127M€
Wallet
870 072
Number of beneficiaries
100 %
Women beneficiaries
95.7 %
Rural beneficiaries
Indonesia
Financial services
Funding granted
Loan of €4.4 million *
(local currency equivalent)
Foundation Partner
since 2011
*Outstanding at grant value
Context :
Indonesia has a market economy with extensive government intervention. There are over 164 state-owned enterprises, and the government controls the prices of several basic commodities such as oil, rice, and electricity. Indonesia has many assets, with significant agricultural, forestry, and fisheries areas.
The company:
KOMIDA is a Tier 2 microfinance institution established in 2004 as a foundation. Its mission is to provide financial assistance in the form of savings and loan services, non-financial services (health training), motivational education for members' children, family financial management, and the provision of quality services to members.
Impact :
KOMIDA began offering microcredit loans in 2005 to the tsunami-affected population in Banda Aceh province. The institution transformed into a savings and credit cooperative in 2008, serving exclusively women.
The Foundation grants a new loan to the Komida MFI
© Didier Gentilhomme
The Grameen Crédit Agricole Foundation has just granted a new loan to the Indonesian microfinance institution Komida. The Grameen Crédit Agricole Foundation has just granted a new loan to the Indonesian microfinance institution Komida, amounting to 2.1 million eruos over a period of three years. This loan is the fourth granted by the Foundation to Komida, a partner since 2014.
With this new investment, the Foundation's commitments to Komida as of the end of December 2017 totaled €3 million, representing 681,000 million of the Foundation's commitments in Indonesia, where it currently has three partners. Komida is a microfinance NGO that began offering microcredit in 2005 to the tsunami-affected population in Banda Aceh province. The institution targets women exclusively, following the Grameen Bank model.
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Created in 2008, under the joint leadership of Crédit Agricole SA's management and Professor Yunus, 2006 Nobel Peace Prize winner and founder of Grameen Bank, the Grameen Crédit Agricole SA Foundation is a multi-sector operator that contributes to the fight against poverty through financial inclusion and social impact entrepreneurship. As an investor, lender, technical assistance coordinator, and fund advisor, the Foundation supports microfinance institutions and social enterprises in nearly 40 countries.
The Foundation makes new investments in Asia
© Didier Gentilhomme
The Grameen Crédit Agricole Foundation has made new investments with its Asian partners, granting five loans in Indonesia, Burma, Sri Lanka, and Cambodia. In Asia, the Foundation has 14 partners, representing 251,000 TND of its total outstanding loans as of the end of December 2018.
It thus granted a loan of 2.1 million euros to KOMIDA, a long-standing partner of the Foundation, which works exclusively with women in Indonesia. KOMIDA is a microfinance NGO that began offering microcredit in 2005 to the tsunami-affected population in the province of Banda Aceh. The institution transformed into a savings and credit cooperative in 2008 and now has more than 545,000 clients.
The Foundation also granted a €1.1 million loan to Proximity in Burma. Proximity Finance is a microfinance program developed by Proximity Designs that aims to eradicate extreme poverty in the country by treating the poor as clients and offering innovative and affordable technologies and services to the families it finances, who earn their living by cultivating small plots of land. The institution has nearly 100,000 clients, including 66,133 women.
In Sri Lanka, the microfinance institution Berendina, whose mission is to reduce poverty and provide better living conditions for the country's poorest groups, received a guarantee from the Foundation for an amount of 331,000 euros. To date, Berendina has 99,000 clients, including 87% women. All of its clients are located in rural areas.
Finally, in Cambodia, the Foundation granted two new grants to AMK and Chamroeun, each worth €2.5 million and €973,000. AMK (Angkor Mikroheranhvatho (Kampuchea) Co. Ltd) primarily provides loans through the "village banking" methodology, primarily targeting poor women in rural areas, as well as agricultural activities. Since 2010, the institution has also been authorized to collect savings. To date, it has nearly 325,000 clients in 93% rural areas and 81% women. Chamroeun, for its part, has 26,300 clients and is a microfinance institution that places social vocation at the heart of its business model. It provides financial services to the poorest and also offers them a range of training and support services.
