Annual Survey 2014: e-MFP Action Group of Investors in Tier 2/3 MFIs

This report presents a consolidated analysis of the portfolios of investment in MFIs as of the end of 2013 by tier, type of investment, geographical location, and trends. It classifies MFIs on the basis of three criteria: asset size, sustainability, and transparency. It provides data on the number of funders, number of investments, number of countries where investments have been made, and portfolio of investments in tier 2/3 MFIs. The report was prepared by the e-MFP action group of investors. Key findings include:

• Investments in tier 2/3 MFIs represent 23% of the total microfinance portfolio and 58% of the total number of investments;
• Average investment in tier 2/3 MFIs is EUR 0.79 million;
• Eastern Europe and Central Asia receives almost 50% of Tier 2/3 MFIs investments, Latin America and the Caribbean gets 25%, and the top 10 worldwide countries receive more than 50% of the total investments;
• Around 90% of the amount of investments is through debt instruments;
• In all regions the number of investments in Tier 2/3 MFIs has decreased except for MENA where it hasn’t changed and Sub-Saharan Africa where it has increased;
• Five out of the 11 investors offered 44 Technical Assistance (TA) programs.