Oikocredit: Access to Credit Empowers 28 Million Borrowers

DAR ES SALAAM,Tanzania, June 16, 2011 -

- Oikocredit Presents Social Performance Report 2010

The social results of microfinance should be as fundamental
to the sector‘s growth as financial results. Today,
Oikocredit releases its Social Performance Report at the Annual
General Meeting in Tanzania. This report shows
positive change in the lives of borrowers, particulary women in
rural areas, in line with Oikocredit‘s vision to
responsibly reach more people with fair finance.

Last year saw Oikocredit reach more than 28 million people
through its microfinance partners, with over 1.2 million
individuals directly benefiting from Oikocredit funding. An
impressive 86% of those who accessed financial services through
Oikocredit partners are women. The small and medium-sized
enterprises that receive Oikocredit funding provide 61,000 people
with permanent jobs.

“Our financial services are tightly bound with our social
objectives.To achieve social goals, it is essential that we measure
who we reach and how financial support translates into their
lives,” said Oikocredit director Social Performance & Financial
Analysis Ben Simmes. “Initial results from client surveys in Peru,
Ecuador and the Philippines facilitated by Oikocredit measured
positive change in the lives of borrowers over a number of years.
We are rolling out similar studies in other countries.”

Oikocredit’s total development financing portfolio amounted to €
481 million with
€ 388 invested in microfinance and € 93 million in social
enterprises. Oikocredit partners include over 230 cooperatives and
almost 50 fair trade organizations.

Supporting smaller, start-up microfinance institutions (MFIs)
that have potential to reach the poor - particularly those in rural
areas - is an important Oikocredit strategy that widens access to
finance. Results from 2010 show 90% of new loans in 2010 were
issued to so called second and third segment MFIs, emerging MFIs
with small to medium portfolios.

Oikocredit carefully selects its partners based on their
mission, outreach and operations. The environmental, social and
governance (ESG) scorecard that Oikocredit developed to identify
our partners’ governance structure and their social and
environmental commitment enables a very detailed and careful
selection of our partners. All new loan contracts to microfinance
partners include adherence to the Client Protection Principles
which ensures they provide transparent prices for services and
responsible finance. Externally, international microfinance rating
agency M-CRIL highly commended Oikocredit on its social
orientation, next to its sound financial performance.

This year, over 90% of Oikocredit microfinance partners reported
social data, signaling the increased priority of reporting on
social performance. Oikocredit is proud to be at the forefront of
social performance management and will carry on its social mission
of the past 35 years with dedication and tenacity focusing on the
difference fair finance makes in the lives of the poor.

Visit www.oikocredit.org/socialperformance
to read the full Social Performance Report 2010
and for more information on social performance and
Oikocredit.

Oikocredit

Oikocredit is a social investor and worldwide cooperative that
promotes global justice by empowering disadvantaged people with
credit. Since 1975, Oikocredit has offered loans and investment
capital to microfinance institutions, cooperatives, fair trade and
other businesses. Today, Oikocredit has 863 project partners in
more than 70 countries. For more information, visit
www.oikocredit.org.

Press contact Oikocredit International: Kawien Ziedses des Plantes, kziedsesdesplantes at oikocredit.org, +31(0)6-272-549-04. Press contact Oikocredit USA: Terry Provance, usa at oikocredit.org, +1-202-728-41-40. Press contact Oikocredit UK & Ireland: Patrick Hynes, uk at oikocredit.org, +44(0)1995-602806.