In Moldova, the population is still relatively rural, with 54% of the population living in urban areas and 22% in the capital. Agriculture employs around 26.4% of the working age population and generates 14.6% of the GDP (36% if the entire agro-food sector is included).
The institution:
Smart Credit is a tier 3 microfinance institution created in 2010 by five local professionals. SMART CREDIT’s vision is to help customers improve their living conditions, in particular socially disadvantaged small entrepreneurs.
Impact:
Smart Credit offers loans according to the individual methodology. The institution serves 2,876 active borrowers (54% of women and 71% of borrowers in rural areas) and manages a portfolio of € 3.5 million. It operates in central and western Moldova through a network of 6 branches and 34 employees.
For the first time, the Grameen Crédit Agricole Foundation has invested in Moldova, with a loan granted to the microfinance institution Smart Credit for a total amount in local currency equivalent to €496,000 over a three-year period. Smart Credit is an MFI created in 2010 by five local professionals whose mission is to position itself as the best microfinance service provider in the region, in particular for socially disadvantaged small entrepreneurs. The institution offers loans following the individual methodology and has nearly 3,000 active borrowers, 54% of whom are women and 71% of whom live in rural areas.
With this investment, the Foundation is further consolidating its presence in the Eastern Europe / Central Asia region where it already has 17 partners spread across eight countries. This region represents 21% of the portfolio monitored by the Foundation.
For more information on the Foundation’s partners, click here.
The Grameen Crédit Agricole Foundation consolidates its partnerships in Europe
During the last quarter of 2020, the Grameen Crédit Agricole Foundation continued its financing with its European partners, thereby consolidating its position in a region that represents 18% of its outstanding portfolio.
In Bosnia and Herzegovina, the Mikramicrofinance institution was granted a new loan of €1.2 million over a three-year period. Financed by the Foundation since 2019, Mikra’s mission is to provide financial services to the poorest but economically active populations. The institution promotes equality for Bosnian women by financing and supporting entrepreneurship projects. To date, Mikra serves over 15,000 active clients, 68% of whom are women and 58% of whom live in rural areas.
In Moldova, Smart Credit was granted a new loan for an amount, in local currency, equivalent to €500,000. Smart Credit is a microfinance institution whose objective is to help clients improve their living conditions, especially socially disadvantaged small entrepreneurs. The institution currently has over 3,000 active borrowers, 54% of whom are women and 71% of whom live in rural areas, and manages a portfolio of €3.5 million.
Finally, the Foundation granted a new loan, the second since 2018, to ADVANS Holding for an amount of €800,000. ADVANS, whose headquarters are located in Luxembourg, is an international group whose mission is to build a network of microfinance institutions in developing and emerging countries. The Group provides financial and non-financial services to low-income people in nine countries, mainly in Sub-Saharan Africa. Through its network, ADVANS serves nearly 800,000 customers and manages a portfolio of approximately €780 million.
The latest funding of the Foundation in Europe and Central Asia
During the second half of 2021, the Grameen Crédit Agricole Foundation granted new fundings in Europe and Central Asia, including a first funding to Furuz, a new partner in Tajikistan. At the end of December 2021, the Grameen Crédit Agricole Foundation had 81 partners in 37 countries and was managing a portfolio of €82 million, 46% of which are located in fragile countries.
In Moldova, the Foundation granted a new loan to the microfinance institution Smart Credit for an amount equivalent to €580,000. Smart Credit is a microfinance institution created in 2010 to help clients improve their living conditions, especially among socially disadvantaged small entrepreneurs. The institution offers loans according to the individual methodology. To date, Smart Credit serves 3,253 clients, 54% of whom are women and 69% live in rural areas.
The Foundation also granted two new loans to Lazikain Georgia for a total amount equivalent to €1.4 million. Lazika is a microfinance institution created in 2000 by Oxfam Great Britain. Its mission is to facilitate the access of low- and middle-income entrepreneurs to financial services tailored to their needs. Currently, Lazika serves nearly 15,000 clients, 49% of whom are women and 69% live in rural areas.
In Kazakhstan, the Foundation also provided new funding to Asian Credit Fund (ACF), for an amount in local currency equivalent to €1 million. ACF was created in 1997 and its mission is to provide financial and development products and services to low-income households. ACF’s financial services are designed to promote the development of rural households, the growth of small businesses and home ownership. The institution has nearly 27,000 clients, 93% of whom live in rural areas, and 70% are women.
In Tajikistan, the Foundation granted initial funding to Furuz, a new partner, for an amount in local currency equivalent to €500,000. Furuz is a microfinance institution that started its activities in 1999 as part of the microenterprise development programme of the NGO Millenium Relief and Development Services. The institution offers financial services to small businesses. Furuz has over 5,000 clients, 30% of whom are women and 81% live in rural areas.
