Microfinance > MFI

• Andres Valer Infantas (Chief Executive Officer)
• Kelly Pinto Casaverde (Loan Executive Officer)

IDESPA is an institution founded in 1999 by its actual managers which want to fight through microcredit for development, education and health. It targets in priority women, because by their work, they contribute more effectively than the men for health and education. They also reimburse their microloans with more rigor, and are better respected when they work. 85% of the customers are considered as “poor”.

IDESPA assumes the promotion and the creation of “communal banks”, which consists in groups of people who meet together to receive IDESPA services. A group must count a minimum of 5 people in theory, but counts in reality from 6 to 18 members. For the promotion, one of the 5 loan officer goes in the communities, organizes information meetings and distributes flyers. Microcredit applications are analyzed by a credit committee, after the loan officer has visited the future member in his/her house and at his/her microbusiness in order to evaluate his/her ability and motivation to pay back the microloan.

These microloans are both for already existing microbusinesses and projects for new microbusinesses, even if there is a preference for the first ones. The group elects its president, treasurer and secretary, and writes down the goals of the group. A microloan cycle lasts 5 months. It is possible to pay back a microloan with anticipation without any penalty. The only guarantee is the mutual guarantee, even if IDESPA lists other guarantees by visiting the micro-entrepreneurs, like products inventories or other assets. After the third cycle, it is possible to ask a complementary microloan.
The reimbursement is monthly during a group reunion which is obligatory for everyone. Every member of the group has to pay what he/she has to pay to the treasurer, and it is the treasurer who goes to pay the office of IDESPA for all the members of the group. There has not been any payment safety concerned so far.

IDESPA organizes internships session on diverse subjects for its customers. IDESPA would like to teach a saving spirit to its customers in order that they become independent with the time, so that they do not have to borrow money anymore. In this goal, IDESPA organizes savings education internships and makes its customers saving each month the equivalent of 2,5% of the monthly reimbursement.

The refinancing is assumed mostly by Planet Finance and Oïkocredit, but also by the employees of the institution.

Transparency is fundamental in order to establish trust between people and a good general running.

A competition advantage is that IDESPA can speak both Spanish and Quechua to its customers.

No impact of the economical crisis has been noticed so far.

Any form of microentreprise is represented.