Press Release: International Finance Corporation Loaning $2.5m to La Fayette Microfinance Bank, Nigeria
Tuesday, March 17, 2015
The International Finance Corporation (IFC), a member of the World Bank Group, is investing NGN 400 million (USD 2.5 million) in La Fayette Microfinance Bank, one of eight members of the Advans Network of microfinance institutions, which is based in Luxembourg and managed by Horus Development Finance of France. The investment will support the growth of La Fayette, which was created in June 2012 and target micro-, small and medium-sized enterprises in Nigeria’s urban areas.
Zine Otmani, Managing Director of La Fayette, commented that, “Partnering with IFC will not only bring in much needed capital but will give us access to technical expertise that will help us achieve our goal of building a network of highly effective microfinance [service locations] that help grow the nation’s economy” . La Fayette has a gross loan portfolio of USD 5.8 million, with the average loan amount being USD 1200, an ROA of -2.43 percent and ROE of -5.32 percent . La Fayette has received USD 786,166 in deposits from 8,432 depositors.
As of 2015, the Advans network serves approximately 537,233 loan clients via 140 branches in eight countries: Cambodia, Cameroon, Côte d’Ivoire, Democratic Republic of the Congo, Ghana, Pakistan, Tanzania, and Nigeria. As of March 2013, Advans SA held total assets of EUR 45.0 million (USD 61.7 million) and committed capital of EUR 43.6 million (USD 58 million).