HANOI – Dutch progression bank FMO has proposed a $7. 5 million investment in BRAC Myanmar Microfinance Company Limited (BRAC), a for-profit establishment in Myanmar, according to its disclosure.
The investment follows $2. 5 million in investment that BRAC earned in 2018 from Massif, the monetary inclusion fund that FMO manages on behalf of the Dutch government.
BRAC, a wholly owned subsidiary of BRAC International Holdings BV, offers micro and small loans, small business loans, agricultural loans and disability loans.
Since its opening in 2014, BRAC has focused on supporting women. Of its 137,000 customers, 98% are women. The bank’s loan portfolio in June over $33 million.
The FMO said BRAC will use this investment to offer more micro and small loans to neglected women.
“This loan is very inclusive and supports FMO’s strategy because the budget will go on to the financially neglected in the peri-urban spaces of Myanmar, a fragile, low-income state,” the lender said in disclosure.
More recently, the FMO committed $15 million to Myanmar’s Global Microfinance Fund, a wholly owned subsidiary of Pact Inc. , Myanmar’s microfinance institution, with more than 27% market share.
Previously, the Dutch influence investors had proposed a $3 million investment in Maha, a deposit-accepting money service provider operating in rural Myanmar, to help Maha succeed in farmers and small business owners.
In August, the FMO committed $33. 3 million for corporations operating in asia’s upcoming economies that are expected to be affected by the pandemic.
This commitment was one of more than $300 million that has an effect on investors that it has allocated to corporations around the world as a component of its COVID-19 pandemic continuity program.
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