Bancamía delivered 67,150 loans to entrepreneurs in the microenterprise sector in the first quarter of 2016

17 May 2016

In the three first months of 2016, Bancamía delivered productive loans to 19,100 new customers and disbursed COP $248,634 million. 75% of the entrepreneurs who receive loans from the bank are in a condition of monetary vulnerability. In March 2016, Bancamía had 800,355 customers, whom it served with loans, savings, insurance* and investment products.

In order to measure the effect of its work on its customers’ development, Bancamía compiles a Social Performance Report, or “Measuring Impact and Strategic Development” (MIDE) with the aim of measuring the impact and social performance of its activity, and the effect that running productive activities has on the lives of the people the bank supports. The report is a hallmark of the BBVA Microfinance Foundation Group, and the impact measurement is compiled by its member banks.

With a model of sustainable management, focused on ensuring shared value for all the various stakeholders, the results for the activity show how Bancamía’s value offer contributes to reducing poverty.

In the first quarter of the year, Bancamía served 19,100 new entrepreneurs in the microenterprise sector and reached 800,355 customers –40% in rural areas–, whom it supports with financial products and services through its 200 branch offices located in 91% of the departments in Colombia. Between January and March 2016 the bank also delivered 61,750 productive loans for a value of COP $248.634 billion, and currently has a portfolio of over COP $1.1 trillion.

75% of Bancamía’s loan customers are in a condition of monetary vulnerability, and it thus serves a segment of the population that is normally excluded from the formal financial system. 57% of the people served by the bank have a maximum of primary education. They all obtained a productive loan to improve their quality of life and that of the people around them in spite of their educational level.

According to the MIDE data, after two years, 30% of the entrepreneurs in the microenterprise sector who continue their relation with Bancamía, and were classified as poor when they joined the bank, have risen above the poverty threshold.

In addition, access to formal financial product has a positive impact on women, who represent 56% of the bank’s customers, 79% are mothers, and 24% are heads of household. 84% of Bancamía’s female entrepreneurs belong to strata 1 and 2, proving that the bank is succeeding in reaching those most in need thanks to its ability to provide services in different areas of the country.

The impact of the bank’s value offer reveals positive levels of expansion in its customers’ businesses in terms of sales, with an average growth of 19.4%. The surpluses show a similar pattern, with an average of over 22%, 24% for wealth, and 27.5% for assets. The credit share has a weight of 7.4% as a percentage of the sales of the productive unit.

Note: Figures for the MIDE project (Measuring Impact and Strategic Development) up to 31 March 2016.

* Group insurance policies subscribed by Bancamía on behalf of their customers with Mapfre Colombia Vida Seguros S.A. (voluntary life and life debtors), BBVA Seguros de Vida Colombia S.A. (funeral) and AIG Seguros Colombia S.A. (damages).