OIKOCREDIT, ECUMENICAL DEVELOPMENT
Status: Completed investmentWhy disclosure?
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In case of questions
In case of questions, please contact us at disclosure@fmo.nl
Disclaimer
The information as disclosed is indicative and provided on an "as-is/as available" basis for general informational purposes only and should not be construed as financial, legal or investment advice, nor as a commitment or an offer to arrange or provide any financing. The final decision to provide financing is subject to the terms and conditions of FMO in its sole and absolute discretion. When providing links to other sites, FMO bears no responsibility for the accuracy, legality or content of the external site or for that of subsequent links. The information on proposed investment for high-risk investments is made available in the language relevant to the country or region where the bulk of operations take place. Translations of any information into languages other than English are intended as a convenience for local stakeholders. In case of any discrepancy, the information provided in English will prevail.
Who is our customer
For over two years, FMO has been discussing opportunities to cooperate with one of the largest privately funded social investment vehicles in the world: the Dutch cooperative investment fund Oikocredit (OC). With a focus on Tier II/III microfinance institutions (MFIs) and (rural) SMEs in low-income countries (LICs), OC's activities are highly complementary to FMO's own projects.
What is our funding objective?
The investment is a EUR 10 million debt fund, in which OC and FMO (through MASSIF) will each invest EUR 5 million. The fund life is 10 years, with an investment period of 5 years. A strategic partnership is envisaged as FMO and OC's combined microfinance portfolio is the largest in the world in volume as well as in its number of clients.
Why do we fund this investment?
FMO enables OC to provide scarce funding to an underserviced niche, namely Tier II/III MFIs and (rural) SMEs in mainly sub-Saharan Africa. FMO is also considering providing capacity development support to assist OC's borrowers in areas such as product development, marketing and HR policies. This complementary partnership allows FMO to support business activities which we cannot support directly ourselves.
- Country
- Global
- Sector
- Financial Institutions
- Effective date
- 6/20/2012
- End date
- 1/17/2020
- Total FMO financing
- EUR 5.00 MLN
- Funding
- MASSIF
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Risk categorization on environmental and social impacts, A = high risk, B+ = medium high risk, B = medium risk, C = low risk
Environmental & Social Category
(A, B+, B or C) - B