MICROCAPITAL STORY: Oikocredit of the Netherlands Lends $1m to Latin America Microfinance Institution IDEPRO

The Microfinance Capital Markets Newsletter of the Consultative Group to Assist the Poor (CGAP) and the MIX, the microfinance information clearinghouse, reported Oikocredit, a co-operative financial development institution in the Netherlands, issued a loan of USD 1 million to IDEPRO (Desarrollo de la Pequeña Unidad Productiva), a Latin America microfinance institution (MFI).

IDEPRO, based in Bolivia, was founded in 1991. According to its year end 2006 “financial data” on the MIX, the MFI had total assets of equivalent USD 7.3 million which consisted of a gross loan portfolio of equivalent USD 3.9 million. Return on assets for the MFI was 1.34 percent and it had return on equity of 3.9 percent. At the end of 2006, the MFI serviced 2,101 active borrowers of which 100 percent are women. The average loan balance for borrowers is equivalent USD 1,884.

Oikocredit, established in 1975, is co-operative financial development institution that provides credit to credit cooperatives, MFIs and other viable enterprises that assist the poor. As of December 2006, Oikocredit had total fund assets of equivalent USD 455.7 million of which USD 198 million was allocated to 306 MFI investments. Oikocredit offers assistance via loans and debt securities, equity investments, guarantees, and technical assistance.

Additional Resources:

CGAP: “List of Recent Transactions”

MIX Market: “Profile for Oikocredit”

MIX Market: “Profile for IDEPRO”

MicroCapital.org article, October 15, 2007: “MICROCAPITAL STORY: Oikocredit of the Netherlands Lends $1.3m to Eastern Europe Microfinance Institution PRIZMA and $2.1m to East Asia Microfinance Institution Cambodian Entrepreneur Building Limited”

MicroCapital.org article, August 14, 2007: MICROCAPITAL STORY: Oikocredit Loans USD 514,028 to Hermandad de Honduras