To learn more about the Foundation's partners, click here.
The Foundation continues to support its partners in Asia
© Didier Gentilhomme / GCA Foundation
During the first quarter of 2021, the Grameen Crédit Agricole Foundation completed three new financings in Asia, notably in Indonesia.
In Indonesia, the Foundation has granted a new loan to the microfinance institution KOMIDA for an amount in local currency equivalent to 2.2 million euros. KOMIDA is a microfinance institution established in 2004 as a foundation to offer financial assistance in the form of savings and loan services as well as non-financial services such as training in health and family financial management. The institution, which is aimed exclusively at women, currently has nearly 720,000 clients.
Also in Indonesia, the Foundation granted a new loan to the microfinance institution MBK for an amount in local currency equivalent to 5 million euros. "Mitra Bisnis Keluarga" (MBK) is a microfinance institution regulated by the Indonesian Financial Services Authority (FSA) and licensed as a non-bank financing company. Using the Grameen Bank methodology, MBK provides working capital to low-income women in Java to give them access to formal and profitable financial services (financial inclusion), reduce their vulnerability and improve their lives. To date, the institution has more than 1 million clients, exclusively women, who live 75% below the poverty line.
In Myanmar, the Foundation has granted a new loan to the institution Proximity Finance for an amount in local currency equivalent to 1.4 million euros. Proximity is an institution established in 2010 that designs and offers affordable, income-generating financial products for rural families. The institution strives to improve the livelihoods of rural Myanmar by providing innovative financial services tailored to their needs and uses business dynamism to create social value. To date, Proximity has nearly 200,000 clients, including 69% women and 98% rural clients.
To date, the Grameen Crédit Agricole Foundation has 89 partners in 37 countries and manages a portfolio of 86 million euros, including 46% in so-called fragile countries.
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Newsletter #39: Resumption of activities in the microfinance sector
The Grameen Crédit Agricole Foundation has published its Newsletter #39, which highlights the great resilience demonstrated by its partners in providing the best possible support to vulnerable populations.
The Foundation has been interested in the effects of the Covid-19 crisis on its partner microfinance institutions (MFIs) and has conducted a series of surveys for over a year in collaboration with ADA And InpulseThe results of these studies are summarized in the report "The impact of the crisis on microfinance institutions. Findings and perspectives." which we invite you to discover in this Newsletter.
While the pandemic has had a significant impact on the activities of microfinance institutions, we are now seeing a gradual return to normal for the majority of them, as evidenced by KOMIDA. A major player in microfinance in Indonesia and a partner of the Foundation since 2004, KOMIDA has managed to continue its activities and development in rural areas with the opening of 10 additional branches in 2021. The institution continues to support its clients by focusing on granting social microcredits.
In the "Words from the Field" section, we present UGAFODE Microfinance Limited, a Ugandan microfinance institution at the forefront of financial inclusion for refugees. Thanks to support from the Foundation, the United Nations High Commissioner for Refugees (UNHCR), and the Swedish International Development Cooperation Agency (Sida), UGAFODE opened a branch in the Nakivale refugee camp in March 2020, and the initial results have been very encouraging. The ambition is now to expand the project to other regions.
Finally, you'll discover the testimony of Jean-Baptiste Bounes, Mergers and Acquisitions Manager at SODICA, who carried out the first remote Solidarity Bankers (*) mission with Phare Performing Social Enterprise (PPSE) in Cambodia. Remote and field missions are currently available.
(*) Launched by the Grameen Crédit Agricole Foundation and Crédit Agricole SA in 2018, Banquiers Solidaires is a skills volunteering program open to all Crédit Agricole Group employees in support of microfinance institutions or impact businesses supported by the Foundation.