TBLI Conference Paris

10th November 2006

AFRICA, Ivory Coast

Gbmamblé Lou Zamblé Philomène

“When my husband lost his job after the problems in 1993 our life became a nightmare. I had to take the lead and that’s why I decided to join the COCOVIVO market. I sell tomatoes and what I earn I could send my son to school and we have

managed to build a house.”

ASIA, The Philippines

Gilda Ponte

CARD helped her to develop a small stall in the markets of Davao City. “Now my earnings have truly improved,I can afford to send my children to school and I can even save moneyin case of an emergency”

LATIN AMERICA, Nicaragua

Alba Leticia and Megri Felipe Cardenas

“When we lost our house, we thought we had reached the very end andwould not be able to start again. But we heard of ASODENIC and since theneverything has changed for the better.”

Andor Fejer

“I decided to move back to what I knew best: being a tailor. I approached OMRO and they trusted me and my wife enough to help us invest in a new sewing machine”

EASTERN EUROPE, Romania

Oikocredit’s Mission

Oikocredit, as a worldwide cooperative society, promotes global

justice by challenging people, churches and others to share their

resources through socially responsible investments and by

empowering disadvantaged people with credit

What is Oikocredit?

• Cooperative Society - one member one vote

• International Development Finance Institution established in 1975 by Churches (WCC)

• Operates with member capital (EUR 242 m) from churches, private individuals and institutions from all over the world

• Finances income generating projects and financial intermediaries among marginalized and disadvantaged people in the South and Eastern Europe

• For profit, but not for profit maximization

What makes Oikocredit unique?

• From pioneer to leading expert

- Pioneer in SRI- Investments used as credits for development- Capital comes from private sector exclusively- Largest private financiers of the microfinance sector

worldwide- Local presence and tailor-made financial services- Development financing in both hard and local

currencies

What makes Oikocredit unique?

• A global movement

- Focus on initiatives of people in developing countries that usually do not have access to conventional financing

- Member share holders are spread across the continents

- A support network of 37 volunteer – based Support Associations in Europe, North America and several developing countries

Capital sources (per 31/12/05)

• 514 Churches and church organisations

• 26 000 individuals and local congregations through 37 Support Associations in 319 countries

• 54 Banks, Development organisations and other non-church institutional investors

• 41 Project members

Africa19%Asia

14%

Australia and the Pacific

4%

Central America and the Caribbean

6%

Central and Eastern Europe

2%

North America11%

South America8%

Western Europe30%

International organisations

5%

Middle East1%

Members by region

Percentages refer to the number of members by region as of 31 December 2005 (582)

International Share Foundation/Project

members4%

Churches and church-related organisations

15%

Support Associations (incl. local churches and

church-related organisations)

81%

Sources of share capital

Percentages refer to the total of share capital as of 31 December 2005 (241.8 million euros)

37 Support Associations(repr. 26.000 individual investors)

:Eur ope

( 8)Ge r many ( 5)Fr anc e

( 2) Spai n ( 2)The Ne t he r l ands

Be l gi um ( 2)Swi t z e r l and

Aus t r i aDe nmar kSwe de nI t al yUK

Nor t h:Ame r i c a

( 3)Canada ( 3)USA

Lat i n:Ame r i c a

Me xi c o Cos t a Ri c a

Ur uguay

:As i a

Phi l i ppi ne sJapanKor e a

Share capital inflow

Actual and MBO target inflow Members' Capital 2006 vs '03/'04/'05

-5,000,000

0

5,000,000

10,000,000

15,000,000

20,000,000

25,000,000

30,000,000

35,000,000

40,000,000

jan feb mar apr may jun jul aug sep oct nov dec

Months

EURO-Amounts

2006

2003

MBO Target 2006

2004

2005

Socially Responsible Investment

• High social return

� Financial return usually 2%

� Ethically sound (Ethibel Labels)

� Safe investment

Safe Investment

• Long Term Investment Portfolio

• Risk management

• Governance Structure

Safe Investment

Loan loss provisions: 18.1% as a percentage of total

outstanding project portfolio (incl. provision for general risks)

Project financing write-offs:In 2005 0.3% of the total outstanding was written off.

•

•

•

• • •

•

•

•

Regional offices

Uruguay (RDC) Costa Rica (RDC)

Peru India

Philippines Kenya

Ghana Ivory Coast

South Africa Europe (RDC)

Global Credits

Argentina Bolivia Brazil Ecuador

Mexico El Salvador Nicaragua Guatemala

Tanzania Senegal Uganda Mali

Bulgaria Romania Slovak Rep. Ukraine

Country offices

•

•

Oikocredit worldwide

June 2006

Project Partners Products Profiles

Oikocredit loans are directed at groups of disadvantaged people:

� Cooperatives in agriculture, trade or services;

� SMEs who provide jobs at fair conditions for their employees;

� Microfinance institutions extending micro- finance services and retailing the Oikocredit loan into small loans to micro enterprises of poor people;

� Alternative trade organizations in the North and South, who provide handicraft and food producers with a fair market for their products

Project Partners Products Profiles

Financing

• Financing considered irrespective of faith, culture or age

• Normally long term 2 – 10 years

• Amount: 50,000 – 2 million euros

• Interest rate related to market

• Partnership ‘walking a second mile’

• Loans in local currencies

Local Currency Loans

Local Currency Loans

In EUR ,000(approved plus outstanding)

010,00020,00030,00040,00050,00060,00070,000

31/12/200131/12/200231/12/200331/12/200431/12/200530/04/200631/08/2006

Project Partners Products Profiles

Financing criteria: • Feasibility

• Preferably cooperative structure

• Participation of women

• Respect for environment

• Impact on community

Oikocredit and Microfinance

Microfinance portfolio outstanding per December 2005

436106, 330219Tot al

4263, 99812Ot her

52658, 58895Lat i n Amer i ca

48813, 68231East ern Europe

28215, 11944Asi a

33814, 94337Af r i ca

Average(EUR , 000)

Out st andi ng(EUR , 000)

Fi nanci ng(no. )

Regi on

Facts and Figures

• Type text bullet 1 here– Type text bullet 2 here

• Type text bullet 3 here

Eur 000s YTD

2004 2005Total assets 245,305 289,316Total investment portfolio 235,392 278,416Share Capital 203,520

241,843Investment grade bonds / shares 120,950 120,031Total project funding 114,339 158,385Number of projects invested 398 467Microfinance funding 60,866 106,330Number of MFI’s invested 169 219

Agriculture, livestock and

fishery10%

Agricultural processing and food

production7%

Financial services (including MFI's)

66%

Health care and education

5%

Housing and real estate

1%

Other2%

Trade6%

Manufacturing of durable

goods3%

Project funding outstanding by sectorPercentages refer to total amounts outstanding

as of 31 December 2005 (163 million euros)

Project funding outstanding

Latin America49%

Other2% Africa

18%

Asia 14%

Central & Eastern Europe

17%

Project funding outstanding

Project funding outstanding by regionPercentages refer to total amounts outstanding

as of 31 December 2005 (163 million euros)

Colophon

OIKOCREDIT

Presented byBirgit Weinbrenner

EventTBLI Conference

Date9th – 10th November 2006