| Project description |
| The proposed project entails supporting Ceape-MA (“CM” or the “Client”) to diversify its funding with an investment of up to USD 3 million. |
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| Project sponsor and major shareholders of project company |
| The Support Centre for the Micro-entrepreneurs of the state of Maranhão (“CM” or the “Company”) was founded in 1989 with the support from UNICEF and ACCIÓN INTERNATIONAL. CM is recognized as the leading NGO in Brazil providing microcredit to micro-entrepreneurs. They operate in the state of Maranhão. |
| Total project cost and amount and nature of IFC's investment |
| The proposed project entails an up to BRL 5 million investment to help the company to increase and diversify its funding sources, increasing its outreach. |
| Location of project and description of site |
| CM is Headquartered in the Brazilian city of São Luis, the capital of the state of Maranhão, which has one of the lowest per capita income (USD2,700 PPP), the lowest HDI index according to the UN (0.543), and the smallest urbanization ratio (68%) among Brazil’s 26 states. The state has an area area larger than Italy, with a population of 6 million people. The company operates in 68 of the 217 municipalities of the state, and has an outstanding portfolio of USD 10 million with about 20 thousand active clients. |
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| Anticipated development impact of the project |
| The proposed project development impacts are expected to be high and far reaching. CM would be able to extend its services to a larger portion of the population in the state of Maranhão. The outcome range from job creation to poverty reduction. |
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| IFC's expected development contribution |
| With the support from IFC, the company would be able to attract new sources of funding and partners to increase its outreach. IFC would also bring its worldwide experience helping Ceape to adhere to best microfinance practices and improve its transparency. |
| 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. As part of the project, the IFC is including an advisory services component to help restructure the organization. Considering the nature of activities supported and the timeline for restructuring the organization, the project will be required to:
- Develop a procedure relevant to its business process, in the course of the reorganization of the NGO into a for-profit company, but in any case within no more than 6 months after disbursement that is satisfactory to IFC, and that ensures that all its investments are screened and processed to avoid supporting activities on the Microfinance Exclusion List
- Identify qualified persons to manage and implement the procedure
- Commit to implement the procedure
- Submit a periodic report to IFC as per a format to be provided by IFC
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| For inquiries about the project, contact: |
Mrs. Claudia Fernandes Cisneiros
Executive Director
Ceape-MA
Rua Oswaldo Cruz, 1055, Centro
CEP: 65020-251
São Luís – Maranhão – Brazil
Telephone: +55 11 2107-3000 |
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| 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 |
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