ENDA TAMWEEL S.A.
Status: Approved investmentWhy disclosure?
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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
Enda is the leading MFI in Tunisia, enjoying an established position with a market share of 61% (by loans), a strong brand name, a large branch network across the country and an extensive knowledge of microfinance market needs. Enda has remained sustainable and profitable since its spin-off from Enda Inter-Arabe (NGO) in 2016. By the end of ‘18, Enda had over 362,000 borrowers and a portfolio of $201mln. Annual profit in ’18 amounted to USD 6mln.
What is our funding objective?
FMO will arrange a LCY syndication of EUR 50mln for Enda. FMO intends to provide EUR 20mln in TND equivalent whilst the remaining EUR 30mln will be syndicated on a best effort basis. The facility's purpose will be to support Enda's lending to its focus segments. Enda is primarily active in agri and trade (each representing 30% of the loan portfolio), service (15%) and production (12%).
Why do we fund this investment?
As Tunisia is classified as a “Lower Middle Income Country”, the economy and labour market show significant deficiencies. Youth unemployment is high at ca. 35%, and women account for only 24% of the work force. Clearly defined social mission is at the centre of Enda’s strategy and operations. Its social impact is recognized by international agencies (e.g. excellent rating regarding social impact by Planet rating) and international certifications (e.g. Smart Campaign Certification). By providing (non-)financial support to underserved groups and very small enterprises, Enda aims to respond to this need and to increase opportunities to participate in the economy. Our long-term financing will help Enda to pursue this strategy.
What is the Environmental and Social categorization rationale?
Enda has been categorised as Category C in accordance with FMO’s Sustainability Policy. Enda’s activities are deemed to have minimal or no adverse environmental and social risks and/or impacts. As part of the loan, Enda will be required to apply the EDFI Exclusion List and Tunisian E&S laws and regulations.
More investments
| Date | Total FMO financing |
|---|---|
| 1/24/2022 | EUR 0.05 MLN |
- Region
- Africa
- Country
- Tunisia
- Sector
- Financial Institutions
- Publication date
- 8/21/2019
- Effective date
- 3/3/2020
- Total FMO financing
- EUR 21.00 MLN
- Funding
- FMO NV
-
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