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Microfinance, a non-banking finance institution in India, recently raised equity from three European organizations: USD 4 million from Nordic Microfinance Initiative (NMI), a Norway-based public-private partnership active in Africa and Asia; USD 3 million from ASN Microkredietpool, a microfinance fund managed by Netherlands-based Triple Jump; and EUR 2 million (USD 2.4 million) from
Tag: India
MICROCAPITAL BRIEF: Symbiotics Raises $4.6m via Green Bond for Samunnati Financial for Sustainable Agriculture in India
India’s Samunnati Financial Intermediation & Services, whose customers are farmer-producer organizations and other members of agricultural value chains, recently raised the rupee-equivalent of USD 4.6 million in a bond issue handled by Symbiotics, a Switzerland-based impact investing platform. The bond transaction is the first by Symbiotics that specifically promotes
MICROCAPITAL BRIEF: SEBI Approves $180m IPO by Microfinance Institution Fincare SFB of India
The Securities and Exchange Board of India (SEBI) recently approved plans by Fincare Small Finance Bank (SFB), an Indian microfinance provider, to proceed with an initial public offering (IPO) of up to INR 13.3 billion (USD 180 million), of which
MICROCAPITAL BRIEF: IFC Approves $250m Loan to HDFC for Housing Finance for Low-, Middle-income Borrowers in India; 25% Earmarked for Green Buildings
The International Finance Corporation (IFC), the private-investment arm of the World Bank Group, recently approved a loan of USD 250 million to Housing Development Finance Corporation Limited (HDFC), a housing lender based in India. Whereas green housing has “largely been regarded as a luxury market in the country,” one quarter of the loan amount is reserved for
MICROCAPITAL BRIEF: Incofin Raises $60m for India Progress Fund, Bringing Equity Investments to Rural Entrepreneurs, Value Chains from DFIs, Family Offices, King Baudouin Foundation, Korys, SDG Frontier Fund
Belgium-based Incofin Investment Management recently announced it has raised USD 60 million for the first close of the Incofin India Progress Fund (IPF). The fund will issue private equity investments that support
MICROCAPITAL BRIEF: Muthoot of India Raises $10m in MLDs for On-lending to Microfinance Borrowers
Muthoot Microfin Limited, a unit of Indian conglomerate Muthoot Pappachan Group whose focus is serving female entrepreneurs, recently raised INR 750 million (USD 10 million) via market-linked debentures (MLDs) that mature in 18 months. Muthoot Microfin CFO Praveen Thoroppady said, “[W]ith MLDs, we were able to raise
MICROCAPITAL BRIEF: CredAvenue Issues $45m Market-linked Debenture for Spandana Sphoorty to Boost Microfinance for Women in Rural India
CredAvenue, an India-based firm that connects lenders and borrowers, recently issued a market-linked debenture valued at INR 3.38 billion (USD 45 million) for Spandana Sphoorty Financial Limited, a non-banking financial company (NBFC) providing microloans in India. The participating investors comprise
MICROCAPITAL BRIEF: Government of India Revises COVID-19 Guarantee Program for Bank Funding of MFIs, Seeking to Enable 2.5m Microfinance Loans
India’s Finance Minister, Nirmala Sitharam, recently unveiled a set of measures intended to boost the nation’s economic recovery following its second wave of COVID-19 infections. One of these is to encourage the distribution of 2.5 million retail microloans by microfinance institutions (MFIs), funded by
MICROCAPITAL BRIEF: Amazon Opening “Digital Kendra” Storefronts to Support MSME Growth, Digitization in India
US-based retailer and technology company Amazon recently launched its first Digital Kendra customer service location to assist micro-, small and medium-sized enterprises (MSMEs) in India in making more digital sales. The firm plans to open more Digital Kendras to deliver assistance with
MICROCAPITAL BRIEF: Incofin Loans $2m to Bina Artha for Microfinance, Small Business Loans for Rural Women in Indonesia
Recently, Belgium-based Incofin Investment Management (IM) lent USD 2 million from its Incofin CVSO fund to Bina Artha, a microfinance institution (MFI) in Indonesia. Incofin IM acknowledges that
MICROCAPITAL BRIEF: RBI Proposes Reforms Including Debt-income Ratio Cap, Repeal of Interest Rate Ceiling for Microfinance Institutions in India
The Reserve Bank of India (RBI) recently proposed a set of new rules that include eliminating the cap on the interest rates that microfinance institutions (MFIs) charge their customers and harmonizing microlending regulations for all organizations providing microloans. This would include
MICROCAPITAL BRIEF: Creation Investments Lends $12m to Berar Finance, SRFC, Sindhuja Microcredit of India
US-based Creation Investments Capital Management recently lent a total of USD 12 million to three non-bank financial institutions in India: Berar Finance, Shri Ram Finance Corporation (SRFC) and Sindhuja Microcredit. These investments are
MICROCAPITAL BRIEF: Fusion Microfinance Raises $12m in Debt from Bank im Bistum Essen (BIB) to Increase Financial Inclusion for Women in India
Fusion Microfinance, a microfinance institution in India, recently borrowed EUR 10 million (USD 12.2 million) from Bank im Bistum Essen (BIB), a cooperative bank based in Germany. The loan proceeds are intended for Fusion Microfinance to
MICROCAPITAL BRIEF: Google Pay Partners with Western Union, Wise to Allow US Users to Send Remittances to India, Singapore; Plans to Expand Worldwide
Google Pay, a service of US-based technology firm Google, recently partnered with money transfer companies Western Union and Wise to allow Google Pay users in the US to send money to individuals in India and Singapore. The service does not allow payments from other countries to the US or payments to or from businesses. However,
MICROCAPITAL BRIEF: True North Sells $25m Stake in Fincare SFB, Provider of Microfinance in India, to Motilal Oswal Private Equity
Two India-based private equity firms recently exchanged a minority stake in India’s Fincare Small Finance Bank (SFB). Motilal Oswal Private Equity (MOPE) bought the shares through its India Business Excellence Fund-III for USD 25 million from True North. Although the size of the stake has not been disclosed, True North previously held 7.25 percent of the shares of Fincare SFB and
MICROCAPITAL BRIEF: Amazon Leads $10m Equity Funding Round for M1xchange, Provider of Invoice Discounting for MSMEs in India
M1xchange, an India-based online exchange for receivables held by micro-, small and medium-sized enterprises (MSMEs), recently raised USD 10 million in a funding round led by US-based retailer and technology company Amazon, with participation from venture capital firms Beenext of Singapore and current US-based investor Mayfield. M1xchange’s other investor is SIDBI Venture Capital, an
MICROCAPITAL BRIEF: Microfinance Institution Annapurna Raises $30m in Equity from TIAA’s Nuveen, Other Investors to Support Lending for Women, SMEs, Housing, Green Finance in India
Annapurna Finance, a microfinance institution (MFI) in India that primarily funds women, recently announced it has raised USD 30 million in equity. The lead investor is US-based asset manager Nuveen, via its Global Impact Fund. The identities of
MICROCAPITAL BRIEF: Mastercard, Razorpay to Increase Access to Recurring Payments for Startups, SMEs in India
US-based company Mastercard and India-based financial technology firm (fintech) Razorpay recently partnered to increase access to mobile payments for small and medium-sized enterprises (SMEs) in India. The partnership will combine “Razorpay’s payment processing capabilities with Mastercard’s trusted and secure dig