ADB, CAA Sign US$32 Agreement to Improve Financial Inclusion in Asia

The Asian Development Bank (ADB) signed US$32 million equity investment agreement with CreditAccess Asia (CAA), that operates microfinance institutions (MFIs) across Asia, currently serving approximately 1.8 million customers, 99.8% of whom are women.
The investment will provide CAA with growth capital and support for its pan-Asia microfinance operations, increasing financial inclusion across the region. A US$500,000 technical assistance grant is also expected to support CAA build in-house capacity to promote further expansion of its operations, according to ADB press release.
"Through this investment, ADB and CAA will help to deepen access to credit and finance for some of Asia’s most underserved markets," said Christine Engstrom, ADB's Director for the Private Sector Financial Institutions Division. "CAA provides significant support in the communities in which it operates and we are happy to support them and their Asian microfinance subsidiaries through their next stage of growth." The investment will allow ADB, through a microfinance holding company approach, to support CAA's operational expansion in the region, and contribute to better financial inclusion across markets where access to finance is limited. CAA, as the holding company, will use ADB's assistance to capitalize and expand operations of its subsidiary MFIs, the largest of which is Grameen Koota in India.
CAA also currently has operations in Indonesia, the Philippines, and Viet Nam. The project is expected to benefit at least 3.5 million women borrowers directly by 2021. 

Source: QNA