Fundación Salvadoreña para el Desarrollo

Gross Loan Portfolio USD, 2010: 1.5 million

Number of active borrowers 2010: 2,595

Average loan balance per borrower USD, 2010: 592.1

Deposits USD, 2010: 0.0

Assets USD, 2010: 1.9 million

Number of depositors 2010: 0

Mission:

Proveer servicios financieros a los microempresarios pobres para liberar a sus familias de la pobreza en las comunidades donde Visión Mundial trabaja

Background and Main Challenges:

Lograr posicionar a FUNSALDE, como una IMF´s que propicie las condiciones de desarrollo a través del crédito, en forma coordinada con las comunidades que atiende Visión Mundial El Salvador, así como la zona de influencia de los PDA´s.

Address:

Avenida Bernal No. 222 Colonia Miramonte

San Salvador

El Salvador

Phone:

(503) 22600594

Fax:

(503) 2260-0594

Email:

funsalde [at] wvi [dot] org

Website:

www.funsalde.org.sv

Main Funding Sources:

Grants

Loans

Products and Services:

Loans

Insurance

Services Provided:

Business Development Services

Health

Education

Looking for (Investment Types):

Loans in Local Currency

Capacity-Building Grants

Donations

Loans in US$

% Operations Comprised by MF:

91 - 100

Date established:

Jan 1 1993

FYE:

31-Dec

Current Legal Status:

NGO

Regulated:

Social Performance Profile


+ Mission specifics
+ Target markets (ranked by importance)
Women	1
Clients living in urban areas	2
Clients living in rural areas	3
+ Development goals (ranked by importance)
Poverty reduction	1
Growth of existing businesses	2
Employment generation	3
Increased access to financial services	4
Development of start-up enterprises	5
+ Poverty targets
Poor clients
Low income clients
+ Governance
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
Loans for agriculture
Housing loans
+ Savings products offered
+ Compulsory insurance products required
Seguro de deuda
+ Voluntary insurance products offered
+ Other financial products and services offered
+ Non-financial services offered
+ Enterprise services offered
Business development services
+ Education services offered
Financial literacy education
Basic health/nutrition education
Child and youth education
+ Health services offered
+ Women's empowerment services offered
Emprendurismo
+ Products and services targeting the poor
Products and services specifically designed to target the poor:	Crédito agrícola
+ 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.
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)
Benefits (medical insurance, pension contribution)
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
Outreach to remote/rural communities
Portfolio quality
+ Social responsibility to the environment
This institution includes specific clauses in its loan contracts to mitigate specific environmental risks
+ Poverty measurement tools in use

Partnerships

Current
Name	Relationship
Asociación de Organizaciones de Microfinanzas	Network Affiliation
REDCAMIF	Network Affiliation
Vision Fund	Network Affiliation

MFI Report