MDO Arvand, LLC

Tajikistan

Last Updated on February 26, 2013

Partner Description:

MDO Arvand is one of the leading microfinance institutions in Tajikistan, offering small loans to entrepreneurs to start and grow their businesses. Initially funded by USAID, Arvand has grown substantially since its inception in 2002.

With a team of 230 professionals serving over 16,000 clients, the organization reaches a considerable segment of Tajikistan’s economy. Impressively, it is one of the first MFIs in the country that has implemented all three areas of financial services: credit, micro-deposits and money transfers. It is able to do this thanks in part to 35 service points, including 5 branches, 11 sub-offices and 19 client service centers.

Arvand’s unique lending approach:

Arvand’s financial services include but are not limited to loans for education, compulsory savings accounts, and voluntary insurance products. In addition, Arvand provides considerable non-financial services to its clients. For example, it offers financial education literacy training so they can become better equipped to handle their own finances. The organization also provides consulting services and mentorship with experts in fields of animal husbandry and law.

Well regarded in Tajikistan, Arvand is a member of AMFOT (Association of Microfinance Organizations of Tajikistan). In addition to its domestic accomplishments, Arvand (previously MicroInvest) was Kiva’s first field partner in Central Asia and contributed to the adoption of the site by other MFIs in the region.

Repayment Performance on Kiva

	This Field Partner	All Kiva Partners
Start Date On Kiva	Nov 29, 2011	Oct 12, 2005
Total Loans	$740,550	$432,399,575
Amount of Raised Inactive Loans	$0	$301,825
Number Of Raised Inactive Loans	0	235
Amount of Paying Back Loans	$427,975	$92,726,900
Number Of Paying Back Loans	406	100,693
Amount of Ended Loans	$312,575	$339,370,850
Number Of Ended Loans	423	443,521
Delinquency Rate	0.03%	2.50%
Amount In Arrears	$105	$1,467,080
Outstanding Portfolio	$331,257	$58,746,667
Number of Loans Delinquent	1	11,059
Default Rate	0.00%	0.95%
Amount of Ended Loans Defaulted	$0	$3,227,945
Amount of Ended Loans	$312,575	$339,370,850
Number Of Ended Loans Defaulted	0	9,845
Currency Exchange Loss Rate	0.00%	0.02%
Amount of Currency Exchange Loss	$0	$77,519
Refund Rate	0.19%	0.94%
Amount of Refunded Loans	$1,400	$4,075,975
Number Of Refunded Loans	4	4,599

Loan Characteristics On Kiva

	This Field Partner	All Kiva Partners
Loans To Women Entrepreneurs	47.29%	74.00%
Average Loan Size	$891	$408
Average Individual Loan Size	$891	$646
Average Group Loan Size	$0	$1,747
Average Number Of Entrepreneurs Per Group	0	8
Average GDP Per Capita (PPP) in Local Country	$1,388	$3,348
Average Loan Size / GDP Per Capita (PPP)	64.17%	12.18%
Average Time To Fund A Loan	10.47 days	4.68 days
Average Dollars Raised Per Day Per Loan	$85.04	$87.13
Average Loan Term	9.98 months	9.63 months

Journaling Performance on Kiva

	This Field Partner	All Kiva Partners
Total Journals	307	208,109
Journaling Rate	68.69%	40.14%
Average Number Of Comments Per Journal	0.00	0.11
Average Number Of Recommendations Per Journal	0.00	2.66

Borrowing Cost Comparison (based on 2011 data)

	This Field Partner	Median for MFI Peers in Country	All Kiva Partners
Portfolio Yield	37.20%	37.50%	35.16%
Profitability (Return on Assets)	3.6%	3.5%	-0.08%
Average Loan Size (% of Per Capita Income)	91.50%	84.90%	46.79%

Country Fast Facts

Country:: Tajikistan
Capital:: Dushanbe
Official Language:: Tajik, Russian widely used in government and business
Population:: 7,320,815
Avg Annual Income:: $1,388
Labor Force:: Agriculture: 67.2% Industry: 7.5% Services: 25.3%
Population Below Poverty Line:: 64%
Literacy Rate:: 99.4%
Infant Mortality Rate (per 1000):: 106.49 deaths
Life Expectancy:: 64.94 years