Financiera Mexicana para el Desarrollo Rural, S.A. DE C.V., SOFIPO

Gross Loan Portfolio USD, 2011: 9.4 million

Number of active borrowers 2011: 19,780

Average loan balance per borrower USD, 2011: 473.7

Deposits USD, 2011: 8.7 million

Assets USD, 2011: 14.8 million

Number of depositors 2011: 34,109

Mission:

Atender las necesidades de servicios financieros de personas y microempresas de zonjas rurales y suburbanas de México, con operaciones rentables, fiables y permanentes.

Background and Main Challenges:

Lograr una presencia creciente en el mercado de finanzas populares, basado en la confianza de la clientela en que la institución promueve el desarrollo de los acreditados y ahorradores, ello en virtud de cualidades de Finamigo en materia de innovación, ética, sólidez y sentido de beneficio de ... Read more

Address:

Insurgente Sur no. 1844 Piso 2, Florida

México D.F.

CP 1030

Mexico

Phone:

5322-3770

Fax:

5661 6978

Email:

mmata [at] financierafinamigo [dot] com [dot] mx

Website:

www.finamigo.com.mx

Main Funding Sources:

Loans

Products and Services:

Loans

Voluntary Savings

Insurance

Funds Transfer Services

Looking for (Investment Types):

Loans in Local Currency

Date established:

Jan 1 2003

FYE:

31-Dec

Current Legal Status:

NBFI

Regulated:

yes

Social Performance Profile


+ Mission specifics
+ Target markets (ranked by importance)
Clients living in rural areas	1
Women	2
Clients living in urban areas	3
Adolescents and youth (below 18)	4
+ Development goals (ranked by importance)
Increased access to financial services	1
Growth of existing businesses	2
Development of start-up enterprises	3
Employment generation	4
Poverty reduction	5
Housing	6
Improvement of adult education	7
Children's schooling	8
Gender equality and women's empowerment	9
+ Poverty targets
Low income clients
+ Governance
Has trained members of its board on social performance management
Has a formal board committee that monitors social performance
+ Range of products and services
+ Financial products and services offered
+ Credit products offered
Microcredit loans for microenterprises
Microcredit for household needs/consumption
Housing loans
+ Savings products offered
Checking accounts
Voluntary savings accounts
Compulsory savings accounts (cash collateral)
Fixed term deposits
Special purpose savings accounts
Tarjetas prepagadas
+ Compulsory insurance products required
+ Voluntary insurance products offered
Voluntary credit life insurance
Voluntary life insurance
Voluntary health insurance
Gastos Médicos Mayores, Seguro de Inmigrante
+ Other financial products and services offered
Debit/credit card
Remittances services
+ Non-financial services offered
+ Enterprise services offered
+ Education services offered
Financial literacy education
+ Health services offered
+ Women's empowerment services offered
Leadership training for women
Women's rights education/gender issues training
+ Products and services targeting the poor
Products and services specifically designed to target the poor:
+ Social responsibility to clients
+ Client protection principles in use
The loan approval process requires evaluation of borrower repayment capacity and loan affordability. Loan approval does not rely solely on guarantees (whether peer guarantees, co-signers or collateral) as a substitute for good capacity analysis.
Internal audits check household debt exposure, lending practices that violate procedures including unauthorized re-financing, multiple borrowers or co-signers per household, and other practices that could increase indebtedness.
Productivity targets and incentive systems value portfolio quality at least as highly as other factors, such as disbursement or customer growth. Growth is rewarded only if portfolio quality is high.
Prices, terms and conditions of all financial products are fully disclosed to the customer prior to sale, including interest charges, insurance premiums, minimum balances, all fees, penalties, linked products, third party fees, and whether these can change over time.
Staff is trained to communicate effectively with all customers, ensuring that they understand the product, the terms of the contract, their rights and obligations. Communications techniques address literacy limitations (e.g. reading contracts out loud, materials in local languages).
Acceptable and unacceptable debt collection practices are clearly spelled out in a code of ethics, book of staff rules or debt collection manual.
The organization's corporate culture values and rewards high standards of ethical behavior and customer service.
A mechanism to handle customer complaints is in place, has dedicated staff resources, and is actively used. (Suggestion boxes alone are generally not considered adequate.)
Customers know how their information will be used. Staff explains how data will be used and seeks permission for use.
+ Cost of services to clients
Declining balance interest method
+ Social responsibility to staff
+ Human resources
Transparency on salary (a clear salary scale based upon market salaries)
Protection at work (safety, anti-harassment)
Equality (anti-discrimination, equal pay for men and women with equivalent skill levels)
+ Basis of staff incentives related to social performance
Ability to attract new clients from target market
Portfolio quality
+ Social responsibility to the environment
This institution includes specific clauses in its loan contracts to mitigate specific environmental risks
This institution identifies enterprises with environmental risk
+ Poverty measurement tools in use

Partnerships

Current
Name	Relationship
AMSOFIPO	Network Affiliation
Freedom from Hunger	Partner
Prodesarrollo	Network Affiliation

MFI Report