Oikocredit Presents Social Performance Report 2010
DAR ES SALAAM,Tanzania, June 16, 2011 /CNW/ - The social results of microfinance should be as fundamental to the
sector's growth as financial results. Today, Oikocredit releases its
Social Performance Report at the Annual General Meeting in Tanzania.
This report shows positive change in the lives of borrowers,
particulary women in rural areas, in line with Oikocredit's vision to
responsibly reach more people with fair finance.
Last year saw Oikocredit reach more than 28 million people through its
microfinance partners, with over 1.2 million individuals directly
benefiting from Oikocredit funding. An impressive 86% of those who
accessed financial services through Oikocredit partners are women. The
small and medium-sized enterprises that receive Oikocredit funding
provide 61,000 people with permanent jobs.
"Our financial services are tightly bound with our social objectives.To
achieve social goals, it is essential that we measure who we reach and
how financial support translates into their lives," said Oikocredit
director Social Performance & Financial Analysis Ben Simmes. "Initial
results from client surveys in Peru, Ecuador and the Philippines
facilitated by Oikocredit measured positive change in the lives of
borrowers over a number of years. We are rolling out similar studies in
Oikocredit's total development financing portfolio amounted to € 481
million with € 388 invested in microfinance and € 93 million in social
enterprises. Oikocredit partners include over 230 cooperatives and
almost 50 fair trade organizations.
Supporting smaller, start-up microfinance institutions (MFIs) that have
potential to reach the poor - particularly those in rural areas - is an
important Oikocredit strategy that widens access to finance. Results
from 2010 show 90% of new loans in 2010 were issued to so called second
and third segment MFIs, emerging MFIs with small to medium portfolios.
Oikocredit carefully selects its partners based on their mission,
outreach and operations. The environmental, social and governance (ESG)
scorecard that Oikocredit developed to identify our partners'
governance structure and their social and environmental commitment
enables a very detailed and careful selection of our partners. All new
loan contracts to microfinance partners include adherence to the Client
Protection Principles which ensures they provide transparent prices for
services and responsible finance. Externally, international
microfinance rating agency M-CRIL highly commended Oikocredit on its
social orientation, next to its sound financial performance.
This year, over 90% of Oikocredit microfinance partners reported social
data, signaling the increased priority of reporting on social
performance. Oikocredit is proud to be at the forefront of social
performance management and will carry on its social mission of the past
35 years with dedication and tenacity focusing on the difference fair
finance makes in the lives of the poor.
Visit http://www.oikocredit.org/socialperformance to read the full Social Performance Report 2010 and for more
information on social performance and Oikocredit.
Oikocredit is a social investor and worldwide cooperative that promotes
global justice by empowering disadvantaged people with credit. Since
1975, Oikocredit has offered loans and investment capital to
microfinance institutions, cooperatives, fair trade and other
businesses. Today, Oikocredit has 863 project partners in more than 70
countries. For more information, visit http://www.oikocredit.org.
For further information:
Press contact Oikocredit International: Kawien Ziedses des Plantes, firstname.lastname@example.org, +31(0)6-272-549-04. Press contact Oikocredit USA: Terry Provance, email@example.com, +1-202-728-41-40. Press contact Oikocredit UK & Ireland: Patrick Hynes, firstname.lastname@example.org, +44(0)1995-602806.