|
|  |
| SEF IMON |
|
| Summary of Proposed Investment |
| This Summary of Proposed Investment is prepared and distributed to the public in advance of the IFC Board of Directors’ consideration of the proposed transaction. Its purpose is to enhance the transparency of IFC’s activities, and this document should not be construed as presuming the outcome of the Board decision. Board dates are estimates only. |
| Project number | 26345 |
| Company name | International Micro Loan Fund IMON |
| Country | Tajikistan |
| Sector | Finance & Insurance |
| Environmental category | FI |
| Department | Global Financial Markets Group |
| Status | Active |
|
| Date SPI disclosed | January 30, 2008 |
| Projected board date | February 29, 2008 |
| Previous Events | Invested: May 5, 2008
Signed: April 24, 2008
Approved: April 16, 2008 |
|
| Overview |
Sponsor/Cost/Location |
Development Impact |
Contacts |
Attachments |
| Project description |
| The project involves a six year $2,5 million senior loan to International Micro Loan Fund (IMON), a regulated, non-bank Micro Lending Foundation (MLF) based in Khujand, Tajikistan, governed by a Board of Trustees and an independent Board of Directors. The purpose of the loan is to support the growth of IMON’s microfinance lending operations. |
|
| Project sponsor and major shareholders of project company |
| In June 2005, the International Micro Loan Fund “IMON” was founded by a joint initiative of Mercy Corps and the National Association of Business Woman of Tajikistan (NABWT) through the re-registration of their microcredit programme in accordance with the Law on Microfinance of Tajikistan passed on May 16th, 2004. The sponsors are Mercy Corps and NABWT and they are equal partners and co-founders. |
| Total project cost and amount and nature of IFC's investment |
| The project involves a $ 2,5 million senior loan to IMON. |
| Location of project and description of site |
| The purpose of the loan is to support the lending operations of IMON in 33 regions in Western Tajikistan. IMON operates through seven branches (three in Sughd, two in Khatlon Oblast and one in Dushanbe) and 25 Client Service Centers (CSCs) and intends to increase its outreach by opening additional branches in the future. |
|
| Anticipated development impact of the project |
| The development impact of the project is expected to be high and far reaching in terms of its economic support for micro-enterprises and stimulus for employment generation in Tajikistan. More specifically it will improve business opportunities in rural and urban areas, support improved access to finance for micro and small enterprises in a country where there is a significant unmet demand. The project will enhance the expansion plans of IMON and help it become a more sustainable institution by supporting its institutional development and the introduction of new products tailored to the needs of the underserved entrepreneurs. |
 |
| IFC's expected development contribution |
| IFC’s six year loan will support IMON in its institutional development and enhance the increased outreach by expanding its branch offices, improving its organizational set up, the development of new products and introduction of higher level financial management tools. |
| Environmental and social issues - Category FI |
This project involves IFC support for the business of microfinance, and has been classified as a Category FI project according to IFC’s Environmental and Social Review Procedure. Considering the nature of activities supported, the project will be required to:
- Develop a procedure relevant to its business process, prior to disbursement, that is satisfactory to IFC, and that ensures that all its investments are screened and processed to avoid supporting activities on the IFC Microfinance exclusion list;
- Identify qualified persons to manage and implement the procedure;
- Demonstrate commitment and resources to implementing the procedure;
- Submit a periodic report to IFC as per a format to be provided by IFC.
|
|
| For inquiries about the project, contact: |
Ms. Sanavbar Sharipova, Chief Executive Officer
157 Khujandi Str.
735700 Khujand, Tajikistan |
|
| For inquiries and comments about IFC, contact: |
General IFC Inquiries
IFC Corporate Relations
2121 Pennsylvania Avenue, NW
Washington DC 20433
Telephone: 202-473-3800
Fax: 202-974-4384
E Mail: Webmaster |
|
|
|
|