M-CRIL, the International Rating Company for micro finance organizations estimates rating of MFBA in the level of alpha in May

Baku, 30 May 2007. M-CRIL, the International Rating Company for MFO estimated rating of Micro Finance Bank of Azerbaijan in May. In compliance with this rating MFBA has been estimated in the level of alpha which means high financial safety, good system and highly-recommended bank.
M-CRIL rating methodology includes several items:
Strong shareholders: The shareholders (Black Sea Trade and Development Bank, European Bank for Reconstruction and Development, International Finance Corporation, KfW Development Bank and LFS Financial Systems and Access Microfinance Holding) of the bank are well known international financial institutions with strong presence in the banking sector worldwide.
High growth and good portfolio quality: MFBA portfolio has grown by 235% (188% p.a.) in the last 15 months to US$59.9 million as on 31 March ‘07. During this period, its active client base has also more than quadrupled.
Excellent management systems: The bank has been able to develop excellent management systems (like loan appraisal systems, MIS and accounting) under the guidance of LFS consultants, who have been providing technical assistance since the inception.
M-CRIL’s rating provides an objective assessment of the performance of institutions providing financial services to low income families – microfinance institutions (MFIs), NBFCs, rural and cooperative banks as well as commercial banks with a focus on microfinance.
The rating evaluates the MFI or bank’s creditworthiness as well as its strengths and weaknesses.
In May, 2006 MFBA has already signed USD 500,000, USD 3 mln., USD 3 mln., loans with Impulse Microfinance Investment Fund, VDK Spaarbank, Triodos, respectively. The funds will be used by MFBA to provide further loans to support the growth of Azeri micro and small businesses. In total MFBA has attracted USD 16 million in funds in 2006 for the development of micro and small and medium enterprises in Azerbaijan.