Present in all regions of Peru, Financiera Confianza is a leading company in the country’s microfinance sector. Its mission makes a difference: to create development opportunities for low-income families by increasing their income and quality of life through Responsible Productive Finance (the entity’s specialty and methodology).
- The General Manager of Financiera Confianza, Martín Naranjo Landerer, stated that female entrepreneurs account for over half of the customers seen by the organization last year.
- Confianza also helped more than 40,000 entrepreneurs to access the financial system in 2014; about 90% of these entrepreneurs were in vulnerable conditions.
- The General Counsel and Manager of Legal Services of the BBVA Microfinance Foundation, Paloma del Val, presented “Progreso”, a magazine about legal affairs in the microfinance sector.
Present in all regions of Peru, Financiera Confianza is a leading company in the country’s microfinance sector. Its mission makes a difference: to create development opportunities for low-income families by increasing their income and quality of life through Responsible Productive Finance (the entity’s specialty and methodology).
The General Manager of Financiera Confianza, Martín Naranjo Landerer, stated that, in line with its mission and as a member of the BBVA Microfinance Foundation, Confianza serve 207,019 loan customers in 2014, 87% of whom were vulnerable people.
“Out of the 207,019 loan customers at the close of last year, 51% were women, 39% were young people (less that 35 years old), and 23% came from rural areas. This is an example of our commitment to the disadvantaged people in our country, and to reaching rural areas”, stated the former Director of Banking and Insurance.
In terms of new customers in 2014, Financiera Confianza provided its services to 87,570 entrepreneurs across the country: 87% of them came from poor or financially vulnerable situations; 52% were women; and 53% were young people (less than 35 years old). 40.8% were able to access the financial system thanks to Financiera Confianza. In other words, more than 40,167 male and female entrepreneurs were awarded loans for the first time.
With regard to customer progress, after three years with Confianza, their sales have increased by 23% annually, their assets have risen by 43% and their surplus is increasing by 23% on average every year. Also, in their second year with the organization, 23% of its customers leave monetary poverty.
In addition to loans, savings and insurance, Financiera Confianza has provided financial education to 38,852 customers in 2014.
Financiera Confianza is the only microfinance organization that is present in all 25 regions of Peru. It helped about half a million customers last year, and it has the largest rural network in the country. Confianza is also the leading microfinance organization in terms of loans to the agricultural sector.
Its methodology and specialty, Productive Finance, has also allowed Confianza to build a high quality portfolio with the lowest default rate in the Peruvian microfinance system. This methodology involves a responsible credit assessment, and the condition that its customers’ business must generate surplus and, as such, ensure their sustainable financial and social development.
“Progreso”, a magazine on legal affairs related to microfinance
Paloma del Val, the General Counsel and Manager of Legal Services of the BBVA Microfinance Foundation, was in Lima to present the second issue of the online magazine “Progreso: Responsible Finance for Inclusion and Development”, a publication about legal developments in microfinance that further strengthens the Foundation’s commitment with this sector’s development.
Created by the Foundation’s Legal Service, “Progreso” includes the most important legal and regulatory changes and new developments in global corporate governance; readers have direct access to the documents referred to in the magazine as well as comments by experts, opinion pieces and interviews.
“Progreso” targets the main players in the world of microfinance: governments, regulatory bodies, supervisory bodies, legislators, international multilateral organizations, universities with microfinance degrees, rating firms, the media, Spanish and international foundations and non-profit financial organizations, financial associations and institutions, among others.
“Progreso: Responsible Finance for Inclusion and Development” is published in Spanish and English and can be found on the corporate website of the BBVA Microfinance Foundation