Gulnara Shamshieva, General manager

CJSC MFC “Bai-Tushum and Partners”

Expansion of social and economical possibilities for

women in Kyrgyzstan

The Bai Tushum Experience

Bai Tushum Overview

Women in Bai Tushum

Bai Tushum Ratings

Social Indicators

Social Indicators Planned for Women by 2013

The Bai Tushum Experience, Continued

Group Loans

Kiva Project

Impact of Loans on Women – from Group to Individual

Protecting the Rights and Interests of Women

men Lessons Learned

Bai Tushum Overview

More than 10 years of operations

More than 100 thousand clients took loans for the sum of about 150 million USD

Loan portfolio size of about 50 million USD

More than 30 thousand clients

7 branches and 49 representative offices

Bai Tushum Overview, Continued

Member of AMFI, IBC, MFC and Union of Banks

Member of the CGAP international campaign on clients protection; actively realizes 6 client protection principles

Adherent of the social finance policy and corporate social responsibility

Women in Bai Tushum

Personnel composition is 41% women

Top-management is 100% women (compared to 35% on average in Central Asia)

On the Board of Directors, 2 of 5 are women

Of loan officers, 50% are women (compared to 32% on average in Central Asia)

Women-borrowers are 44% of client base

Bai Tushum Social Ratings

“β+” rating for social activities, given by the international rating agency M-Cril .

One of the first in Central Asia; received this rating in the beginning of 2010.

Rating confirms use of effective management systems and adherence to social mission and values.

Social indicators

Rural clients - 88%

Low income clients engaged in agriculture -74%

Client retention -74%

Client satisfaction -72%

Support of creation/maintenance of at least 1 job for each invested 300 USD

Company offices in rural areas - 53%

Social Indicators Planned for Women by 2013

Number of women-borrowers - 50%

Women living in rural areas - 85%

Low income women (loan <1,500 USD) - 54 %

Women engaged in agriculture - 66%

Average size of loan to women - 1, 400 USD

PAR by women-borrowers - PAR >0 - 1,35% (men-2.8%)

PAR >30 - 1,02% (men-1.8%)

Group Loans

Women-borrowers – 63%

Loans for agriculture - 70%, trade, services and production -2%, consumer loans - 28%

Group loans as of March, 31 more than 7.5 million USD

Training on finance literacy, development of business-plans and marketing

KIVA project-Loans with grace interest rate - 15 % p.a. target group: 80% women-borrowers,Through April 28, 2011, 286 clients financed

Kivroject K Project

Impact of Loans on Women –from Group to Individual

Agriculture loans

1st cycle 1-2 head of cattle and several head of calves

5th - 6th cycles 90-130 head of small cattle, 2-5 head of cattle and 2-4 horses

Trade

1st cycle - goods turnover 1,000 – 1,200 USD

5th – 6th cycles - goods turnover 5,000 - 8,000 USD

Protecting the Rights and Interests of Women Evaluation of staff candidates includes

consideration of attitudes toward women, including rural and low income levels

Regulations on bonus system, oriented to women: social indicator on women- borrowers for 2011 – 46%

6 client protection principles, developed by CGAP

Carrying out trainings for staff on gender issues

Lessons Learned

Time to turn the face to socially responsible microfinance

Women are:

More disciplined and responsible than men

Easily unify to groups, for they communicate with each other

Lending without collateral favor acquisition of economical independence from husbands (real estate is in most cases being registered for men)

Aimed at improvement of conditions of their lives and creation of comfort for their families (often they take mortgage and consumer loans)

Lessons Learned

Women are:

Women with a low income level, especially in regions, display considerable energy in aspiration to earn

Women start small business from group lending and each cycle sum of a loan is being increased. Move of a group borrower to an individual one with increase of a sum of loan up to 5 000 – 6 000 USD

• Better trainable , the level of financial literacy has been increased for the last 2 years

“Bai-Tushum and Partners” clients

Thank you for attention!