The Oikocredit Ecumenical Development Cooperative Society U.A. (“Oikocredit”) is a cooperative based in the Netherlands that offers loans, equity and other investments to mostly early growth-stage microfinance institutions, cooperatives, fair-trade, and small-to-medium-sized enterprises in low-income and developing countries. It is one of the world’s largest sources of private funding for the microfinance sector, with €907 million in total assets and €735 million in capital outstanding at 31 December 2014. Over its 40-year history, Oikocredit has disbursed more than €2bn worth of development finance to disadvantaged communities.

Oikocredit was initiated by the World Council of Churches who sought a socially responsible investment channel that would enable organisations and individuals to invest their money for positive development – an idea that in the 1970s was radical for its time. From these early ecumenical roots, Oikocredit has become one of the oldest and largest sources of social investment in the world.

Oikocredit’s mission is to challenge all to invest responsibly by providing financial services and technical support to enterprises in the developing world that improve the quality of life of low-income people and communities in a sustainable way.

The primary beneficiaries currently include:

• Microfinance institutions: In 2014, around 84% of Oikocredit’s development financing portfolio (€614 million) was invested in microfinance through 549 cooperatives; non-banking financial institutions; banks offering diverse financial products; small-to-medium-sized enterprises (SME), and wholesale funds.
• Production and service partners: Around 16% of the development financing portfolio (€ 121 million) was directly invested in 256 social enterprises through production and services partners, including agricultural producers and importers, cooperatives, schools, educational institutions and hospitals.
• Low-income people and communities: The end beneficiaries of Oikocredit activities are end-borrowers who receive microloans and other financial products from their MFI partners. Other beneficiaries include employees of Oikocredit’s production and services partners as well as smallholder farmers selling their produce to agricultural partners.

Oikocredit Research Reports

Oikocredit Impact Reports