The CGAP Microfinance Dealbook publicizes microfinance capital market transactions in an effort to bring greater transparency to the industry. This information is made freely available as a public service. Parties to microfinance transactions are encouraged to submit their deals to this effort. The following deals were collected for April 2009:
Search Results for: Moldova
MICROCAPITAL STORY: European Development Finance Institutions Part 2: KfW Entwicklungsbank Remains One of the Largest Global Investors in Microfinance
KfW Entwicklungsbank (KfW), a development bank that finances investments on behalf of the German Federal Ministry for Economic Cooperation and Development (BMZ), has made significant contributions to the microfinance sector in recent years. Between January 2007 and April 2009, KfW has invested at least USD 250 million in microfinance services around the world, with its outstanding commitments to the sector likely making that number even higher.
MICROCAPITAL STORY: European Development Finance Institutions Part 1: European Bank for Reconstruction and Development (EBRD) Invests Over USD 1 Billion in Microfinance Initiatives Since 2007
The European Bank for Reconstruction and Development (EBRD), a multilateral development institution that fosters private sector investment in 27 countries in Central Europe and Central Asia, has supported the microfinance sector through its Micro, Small and Medium Business Program since its establishment in 1991. In the last two years alone, EBRD has provided over USD 1 billion – through debt, equity facilities and technical assistance – to microfinance programs throughout the region.
MICROFINANCE EVENT: Micro Banking Summer Academy of Frankfurt School of Finance and Management Presents MFI Management, July 5-10, 2009, Bad Homburg, Germany
Micro Banking Summer Academy of Frankfurt School of Finance & Management
MFI Management
July 5-10, 2009
MICROFINANCE EVENT: Micro Banking Summer Academy of Frankfurt School of Finance & Management (Bankakademie) Hosts Microfinance Principles in Bad Homburg, Germany, July 3-5, 2009
MICRO BANKING SUMMER ACADEMY OF FRANKFURT SCHOOL OF FINANCE & MANAGEMENT
MICROFINANCE PRINCIPLES
JULY 3-5, 2009
MICROCAPITAL STORY: European Fund for Southeast Europe (EFSE) Provides EUR 5m Loan to Macedonian Commercial Bank, TTK Banka A.D. Skopje (TTK); Fund will be Used to Provide Microloans to Micro and Small Enterprises (MSEs) in Macedonia
The European Fund for Southeast Europe (EFSE), a Luxembourg based microfinance fund has agreed to lend EUR 5 million to TTK Banka A.D. Skopje (TTK), a commercial bank based in Skopje, Macedonia as part of a loan agreement to help TTK further expand its outreach to micro and small entrepreneurs in the Republic of Macedonia. In a news release found on the Frankfurt School of Finance and Management website, Nikolche Petkoski, a member of the Board of Directors at TTK said that the loan, which would help TTK to support and increase access to finance for micro and small businesses in Macedonia, was particularly important during the present ‘times of economic uncertainty’.
MICROCAPITAL STORY: USAID and Netherlands-based Oikocredit Partner to Guarantee $36.2 million for Microfinance Over 10 Years
Oikocredit, a Dutch cooperative investment fund, and the United States Agency for International Development (USAID) announced a partnership which will leverage USD 36.2 million in private financing to support microfinance. USAID will provide a 50 percent guarantee on loans made by Oikocredit for ten years, and this guarantee is intended to increase private-sector financing to microenterprises and small-scale farmers, according to a press release by USAID. USAID has guaranteed loans for Oikocredit in the past, beginning in 2003 but this is the largest guarantee to date. Oikocredit’s loans are channelled through a network of regional offices worldwide and managed by local professionals.
PRESS RELEASE: Oesterreichische Entwicklungsbank of Austria Invests $51m in Microfinance Fund EFSE (European Fund for Southeast Europe)
Source: European Fund for Southeast Europe (EFSE).
PRESS RELEASE: European Fund for Southeast Europe (EFSE) Provides €10m in Local Currency to ProCredit Bank Romania
Source: European Fund for Southeast Europe (EFSE).
MICROCAPITAL STORY: European Bank for Reconstruction and Development (EBRD) Provides $2m Guarantee to Kyrgyz Microfinance Institution Bai Tushum
The European Bank for Reconstruction and Development (EBRD) is providing Bai Tushum Financial Foundation (BTFF), a leading microfinance institution (MFI) in the Kyrgyz Republic, with a USD 2 million guarantee for local currency loans from local banks. Bai Tushum will use the finances to on-lend to local micro and small enterprises.
MICROCAPITAL STORY: Swiss responsAbility Microfinanz-Fonds Loans over $1.3m to Eastern Europe Microfinance Institution MIKROFIN
The Microfinance Capital Markets Newsletter of the Consultative Group to Assist the Poor (CGAP) and the MIX, the microfinance information clearinghouse, reported responsAbility Microfinanz-Fonds, a Luxembourg-based fund, has issued a loan of USD 1.36 million to MIKROFIN, an Eastern Europe microfinance institution (MFI).
