minh City and currently operates in each of the City’s 24 districts. As of end-year 2009, CEP reports to the Microfinance Information Exchange (MIX) assets of USD 29.8 million, a gross loan portfolio of USD 28.3 million and 134,141 active borrowers.

About Thaneakea Phum (Cambodia) Limited (TPC): TPC was launched in 1994 as part of the Small Enterprise Development program of Catholic Relief Services (CRS) in Cambodia. In 2002, CRS/TPC officially incorporated to become Thaneakea Phum (Cambodia) Ltd. – a limited liability company. In 2003, TPC received its licensed from the National Bank of Cambodia as a licensed Microfinance Institution. As of end-year 2009, TPC reports to the Microfinance Information Exchange (MIX), the microfinance information clearinghouse, total assets of USD 28.3 million, a gross loan portfolio of USD 17.5 million and 91,170 active borrowers.

About The TYM Fund of Vietnam: The TYM (for Tao Yeu May, “I love you” in Vietnamese) Fund was founded in 1992 by the Vietnam Women’s Union in order to help implement the poverty alleviation programme of the Government. It was originally a replication of the Grameen banking model adapted to the specific context of Vietnam. TYM operates 44 outlets in ten northern and central Vietnamese provinces, and provides savings, loans, education, advice and social activities to its clients and communities. As of year-end 2009, the TYM Fund reports to the Microfinance Information Exchange (MIX), the microfinance information clearinghouse, assets of USD 11.9 million, a gross loan portfolio of USD 9.8 million and 40,282 active borrowers.

Sources and Additional Resources:

[1] Per data submitted by Oikocredit to MicroCapital July, 2010

MicroCapital’s Microfinance Universe profile: Oikocredit

MicroCapital’s Microfinance Universe profile: Alalay Sa Kaunlaran, Inc (ASKI)

MicroCapital’s Microfinance Universe profile: Capital Aid Fund for Employment of the Poor (CEP) of Vietnam

MicroCapital’s Microfinance Universe profile: Thaneakea Phum (Cambodia) Limited

MicroCapital’s Microfinance Universe profile: The TYM Fund of Vietnam

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