MICROCAPITAL BRIEF: Triple Jump Disburses Loan From Oxfam Novib Fund to Microfinance Institution Finadev Benin

Triple Jump Fund Management (Triple Jump), a Dutch investor in microfinance, recently issued its first loan to Finadev Benin SA, a microfinance institution (MFI) in Benin. The funds were disbursed from the Oxfam Novib Fund, which is managed by Triple Jump and holds assets of USD 56.4 million.

Finadev serves the unbanked in urban and rural areas with financial services such as group and individual loans in addition to insurance services. Finadev also recently obtained a license to accept deposits. Finadev has 5,500 clients and a loan portfolio of USD 8.06 million as of 2011. In 2010, MFIs in Benin reporting to the US-based data provider Microfinance Information Exchange (MIX) had 105,992 active borrowers and an aggregate gross loan portfolio of USD 71.4 million. According to Triple Jump, Finadev’s 4-percent market share currently ranks fifth among MFIs in the country.

Three International investors – International Finance Corporation (IFC), Netherlands Development Finance Company (FMO in Dutch) and La Fayette Participations – invested in Finadev after the MFI experienced financial difficulties beginning in 2005. By 2009, Finadev Benin had been fully acquired by Finadev Group, a microfinance holding company owned by Emerging Capital Partners.

By Courtney Snelling, Research Associate

About Finadev Benin SA: In 1998, Finadev Benin SA was initiated as a microfinance counter within Financial Bank, a commercial bank in Benin. Finadev became independent in 2000. Finadev serves the unbanked in urban and rural areas with group and individual loans in addition to insurance services. Finadev also recently received a license to accept deposits. Finadev has 5,500 clients and a loan portfolio of USD 8.06 million as of 2011.

About Triple Jump Management: Triple Jump Management was founded in 2006 to support the expansion of microfinance institutions (MFIs) through the provision of capital and advisory services. Triple Jump was established by the NOTS Foundation, a Dutch development organization; Oxfam Novib, a Dutch organization for international cooperation and development; and ASN Bank, a “sustainability-driven” Dutch bank. Its shares are divided among these organizations and Triple Jump’s management team. Triple Jump is comprised of Triple Jump Fund Management (TJFM) and Triple Jump Advisory Services (TJAS). TJFM provides its clients with four investment options: hard and local currency loans, equity, guarantees and subordinated loans. TJAS is an independent foundation that provides consulting services and technical assistance to tier-3 and tier-4 MFIs. Triple Jump manages five microfinance investment funds, with total assets approximately equivalent to USD 300 million as of March 31, 2011. Its investments span 132 MFIs in 52 emerging markets in Latin America, Eastern Europe, Africa andAsia.

About Oxfam Novib Fund: The Oxfam Novib Fund (ONF) is supported by Oxfam International, a group of thirteen independent socially-oriented organizations. ONF is managed by Triple Jump Management of the Netherlands. The fund makes equity, loan and debt securities investments in emerging microfinance institutions (MFIs). The fund provides a majority of its loans in local currency in amounts ranging from EUR 250,000 (USD 263,000) to EUR 1 million (USD 1.45 million).

Sources and Additional Resources:

TripleJump.eu, “First Loan to Finadev Benin”, January 30, 2012, http://www.triplejump.eu/good_news_about_triple_jump/First+Loan+to+Finad…

MicroCapital.org story, “MICROCAPITAL BRIEF: Incofin Rural Impulse Fund II, Triple Jump’s ASN-Novib Microkredietfonds Acquire Shares of AzerCredit of Azerbaijan, January 26, 2012, https://www.microcapital.org/microcapital-brief-incofin-rural-impulse-fun…

MicroCapital Universe Profile: Finadev, https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Finadev+Benin+SA

MicroCapital Universe Profile: Triple Jump Management, https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Tri…

MicroCapital Universe Profile: Oxfam Novib, https://www.microcapital.org/microfinanceuniverse/tiki index.php?page=Oxfam+Novib+Fund+%28ONF%29

MicroCapital Universe Profile: FMO, https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Netherlands+Development+Finance+Company+%28FMO%29

MicroCapital Universe Profile: IFC, https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=International+Finance+Corporation+%28IFC%29

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