PRESS RELEASE: World Relief, World Relief Canada and HOPE International Partner with Opportunity International to Open Microfinance Bank for Rwanda’s Poor
Deutsche Bank’s Global Commercial Microfinance Consortium (CGMC) lends over USD 2 mn to 4 Microfinance Institutions in Eastern Europe: Zena za Zena, Prizma, MicroInvest and NorMicro
The Global Microfinance Consortium lent over the equivalent of USD 2 mn to four microfinance institutions (MFIs) in three countries in Eastern Europe. Zena za Zena of Bosnia & Herzegovina received a loan of the equivalent of USD 790,000 as a second installment of a USD 1.3 mn (EUR 1 mn) loan. Zena za Zena reports to the MIX Market, the microfinance information clearinghouse, under the name "Women for Women," the English version of its name. At the end of 2005, it reported to having a gross loan portfolio of USD 2.7 mn and USD 2.8 in total assets. Prizma, also of Bosnia & Herzegovina received the second tranche of their USD 1.3 mn loan as an installment of USD 658,800. Prizma is a nonbank financial institution founded in 1997 “to support poor and low-income women formed into solidarity groups in small towns and rural areas.” MIX Market reports a gross loan portfolio of USD 15.9 mn and USD 17.2 mn in total assets as of 31 December 2006. MicroInvest of Moldova received its third and final tranche of a USD 988,600 loan as a USD 329,400 installment. It is a nonbank financial institution based out of Moldova. It was established in 2003 by the Soros Foundation Moldova and the NGO the Moldova Microfinance Alliance to microfinance to small businesses in rural and urban areas in the Republic of Moldova. It reports to MIX Market as having a gross loan portfolio of USD 4.1 mn and USD 6.9 mn in total assets as of 31 December 2006. During the same period, its capital/asset ratio was 23.73% and its debt/equity ration was 321.33%. The final piece of the Global Commercial Microfinance Consortium’s loan went to NorMicro of Azerbaijan as a USD 250,000 first tranche of a total USD 500,000 loan. NorMicro is a non-bank financial institution established in 1998. It has gross loan portfolio of USD 2.6 mn and USD 2.9 mn in total assets as of 31 December 2006, according to MIX Market. During the same period, it had a 79.66% debt/equity ratio and a 55.66% capital/asset ratio.
$4.5 Million Microfinance Investment into Azerbaijan Micro Finance Bank Helps Establish Credit Line
The Azerbaijan Micro Finance Bank (AMFB) recently received a $3 million loan from the Black Sea Trade and Development Bank and a $1.5 million loan from the Triodos-Doen Foundation to be used as credit lines for small businesses. Established in 2002 by the European Bank for Reconstruction and Development (EBRD), International Finance Corporation (IFC), Black Sea Trade and Development Bank, and German LFS Financial Systems GmbH, AMFB provides financial services to micro and small business within the country. The bank’s typical microloans are between $400 and $10,000 for a maximum of 9 months. In June 2005, the Azerbaijan Microfinance Association reported that AMFB had a total loan portfolio of more than $11.4 million. It is the only one of the 45 commercial banks in Azerbaijan that focuses on microfinance services.
AMFB’s investor, the Black Sea Trade and Development Bank, is an “international financial institution” created in 1998 by the governments of
Another AMFB investor, The Triodos-Doen Foundation, founded by Dutch Triodos Bank and the Doen Foundation in 1994, provides loans ranging from $200,000 to $1 million for a maximum of five years to microfinance institutions (MFIs). The terms offered to MFIs are “Libor plus full cost plus full risk” and the “interest rate must be sufficient to cover potential devaluation against the Euro plus to cover costs of 8%.” The fund’s total assets stand at $34.822 million; $30.643 million of which has been allocated to microfinance investment.
Additional Resources
1) Consultative Group to Assist the Poor (CGAP): “Microfinance Capital Markets Update” is the best source for monthly updates on debt and equity deals in microfinance.
2) “Social and Economic Background of Azerbaijan.”
3) “Micro Finance Bank of Azerbaijan: Overview.”
4) “Micro Finance Bank of Azerbaijan: Mission.”
5) “Qualisteam: Black Sea Trade and Development Bank.”
6) Black Sea Trade and Development Bank (BSTDB) Press Release: “Black Sea Trade and Development Bank.”
7) MIX Market: “Triodos-Doen Foundation: Fund Instruments.”
8) MIX Market: “Triodos-Doen Foundation: Fund Description.”
9) “Black Sea Trade and Development Bank: A New Financial Player in the Balkans.”
10) “Microfinance in Azerbaijan.”