This document summarizes the 2nd International Symposium on Social Investment held in Tokyo, Japan. It discusses Oikocredit's experience in providing development financing and investments to social enterprises and microfinance institutions since 1975. Oikocredit has 859 partners in close to 70 countries, with 589 being microfinance partners. In Southeast Asia, Oikocredit focuses on the Philippines, Cambodia, Vietnam and Laos, having reached over 5.5 million people through its partners in the region. The document outlines Oikocredit's approach to nurturing and supporting social enterprises through loans, equity investments, capacity building, and organizational development.

1. 2nd International Symposium on Social Investment
Nurturing and Supporting the Social
Entrepreneur
Presented by Tes Pilapil, Regional Director Southeast Asia
12 October 2013
Tokyo, Japan

2. Our Aspiration
Encourage the sharing of resources
to reach out to disadvantaged
communities to improve economic
livelihoods through credit, equity
and capacity building

3. Our Experience
•
since 1975
•
100% private investment
financed through sale
of shares
•
Diverse membership
o Churches
o Church-related institutions
o Support associations
(30 SAs in 13 countries)
o Project partners
•
Dual return: modest financial return and
social return on investment

4. Facts & figures
At 30 June 2013
859 partners in close to 70 countries
589 microfinance partners (of total number of partners)
€ 533 million outstanding
€ 105 million approved
€ 119 million disbursed
28 million clients reached by Oikocredit’s microfinance partners*
36 regional and country offices
*at 31 December 2012

5. Oikocredit presence worldwide
Oikocredit offers funding to partners in close to 70 countries and attracts
investments in 15 countries worldwide.

6. 36 regional/country offices
countries with regional
offices/RDC
countries with country
offices

7. Southeast Asia Region
Focus Countries
- PHILIPPINES (1989)
- CAMBODIA (2003)
Expansion Area
- VIETNAM (2008)
- LAOS (2009)
- INDONESIA
- EAST TIMOR

8. Southeast Asia Region (as of
June 2013)
5.5 Million people
reached thru the
Partners

9. Facts & Figures: SEA (as of 30 June 2013)
•
Funding by Sector
€1M
2%
€2M
5%
Microfinance
Other
Agriculture
€41M
93%

10. Social Enterprises
Key features
• Value creation
• Commercial activity is strong revenue driver
• Addresses specific social need
• Involvement of the poor/marginalized/disadvantaged
groups
• Common good
• Multiple bottom-lines

11. Source: BC Center for Social Enterprise

12. Nurturing & Supporting Social Enterprises
• Loans
• Equity investment
• Risk management
• Product
development
• Market positioning
• Social performance
Capacity
Building
Development
financing/Investments
Strengthen partners’
capacities to
sustainably deliver
VALUE to
clients/members
• Management
systems
• Staff development
• Partners’ feedback
• Risk management +
control
Organizational
development
Clients/ Members /Disadvantaged groups

13. Investment Flow
INVESTMENTS
INVESTOR
OIKO
CREDIT
DIVIDENDS
PROJECT
PARTNERS
(MFI & SEs)
REPAYMENTS
WORKING
POOR/
DISADVANTAGED
GROUPS

14. Financing Social Enterprises
• Choosing the right partners
• Financial due diligence
• Social due diligence
• Create jobs and income
• Cooperatives, financial institutions or SMEs
• Women in management positions
• Environmentally sustainable and respect animal welfare
• Suitable management structure
• Are (or can soon become) financially sustainable
• Clear need for foreign investment

15. Investment areas - Microfinance
•
•
•
•
Empowers people to invest in
themselves and future
Loans not aid
Fill the gap of traditional banks
Client protection

16. Agriculture
• Rural microfinance
• Production, processing, marketing, export
• Value chain

17. Fair trade
• Empowering local producers
• Fair prices
• Fair payments to producers and employees
• Anti child labour policies
• Long-term trading relationships
• Environmentally sustainable production
methods

19. Strengthening the capacities of social enterprises
• Governance
• Finance
Management
• Risk Management
Financial
Results
Social
Impact
Balanced double or multiple-bottom line
Partners with strong capacities to deliver VALUE in a sustainable way

20. Capacity Building
Market
Development&
Positioning
Risk
Management
Product
Development
Sustainable
value
creation
Social
Performance
Management
(SPM)

21. Disclaimer
This document was produced by Oikocredit, Ecumenical Development Cooperative Society U.A. (Oikocredit International) with the greatest of
care and to the best of its knowledge and belief at the time of writing. The opinions expressed in this document are those of Oikocredit
International at the time of writing and are subject to change at any time without notice. Oikocredit International provides no guarantee with
regard to its content and completeness and does not accept any liability for losses which might arise from making use of this information.
This document is provided for information purposes only and is for the exclusive use of the recipient. It does not constitute an offer or a
recommendation to buy or sell financial instruments or banking services and does not release the recipient from exercising his/her own
judgment. The recipient is in particular recommended to check that the information provided is in line with his /her own circumstances with
regard to any legal, regulator, tax or other consequences, if necessary with the help of a professional advisor.
This document may not be reproduced either in part or in full without the written permission of Oikocredit International. It is expressly not
intended for persons who, due to their nationality or place of residence, are not permitted access to such information under local law.
Every investment involves risk, especially with regard to fluctuations in value and return. It should be noted that historical returns and financial
market scenarios are no guarantee of future performance. Investments in foreign currencies involve the additional risk that the foreign currency
might lose value against the investor‘s reference currency.
Oikocredit International is a cooperative society with limited liability (coöperatieve vereniging met uitgesloten aansprakelijkheid) under the laws
of the Kingdom of the Netherlands.