The Deutsche Bank Microcredit Development Fund

Mission:

To support the development of local microfinance systems that serve the working poor.

The Deutsche Bank Microcredit Development Fund, a registered 501 (c) 3 non-profit, helps established microfinance institutions reach scale and long-term sustainability by encouraging relationships with local financial institutions. The DB MDF provides catalytic funds as collateral for leveraging loans, typically 2:1.

Fund Size:

Approximately $4,000,000

Products:

Deposits and guarantees to local financial institutions

Currency:

Loans are issued in US dollars. The client places the funds on deposit as collateral with a local financial institution, which provides a local currency loan. When the local loan is repaid, the deposit is liquidated and repaid to the DB MDF. This minimizes the foreign currency exposure of the borrower.

Interest rates:

Interest rates reflect the philanthropic nature of the DB MDF. In the case of loans, the interest income earned on the deposit is retained by the microfinance institution, offsetting some or all of the interest expense of the loan.

Size:

$25,000 to $250,000

For qualifying borrowers, loan amounts can be doubled through co-lending from other Deutsche Bank managed philanthropic funds.

Amortization:

Bullet Maturity

Tenor:

1- 5 years.

To Apply:

For an application package, please contact Asad Mahmood at Asad.Mahmood@db.com.

Investors:

The DB MDF is supported by social investors, private clients of Deutsche Bank, and the Deutsche Bank Americas Foundation. Donations in any amount are accepted. Program Related Investments from foundations are welcomed, with terms to be discussed on a case-by-case basis. Interested donors or investors should contact Asad Mahmood at Asad.Mahmood@db.com.

Microcredit Development Fund
Client showcase

Fund Profile

Microfinance Development Fund

Footer Navigation:
Last Update: November 23, 2012
Copyright © 2014 Deutsche Bank AG, Frankfurt am Main