5 th AFRACA Microfinance Forum “Optimizing Financial Service delivery to Rural Areas”

1. 5thAFRACA Microfinance Forum “Optimizing Financial Service delivery to Rural Areas” Thierry Marotine Head of Development Microfinance Unit Crédit Agricole SA, Paris 2nd – 4th July, 2008 – Cotonou

2. Our initiative to improve microfinance outreach • Our alliance: Grameen Crédit Agricole • Our objective • Our analysis Our alliance • Our positioning: reinforce MFIs in a consolidation phase • Our offer: Grameen Crédit Agricole Microfinance Foundation

3. A fundamental meeting Georges PAUGET, CEO of Crédit Agricole S.A. meets Pr. Muhammad Yunus Founder of Grameen Bank and laureate of the2006 Nobel Peace Prize July 2007 – Dhaka:

4. The Crédit Agricole Group French leader in retail banking • No. 1 banking network in France with 9,100 branches • 39 Regional Banks • 26 million retail banking customers • No.1 in France for savings, bank lendind, and business financing A group with a global reach • Present in more than 70 countries • 161,800 employees worldwide • Specialised financial services in 21 countries • Asset management, insurance and private banking in 34 countries • Corporate and Investment Banking, Calyon in 58 countries

5. Grameen Bank Background • 1976: Grameen Bank Project was born in the village of Jobra, Bangladesh • 1983: it was transformed into a formal bank Outreach • 7.46 million borrowers, 97 % women • Borrowers own 94 % of the total equity • 2,504 branches in 81,574 villages • 25,156 employees • Total amount of loan disbursed, since inception:US$ 6.90 billion • Loan recovery : 98.22 % • 100 % Loans Financed From Bank’s Deposits

6. Our objective To contribute to the fight against poverty with the microfinance tool through an independent and not-for profit entity Foundation status

7. Our alliance Crédit Agricole’s capacity to mobilise its image, its know-how and its networks Need to be fully in phase in the specific context of developing countries and with the needs of the MFIs Our alliance

8. Our alliance A privileged partnership benefiting from the reference in microfinance: Pr Muhammad Yunus, laureate of the 2006 Nobel Peace Prize The creation of the Grameen Crédit Agricole Microfinance Foundation Founders : Crédit Agricole s.a. Grameen Trust

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10. Our positioning Reinforce microfinance institutions which are in a consolidation phase Why ? Today, in the microfinance world, an increasing number of MFIs have attained a large enough client base but they need to be supported in the sensitive phase of their development Unmatched demand by MFIs that operate in agricultural and rural zones and that help women

11. 4 3 2 Our positioning 1 Consolidation Development Beginning Integration NGO donations & subsidies NGO donations Local financing Investment funds Capital markets Investment funds Capital markets IFI funding Local banking support Guarantee funds

12. Our positioning Reinforce microfinance institutions through financial and technical support and a complete range of services: Offer guarantees to MFIs instead of credit lines Lend in local currencies rather than in hard currencies Help intermediary MFIs to increase their capital funds Accompany MFIs with technical assistance for their diversification and professionalism and facilitate their access to information technologies No vocation to distribute grants or subsidies

13. Our organisation Grameen Crédit Agricole Microfinance Foundation: a Foundation under Luxembourg laws: A board composed of 10 to 13 members coming from Crédit Agricole Group and Grameen Trust (including Pr Yunus) as well as experts recognised in development and microfinance An irreversible endowment of 50 million euros by Crédit Agricole S.A. A team of 12/15 professionals supported at inception by Crédit Agricole S.A.

14. Our organisation The mission of the Grameen Crédit Agricole Microfinance Foundation Team: Identify MFIs sharing the objectives of the Foundation: in partnership with Grameen Trust in collaboration with NGOs, international financial institutions, cooperation agencies, other foundations and funds, etc. Analyse their situation Propose adequate solutions Constitute a technical assistance platform for training Exchange best practices

15. Our perspective Enlargement of the resources of the Foundation Launch in 2009 of an investment fund dedicated to microfinance and distributed to socially responsible investors: • A fund elaborated and placed in collaboration with IDEAM • A fund fully and exclusively managed by the Foundation Our ambition: to raise an additional 100 million euros in 2009 By 2009/2010, the financial resources available for the Foundation will increase to 150 million euros

16. A strategic alliance • To support MFIs in the sensitive phase of their development • By offering a complete range of services • To reach rural areas in particular • Priority in Asia and Africa

17. Thank you Thierry Marotine Head of Development Microfinance Unit Crédit Agricole SA, Paris thierry.marotine@credit-agricole-sa.fr