MICROCAPITAL BRIEF: ResponsAbility Loans $4.1m to ACLEDA Laos, Middle East Micro Credit Company of Jordan

ResponsAbility Social Investments, a Swiss microfinance investment manager, has reached a total of three investment deals with microfinance institution (MFI) ACLEDA Laos Bank, an affiliate of Cambodian public limited company ACLEDA (formerly Associaton of Cambodian Local Economic Development Agencies) Bank and Middle East Micro Credit Company (MEMCC), a for-profit development finance institution in Jordan.

ResponsAbility SICAV Mikrofinanz-Fonds (rAMF), a microfinance investment vehicle (MIV) managed by responsAbility Social Investments, invested USD 299,652 in MEMCC and the local-currency equivalent of USD 750,000 in ACLEDA Laos. The responsibility Global Microfinance Fund (rAGMF), another MIV managed by responsAbility Social Investments, loaned ACLEDA Laos the local-currency equivalent of USD 3 million.

Established in 2003 as an affiliate of US-based nonprofit CHF International, MEMCC reported to the Microfinance Information Exchange (MIX), the US-based nonprofit data provider, a gross loan portfolio of USD 24.9 million and approximately 17,540 borrowers as of May 2012. As of 2011, ACLEDA Laos reports to MIX total assets of USD 56 million and USD 30 million in deposits held.

As of September 2011, responsAbility reported total assets under management of approximately USD 1 billion. rAGMF reported fund assets of USD 532 million, and Mikrofinanz-Fonds reported fund assets of USD 141 million in 2011.

By Brett Cohen, Research Associate

About ACLEDA
ACLEDA Bank is a public limited company based in Cambodia. It was originally founded in January 1993 as The Association of Cambodian Local Economic Development Agencies (ACLEDA), a non-governmental organization aiming to raise the standards of living of poor people by promoting economic activities ranging from self-employment to medium-sized business. It was licensed by the National Bank of Cambodia as a Specialized Bank in October 2000 and as a Commercial Bank in December 2003, when it was renamed ACLEDA Bank. It provides a range of banking services including deposits, loans, cash management and trade services. ACLEDA also works in Laos through is subsidiary, ACLEDA Laos. As of 2010, ACLEDA reported to the US-based nonprofit Microfinance Information Exchange (MIX) total assets of USD 1.16 billion, return on assets of 2.56 percent and return on equity of 22.4 percent. As of September 30, 2011, ACLEDA reported a gross loan portfolio of USD 905 million and 264,000 active borrowers, total assets of USD 56 million and USD 30 million in deposits held.

About Middle East Micro Credit Company

Established in 2003 in Jordan, Middle East Micro Credit Company (MEMCC) is a for-profit development finance institution that operates under the US-based nonprofit CHF International. MEMCC provides business loans to micro-, small, and medium-sized enterprises, as well as home improvement loans to low-income families. MEMCC reported to the Microfinance Information Exchange (MIX), the US-based nonprofit data provider, a gross loan portfolio of USD 24.9 million and approximately 17,540 borrowers as of May 2012.

About ResponsAbility
Founded in 2003, responsAbility Social Investments AG is a Swiss investment company whose products aim to enable investors to earn a financial return while assisting people in emerging markets to access information and markets in sectors such as microfinance, small and medium-sized enterprise (SME) financing, fair trade and independent media. As of September 2011, responsAbility reported total assets under management of approximately USD 1 billion. responsAbility is backed by Swiss financial institutions and a social venture capital company as founders and shareholders including Baumann & Cie, Banquiers, Credit Suisse, Raiffeisen Schweiz, Swiss Re, Bank Vontobel AG as well as George Avenue.

About The responsAbility Global Microfinance Fund (rAGMF)
The responsAbility Global Microfinance Fund (rAGMF) is a microfinance investment vehicle (MIV) managed by Switzerland’s responsAbility Social Investments that invests in microfinance institutions (MFIs) and other MIVs, mostly through short- to medium-term debt securities. rAGMF also invests up to 10 percent of its assets in the equity of MFIs. As of 2012, the fund holds a microfinance label from the Luxembourg Fund Labeling Agency (LuxFLAG), an organization that investigates whether investment vehicles actually support the microfinance sector. rAGMF reported to the US-based nonprofit Microfinance Information Exchange (MIX) fund assets of USD 532 million in 2011.

About ResponsAbility Mikrofinanz-Fonds
Mikrofinanz-Fonds is a microfinance investment vehicle (MIV) that was launched in 2007, is managed by responsAbility Social Investments AG of Switzerland and is funded by German financial institutions Bank im Bistum Essen and Stadtsparkasse Dusseldorf. It invests in short- to medium-term income-bearing debt securities of microfinance institutions (MFIs). As of 2012, the fund holds a microfinance label from the Luxembourg Fund Labeling Agency (LuxFLAG), an organization that investigates whether investment vehicles actually support the microfinance sector. Mikrofinanz-Fonds reported to the US-based nonprofit Microfinance Information Exchange (MIX) fund assets of USD 141 million in 2011.

Sources and Additional Resources

MicroCapital.org story, May 25, 2012: “MICROCAPITAL BRIEF: ResponsAbility Reaches Deals Totaling $7m with Microfinance Institutions KWFT, MicroCred Ivory Coast, PRIDE”
https://www.microcapital.org/microcapital-brief-responsability-reaches-de…

MicroCapital.org story, March 14, 2012: “MICROCAPITAL BRIEF: responsAbility Invests $2m in Jordan’s Middle East Micro Credit Company (MEMCC), Palestine for Credit and Development (FATEN),”
https://www.microcapital.org/microcapital-brief-responsability-invests-2m…

MicroCapital universe Profile: ResponsAbility
https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=res…

MicroCapital Universe Profile: ResponsAbility Global Microfinance Fund
https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=res…

MicroCapital Universe profile: Mikrofinanz-Fonds https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=res…

MicroCapital Universe profile: CHF International

https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=CHF…

MicroCapital Universe Profile: Middle East Micro Credit Company
https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Mid…

MicroCapital Universe Profile: ACLEDA Bank
https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=ACL…

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