MICROCAPITAL BRIEF: The Grameen Crédit Agricole Foundation lends $1.1 million in local currency to the Asian Credit Fund for housing and business microfinance in rural Kazakhstan
The Luxembourg-based Grameen Crédit Agricole (GCA) Foundation announced that it had lent approximately $1.1 million in local currency to Kazakhstan’s Asian Credit Fund (ACF) microfinance institution for a three-year term. . Founded in 1997 by the American NGO Mercy Corps, ACF provides financial and non-financial services supporting rural development, small businesses and home ownership. These services include collective and individual loans – with or without collateral – as well as the provision of data on agriculture and other forms of activity. Among its loan products is a home loan for energy efficiency improvements combined with consultancy services.
ACF has a gross portfolio of $19 million and serves 27,000 beneficiaries, 70% of whom are women and 93% live in rural areas. For the year 2020, the institution reported net profit of KZT 370 million (USD 857,000), return on assets of 4.5% and return on equity of 19%, ending the period with an asset total of KZT 9.0 billion (USD 21). million).
Crédit Agricole, a French retail bank, in partnership with Muhammad Yunus, the founder of Grameen Bank, created the GCA Foundation in 2008. The organization seeks to reduce poverty by providing financing and technical assistance to institutions of microfinance and other social enterprises. As of December 2021, the GCA Foundation has a portfolio of 78 million euros ($88 million) in circulation with 81 partners in 37 countries in Africa and Eurasia. About 81% of its beneficiaries live in rural areas and 90% are women.
By Vighnesh Avadhanam, Research Associate
Sources and additional resources
GCA Foundation press release
Profile of the GCA Foundation on ACF
ACF annual report
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