Quick Facts

Countries:
Where the impacts of the investment may be experienced.
  • Myanmar
Banks:
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
  • Netherlands Development Finance Company (FMO)
Bank Risk Rating: C
Risk rating varies among banks and may refer only to the particular investment and not to the risk for the project as a whole. Projects marked 'U' have an 'Unknown' risk rating at the time of disclosure.
Board Decision Date: 2016-10-04
The estimate day the bank will vote on a proposed investment. The decision dates may change, so review updated project documents or contact the EWS team.
Borrower or Client: Early Dawn Microfinance (DAWN)
The holder of the loan, grant, or other investment.
Sectors:
The service or industry focus of the investment. A project can have several sectors.
  • Finance
Investment Amount (USD): $ 3.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Project Cost (USD): $ 3.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please see updated project documentation for more information.

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Primary Source

Original disclosure @ FMO website
Updated in EWS: 2017-08-01
EARLY DAWN MICROFINANCE COMPANY LTD
FMO-49687

Project Description
The funding equivalent of USD 3 million in LCY will be fully used to provide micro loans to women with limited or no access to capital in the (semi) urban areas in Myanmar. The impact of the project is significant, given that this is one of the first long-term debt products provided to the financial sector in a highly underserved market. Through DAWN, FMO is able to pursue its inclusive goal, as DAWN focuses on microfinance to financially underserved women in (semi) urban areas. It is also an excellent opportunity for FMO to substantiate its presence and achieve a strategic foothold in Myanmar, a relatively new market for FMO and a LIC55. Myanmar is one of the poorest countries of Southeast Asia with a GDP per capita of USD 1,203 (below Laos, and in line with Cambodia). However, with its sheer population size of 54 million, its large natural resource base and its geographic location near large markets, it has huge potential. The impact is large as FMO contributes to the development of a high-quality microfinance institution in a relatively new market environment.
Investment Description
Early Dawn Microfinance (DAWN) is one of the earliest microfinance institutions (MFIs) established in Myanmar. It was a program created in 2002 by the NGO, Save the Children, which was jointly acquired by Accion (40 percent), Triodos (30 percent) and FMO (30 percent) in March 2015, with the goal to establish DAWN as a premier MFI and model for Myanmar's nascent microfinance sector. It was FMO's first investment in Myanmar. DAWN is one of Myanmara€™s top 5 MFIs, with a balance sheet of USD 10 million and a loan portfolio of USD 9 million.