Alter Modus (IFC-37435)

Regions
  • Europe and Central Asia
Geographic location where the impacts of the investment may be experienced.
Countries
  • Montenegro
Geographic location where the impacts of the investment may be experienced.
Financial Institutions
  • International Finance Corporation (IFC)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Approved
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
FI
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Voting Date
Jul 30, 2016
Date when project documentation and funding is reviewed by the Board for consideration and approval. Some development banks will state a "board date" or "decision date." When funding approval is obtained, the legal documents are accepted and signed, the implementation phase begins.
Borrower
ALTER MODUS D.O.O.
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Finance
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 4.46 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Primary Source

Original disclosure @ IFC website

Updated in EWS Jul 29, 2018

Disclosed by Bank Apr 19, 2016

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Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.

Microcredit Financial Institution Alter Modus DOO is the leading microfinance lender in Montenegro with an outstanding portfolio of approximately EUR 31.4 million and close to 17,600 active borrowers in the end of 2015. The project seeks to partner with Alter Modus as a platform to provide access to finance to the segment.

Investment Description
Here you can find a list of individual development financial institutions that finance the project.

According to the bank website:

Alter Modus is the leading microfinance player in the market. Founded in 1997 Alter Modus was established as a Non-Governmental Organization (NGO) whose most important financiers/donators were United Nations High Commissioner for Refugees (UNHCR), the Danish Refugee Council (DRC), Church World Service (CWS), Mercy Corps and U.S. Department of Agriculture (USDA). Implementation of microcredit social program began in autumn of 1999 through support to micro and small entrepreneurs in Montenegro with limited access to financial resources. In its inception Alter Modus NGO implemented the program of commodity grant loans intended to the most vulnerable ones, the refugees and internally displaced population as well as to the persons with disabilities. Alter Modus NGO later started implementing commercial microcredit program and in 2008 established Alter Modus Limited Liability Company (LLC) to carry on the complete lending program. Alter Modus NGO is the sole owner of Alter Modus LLC.

Financial Intermediary
A financial intermediary is a bank or financial institution that receives funds from a development bank. A financial intermediary then lends these funds to their clients (private actors) in the form of loans, bonds, guarantees and equity shares. Financial intermediaries include insurance, pension and equity funds. The direct financial relationship is between the development bank and the financial intermediary.
Private Actors Description
A Private Actor is a non-governmental body or entity that is the borrower or client of a development project, which can include corporations, private equity and banks. This describes the private actors and their roles in relation to the project, when private actor information is disclosed or has been further researched.

Alter Modus is the leading microfinance player in the market. Founded in 1997 Alter Modus was established as a Non-Governmental Organization (NGO) whose most important financiers/donators were United Nations High Commissioner for Refugees (UNHCR), the Danish Refugee Council (DRC), Church World Service (CWS), Mercy Corps and U.S. Department of Agriculture (USDA). Implementation of microcredit social program began in autumn of 1999 through support to micro and small entrepreneurs in Montenegro with limited access to financial resources. In its inception Alter Modus NGO implemented the program of commodity grant loans intended to the most vulnerable ones, the refugees and internally displaced population as well as to the persons with disabilities. Alter Modus NGO later started implementing commercial microcredit program and in 2008 established Alter Modus Limited Liability Company (LLC) to carry on the complete lending program. Alter Modus NGO is the sole owner of Alter Modus LLC.


Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.

Project Contact: Ana Kentera
Chief Executive Officer, Alter Modus d.o.o
Bulevar Ivana Crnojevica 2, Podgorica, Montenegro
Tel: 382 20 655 280
Fax: 382 20 655 260
Email Address: ana.kentera@altermodus.me

ACCOUNTABILITY MECHANISM OF IFC

The Compliance Advisor Ombudsman (CAO) is the independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by an IFC or MIGA- financed project. If you submit a complaint to the CAO, they may assist you in resolving a dispute with the company and/or investigate to assess whether the IFC is following its own policies and procedures for preventing harm to people or the environment. If you want to submit a complaint electronically, you can email the CAO at CAO@worldbankgroup.org. You can learn more about the CAO and how to file a complaint at http://www.cao-ombudsman.org/

How it works

How it works