Microfinance firm Bandhan Financial Services Pvt Ltd states that it has raised private equity funding of Rs 135 crore (USD 29 million) from International Finance Corporation (IFC). The deal marks the single-largest exposure by the World Bank arm to India’s microfinance sector.
Realisation that the economy is no longer being driven by the corporate giants, has made banks change tack to look for the little business person. Central Bank Kenya noted that the microfinance sector was attracting commercial banks with a number of institutions changing their products to get part of the microfinance business.
There are about 500 microfinance networks in Egypt, and Ranya Abdel Baki, the executive director of Sanabel, a Cairo-based network serving the microfinance network in the Middle East, said the country represents the largest borrowers market in the Middle East, and she saw no signs of a slowdown.
Leading microfinance firm Basix, which is facing a huge debt crisis, on Thursday said it will wait till the middle of the month for an urgent Rs 450-crore funding from banks, failing which it will have no option but to look for foreign investors.