by Medha Ravi -

MICROCAPITAL BRIEF: responsAbility Social Investments of Switzerland Makes Loans Totaling $2.9m to CREDIT of Cambodia, Sathapana Limited of Cambodia, HUMO and Partners of Tajikistan, Community Economic Ventures Incorporated (CEVI) of the Philippines

responsAbility Social Investments AG, an investment company based in Switzerland, has recently reported to MicroCapital that it has made loans totaling the equivalent of USD 2.9 million to microfinance institutions (MFIs) in Cambodia, Tajikistan and the Philippines.

by Medha Ravi -

MICROCAPITAL BRIEF: responsAbility Social Investments Loans Total of $5.8m to Banco Solidaro of Ecuador, Fundación de Apoyo Comunitario y Social del Ecuador (FACES) of Ecuador, Edpyme Alternativa of Peru, Apoyo Integral of El Salvador

responsAbility Social Investments AG, an investment company based in Switzerland, recently reported to MicroCapital that it has made loans totaling approximately USD 5.8 million to microfinance institutions (MFIs) in Ecuador, Peru and El Salvador.

by Julie Moksim -

MICROCAPITAL BRIEF: Freedom from Hunger Microfinance and Health Protection (MAHP) Initiative Reaches Peru, Vietnam, Cambodia; Expands in India

US-based nonprofit Freedom from Hunger recently announced that, since the completion of its Microfinance and Health Protection (MAHP) initiative in December 2009, it has replicated the program in Peru, Vietnam, Cambodia and additional communities in India.

by John Howard-Smith -

MICROCAPITAL BRIEF: Number of Microfinance Institutions (MFIs) in Nation of Georgia Grows to 47 in 2010

The number of microfinance institutions (MFIs) in the nation of Georgia grew from 38 to 47 in 2010, an increase of 24 percent, according to the National Bank of Georgia (NBG). Microfinance is popular in Georgia reportedly because small and medium-sized enterprises (SMEs) struggle to meet the cash flow requirements imposed by commercial banks. Despite this, risk in the sector is reportedly low: the Foundation for International Community Assistance (FINCA) Georgia, an arm of the US-based MFI network FINCA International, reports a current delinquent loan rate of 0.3 percent.

by Witt Gatchell -

MICROCAPITAL BRIEF: Netherlands Development Finance Company (FMO) Investing $7m in Regional MSME Investment Fund for Sub-Saharan Africa SA (REGMIFA)

The Netherlands Development Finance Company (FMO), a Dutch public-private partnership that aims to promote developing economies, has committed USD 7.5 million to the Regional MSME Investment Fund for Sub-Saharan Africa SA, SICAV-SIF (REGMIFA), a Luxembourg-based fund that seeks to invest in micro-, small and medium sized enterprises (MSMEs) in Africa.

by Diana Baide -

MICROCAPITAL BRIEF: CGAP (Consultative Group to Assist the Poor) Grants Transparency Certificates to Microfinance Investment Vehicles (MIVs) That Adhere to Environmental, Social and Governance (ESG) Standards

CGAP (Consultative Group to Assist the Poor), a policy and research center dedicated to enhancing financial access for the world’s poor, has announced its granting of Transparency Certificates to several microfinance investment vehicles (MIVs) that are in compliance with its environmental, social and governance (ESG) guidelines for MIVs.

by John Howard-Smith -

MICROCAPITAL BRIEF: Haitian Microfinance Industry Still Struggling in Wake of Earthquake, Increased Regulation on the Horizon

Ten months after the major earthquake that rattled Haiti in January 2010, microfinance institutions (MFIs) and banks still struggle to regain clients, manage late payments and deal with increasing loan defaults. New industry regulation is also expected after requests to the government from MFIs and banks that are concerned that their clients’ money is not well-protected in case of financial institution default.

by Trevor Kwong -

MICROFINANCE PAPER WRAP-UP: The Impact of International Influence on Microbanks’ Performance: A Global Survey

By Roy Mersland, Trond Randoy, Reidar Oystein Strom, forthcoming in the International Business Review (2010), available for purchase at http://dx.doi.org/10.1016/j.ibusrev.2010.07.006

by Stefanie Rubin -

MICROCAPITAL BRIEF: Oikocredit Lends $1.6m in Local-currency to Five Latin American Microfinance Institutions

Oikocredit, a microfinance investment fund in the Netherlands with assets of USD 665 million, recently loaned USD 1.6 million to five Latin American microfinance institutions (MFIs): Amanecer of Colombia, Coopesparta of Costa Rica, Proempresa of Peru, FINCA Peru and Norandino of Peru.

by Julia Korn -

MICROCAPITAL BRIEF: Freedom from Hunger Research Team in Davis, California, Attempts to Reconcile Opposing Arguments Regarding the Effect of Microfinance

The Freedom from Hunger Research Team in Davis, California has released an opinion piece in an effort to mediate the two sides of an argument regarding the influence of microfinance.

by Julia Korn -

MICROCAPITAL BRIEF: Six Microfinance Organizations Release Document Citing the Advantages of Microfinance as Response to “The Miracle of Microfinance? Evidence From a Randomized Evaluation” by Abhijit Banerjee, Esther Duflo, Rachel Glennerster, and Cynthia Kinnan

As a response to skepticism of the success of microfinance in a study done by economists Abhijit Banerjee, Esther Duflo, Rachel Glennerster, and Cynthia Kinnan, six organizations released an open letter citing the advantages of microfinance.

by Conner Brannen -

MICROCAPITAL BRIEF: Citigroup Pledges $1m to Help Rebuild Microfinance Sector in Haiti Following January Earthquake

Citigroup, a major American financial services company based in New York City, has pledged USD 1 million in grants to help rebuild Haiti’s microfinance industry [1]. The money will be distributed via three microfinance providers: SOGESOL, Fonkoze and FINCA-Haiti. The grants are to be used by microentrepreneurs whose businesses were damaged by the earthquake in mid-January. This adds to the large grants already given to microfinance institutions in Haiti. Fonkoze has already received a USD 4.5 million grant from the MasterCard Foundation, based in Canada [2].

by Stefanie Rubin -

MICROCAPITAL BRIEF: Bill & Melinda Gates Foundation Awards $38m in Grants to Help Microfinance Institutions Expand Savings Initiatives for Poor

The Bill & Melinda Gates Foundation has awarded six grants worth a total of USD 38 million to help 18 microfinance institutions (MFIs) expand or launch savings initiatives.