Bogotá, Colombia, March 2, 2010—IFC,
a member of the World Bank Group, is providing Advisory Services to Fundación
Mundo Mujer to support its transformation from a microcredit nongovernmental
organization to a regulated financial institution specializing in microfinance
to increase access to finance for entrepreneurs and low-income households.
IFC’s support focuses on improving the company’s risk management systems,
revising credit policies and procedures, reinforcing its training capacity,
improving the finance and treasury area, and designing and implementing
In addition to the Advisory Services provided, IFC is supporting the growth
of the company’s portfolio with a $6 million senior loan. “Having IFC
accompany us during the transformation process has helped us overcome the
challenges that the transformation implies and better understand the risks
and benefits of becoming a regulated institution,” said Leonor Melo de
Velasco, President of Fundación Mundo Mujer.
“The transformation of Fundación Mundo Mujer into a regulated institution
will increase the scope of financial products and services that the company
is able to provide to its more than 300,000 clients who all belong to low-income
segments of Colombia's population,” said Rachel Kyte, IFC Vice President
for Advisory Services. “In addition, Fundación Mundo Mujer will be able
to incorporate thousands more microenterprises into the formal financial
sector. IFC is committed to supporting the transformation of microfinance
institutions in the region.”
IFC is the only international financial institution focused exclusively
on the private sector, the engine of sustainable development in emerging
markets. Along with IBRD, it is currently seeking a capital increase to
strengthen its ability to create opportunity for the poor in developing
countries—including by helping microfinance institutions reach entrepreneurs
and low-income households.
IFC, a member of the World Bank Group,
creates opportunity for people to escape poverty and improve their lives.
We foster sustainable economic growth in developing countries by supporting
private sector development, mobilizing private capital, and providing risk
mitigation and advisory services to businesses and governments. Our new
investments totaled $14.5 billion in fiscal 2009, helping channel capital
into developing countries during the financial crisis. For more information,
For more information about Fundacion Mundo Mujer, please visit www.fmm.org.co.