KOMPANION BANK CJSC
Status: Completed investmentWhy disclosure?
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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
Kompanion Bank (KB) is the second largest microfinance institution (MFI) by assets and total loan portfolio and is also in the overall top-10 of financial institutions in Kyrgyzstan. It was the first MFI in the country to have received Smart Campaign CPP certification (2014). It also won the European Microfinance Award that year for its activities in pasture land management and conservation trainings. The company’s main loan product is solidarity group-lending representing 82 percent of total loans. 69 percent of its clients are female. Besides lending, KB also offers advisory services and support for agriculture and natural resource management. KB is represented in all regions of the country through 16 regional branches and 161 sub-offices serving over 100k clients. Current shareholders are Mercy Corps (65 percent), Triodos Bank (2014, 17.5 percent) and FMO (2014, 17.5 percent). On 12 Jan 2016, KB obtained a full banking license, marking the next phase in its development and enabling it to reach out to its clientele with a broader range of products and services thereby further enhancing its position and meaning for the Kyrgyz financial sector and increasing access to financial services for its population.
What is our funding objective?
By providing a scarce long term local currency credit facility, FMO will enable KB to reduce currency mismatches and resume lending in local currency to its clients. From an inclusive development view, our funds will be used to on-lend to (mostly female) micro-entrepreneurs in the country’s regions –thereby stimulating economic growth and financial inclusion.
Why do we fund this investment?
KB is a well-managed and transparent microfinance bank with a good market position and outreach in Kyrgyzstan. It has a competitive advantage stemming from its wide outreach in both urban and rural areas. Additionally, the bank has a good reputation being a client-oriented and responsible bank offering financial and non-financial services to the country’s bottom of the pyramid. As shareholder of the bank, it is our interest to support KB in every possible way. Our new debt facility is another example of the strong relationship FMO has with its client.
More investments
| Date | Total FMO financing |
|---|---|
| 10/14/2022 | EUR 0.15 MLN |
| 9/26/2023 | USD 3.00 MLN |
| 5/9/2017 | EUR 0.07 MLN |
| 12/15/2014 | KGS 263.68 MLN |
| 2/1/2017 | USD 8.00 MLN |
- Website customer/investment
- http://www.kompanion.kg/index.php?lang=en
- Region
- Europe & Central Asia
- Country
- Kyrgyzstan
- Sector
- Financial Institutions
- Effective date
- 5/9/2016
- End date
- 8/9/2021
- Total FMO financing
- USD 7.00 MLN
- Funding
- FMO NV
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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) - C