We have been contacted by a funder looking to provide €1-4 million to support financial institutions focused on smallholder farmers.
TARGET ENTITIES
- traditional banking institutions actively lending to smallholder farmers and agri-SMEs (e.g. agri-banks, microfinance institutions) or seeking to grow their agri-portfolio;
- insurance companies covering the agricultural risks of smallholder farmers and agri-SMEs;
- non-banking financial intermediaries lending to smallholder farmers, cooperatives, savings and credit cooperatives, farmers’ organizations, and agri-SMEs;
- fintech and alternative lenders.
FINANCIAL CRITERIA
| SME Banks
& Deposit Taking MFIs |
Other MFIs
& Non-bank FIs |
Fintech
& Alternative Lenders |
|
| Years of operations | ≥ 3 years, minimum | ≥ 3 years, minimum | ≥ 1 year, minimum |
| Size | Portfolio size > USD 10M | Portfolio size > USD 5M and/or
Sales / Income > USD 1M |
Portfolio > USD 1M, or Disbursements > USD 1M, or Sales / Income > USD 1M |
| Asset Quality
(incl. w/offs) |
PAR30 < 15% | PAR30 < 15% | PAR30 < 10% |
| Closing Leverage | Debt to equity <5x | Debt to equity < 4x | Debt to equity < 5x |
| Profitability | Break even, or profitable month-on-month | ||

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