Citi, OPIC and Bank Danamon Support the Rapid Growth of the Microfinance Sector in Indonesia with $20 Million Term Funding
AKARTA, Indonesia, Aug 03, 2011 (BUSINESS WIRE) -- Citi Indonesia, the Overseas Private Investment Corporation (OPIC) and Bank Danamon announced the closing of a USD 20 Million term loan to fund the growth of Bank Danamon's Microfinance program, Danamon Simpan Pinjam (DSP), and to promote the financial inclusion of microentrepreneurs and small businesses in Indonesia. This loan will be the first from Citi and OPIC for the microfinance sector in Indonesia, and is a part of Citi's and OPIC's $250 million joint global initiative to support microfinance lending in emerging markets worldwide.
"Microfinance has tremendous potential not only to help tackle unemployment and promote financial access in Indonesia, but also as one of the engines of the country's economic growth," says Kunardy Lie, Head of Global Banking Citi Indonesia. "This loan shows the continuation of our commitment to Indonesia economy. Through Danamon Simpan Pinjam, which focuses on small traders, micro-entrepreneurs and the value chain for entire businesses [that has a wise and prudent regulatory structure], we are confident that it will come to a progressive programme that enables small businesses in Indonesia to grow further," he added.