Investing in MicrofinanceMicrofinance is a remarkable form of poverty alleviation because it can generate financial returns while simultaneously providing access to financial products and services for the previously un-banked working poor. ACCION is leading the pursuit of this double-bottom line approach by investing in the stability of our partners and facilitating microfinance access to the capital markets.
ACCION International focuses on developing sustainable microfinance institutions (MFIs) capable of attaining scale and reaching hundreds of thousands, and eventually millions, of clients. To achieve this goal, ACCION is committed to making microfinance an integral part of the financial systems of developing countries. By providing early-stage equity, quasi-equity financing and loan guarantees, ACCION helps MFIs become independent of donor funds, attract deposits and attain financial leverage. ACCION links MFIs to commercial banks and capital markets by guaranteeing local currency borrowings and the issuance of fixed-income instruments. In addition, ACCION invests in new technologies that can powerfully enhance the way that financial services are delivered to the poor. The vehicles through which ACCION provides financing are managed by ACCION's Global Investments Group (investments in MFIs and frontier investments) and ACCION Investment Management Company, LLC.
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Industry Initiatives
In addition to its core business areas, ACCION's Global Investments group actively seeks to advance industry development by promoting and participating in collaborative relationships that capitalize on the comparative strengths of leading industry players and by undertaking activities that build our collective knowledge and capacity to react to a rapidly changing and evolving industry. Examples of our efforts in this capacity include: - Foreign Exchange Risk Mitigation Facility. ACCION is a steering committee member for this initiative.
- Standard & Poors Microfinance Ratings Criteria Working Group.
- Microfinance credit risk training for the financial community
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