Following the previous successful funds under the Nordic Microfinance Initiative (NMI), Norfund and the other NMI investors have agreed to invest in the first closing of a new fund, NMI Fund IV.
NMI Fund IV will invest in Microfinance Institutions and other institutions that provide financial inclusion to the poor in developing countries. Examples of "other institutions" that can qualify for investments are institutions offering social loans (e.g. for education or housing), savings, micro-leasing, micro-insurance or payment services.
While the existing investors in NMI Fund III have agreed to invest in the first closing, new investors will be approached in the second round. Norfund has committed an equity investment of up to NOK 240 mill or USD 30 million in NMI Fund IV.
The Fund will invest in institutions that have reached financial sustainability or have good prospects for attaining financial sustainability within the next several years.
Experienced investments teams with focus on social performance
NMI has an experienced investment team in Oslo and Copenhagen as well as local market presence through investment managers in New Dehli and in Nairobi. The team has a proven track record through good results in the first three NMI funds and their background is from investment banking, asset management, venture capital and financial services.
NMI has a strong focus on Development Effects and Social Performance. All investees need to subscribe to the Client Protection Principles and if an institution is not certified, NMI might offer to use their Technical Assistance facilities to help them become compliant.