PT Esta Dana Ventura
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?
Our customer is PT Esta Dana Ventura (“EDV”), a microfinance institution based in Indonesia. The company offers solely productive (micro) loans to improve community welfare and promote equitable economic growth in Indonesia.
What is our funding objective?
FMO's funding objective is to invest in EDV through common shares, with the intention of supporting the growth of EDV's loan book. EDV's client base consists mainly of female entrepreneurs throughout Indonesia.
Why do we fund this investment?
FMO aims to support EDV’s inclusive business operations, which align with FMO’s commitment to reducing inequalities. 100% of the transaction qualifies for the Reducing Inequalities label.
What is the Environmental and Social categorization rationale?
Given the nature of the business and the average loan ticket of approx. USD 300, the investment is in the E&S C-risk category. EDV does not have any exposure to activities on FMO's exclusion list, project finance, or IFC Performance Standard-triggered transactions. FMO analyses risks from different perspectives and assessments. In the case of microfinance investments, the E&S classification is typically low because the exposure is generally limited to retail and micro-entrepreneurs. The risks that might come with microfinance investments, such as over-indebtedness, transparency of interest rates, and responsible pricing, are covered by FMO in other assessments, such as the Client Protection Principles (CPPs). In case of high contextual risk, a human rights assessment can be carried out.
More investments
| Date | Total FMO financing |
|---|---|
| 7/30/2024 | USD 10.00 MLN |
- Website customer/investment
- https://estadanaventura.co.id/
- Region
- Asia
- Country
- Indonesia
- Sector
- Financial Institutions
- Publication date
- 2/5/2024
- Effective date
- 11/5/2024
- Total FMO financing
- IDR 80170.00 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