Empowering 28 Million Borrowers

June 16, 2010

Oikocredit, the social investment fund, issued a report today illustrating material improvements to the lives of more than 28 million people last year..

More than 1.2 million individuals benefited directly from Oikocredit funding of MFIs, and the majority of those individuals (86%) were women in rural areas, according to the Social Performance Report, released during Oikocredit's annual meeting in Tanzania. Funding to small and medium sized enterprises also created 61,000 new jobs.

"Our financial services are tightly bound with our social objectives," explained Ben Simmes, Director of Social Performance & Financial Analysis at Oikocredit. "To achieve social goals, it is essential that we measure who we reach and how financial support translates to their lives."

Preliminary results of client surveys in Peru, Ecuador and the Philippines "measure positive change in the lives of borrowers over a number of years," Simmes said. Similar studies are planned for other countries as well.

Founded in 1975 to promote global justice by empowering the disadvantaged credit, Oikocredit works with 863 partner organizations in 70 countries. Last year, Oikocredit's development financing portfolio totaled 481 million Euros ($673.4 million). Of that, 388 million Euros ($543.2 million) was invested in microfinance and 93 million Euros helped to fund social enterprises.

Oikocredit also said it has expanded its reach to second and third tier MFIs, particularly those in rural areas. In fact, 90% of new loans by Oikocredit were to these emerging MFIs.

Copies of the 2010 Social Performance Report are available for download here.

In 2009, 8% of North American adults were unbanked, compared to 80% of adults in Sub-Saharan Africa

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