Amartha ABS (IFC-47575)

Countries
  • Indonesia
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
Proposed
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
May 19, 2023
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
PT Amartha Nusantara Raya
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)
$ 175.00 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 Jun 19, 2023

Disclosed by Bank Mar 17, 2023

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Contact the EWS Team

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.

As stated by the IFC, the proposed investment is in a senior tranche of asset backed securities in a Special Purpose Vehicle to be set up for pooling loan receivables which are originated by a peer-to-peer lending platform owned by PT Amartha Nusantara Raya. It is comprised of i) an IFC A loan of up to US$25 million and ii) mobilization of up to US$150 million, to improve access to finance for microentrepreneurs, especially women entrepreneurs with up to 100% of the loan proceeds to be used for on-lending to women borrowers.

Early Warning System Project Analysis
For a project with severe or irreversible impacts to local community and natural resources, the Early Warning System Team may conduct a thorough analysis regarding its potential impacts to human and environmental rights.

The project is categorized as FI-3 by the IFC.

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

The proposed senior secured loan facility consists of IFC’s own account investment of up to US$25 million and mobilization of up to US$150 million.

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.

From the IFC's website:

As of 31 December 2022, the main shareholders of ANR include: i) PT Amartha Starling Ventura holding 36% on a fully diluted basis (which is 99% owned by Amartha’s founder, Andi Taufan Garuda Putra); and ii) reputed venture capital funds including SBI, Beenext, Line Ventures, and Mandiri Capital Indonesia with 34% stake on a fully diluted basis.

Women’s World Banking and PT Metra Digital Investama (a venture capital unit of PT Telkom Indonesia) have convertible notes which will be converted into a 10% equity stake in March 2023.

Amartha is Indonesia’s pioneer and largest micro-financing lending platform and is headquartered in Indonesia. As of September 2022, ANR had 4,800+ field agents and 600+ client operational hubs across Java, Sumatra, and Sulawesi serving about 1.2 million borrowers.

Private Actor 1 Private Actor 1 Role Private Actor 1 Sector Relation Private Actor 2 Private Actor 2 Role Private Actor 2 Sector
- - - - Beenext Investor Finance
- - - - Mandiri Capital Indonesia Investor Finance
- - - - Women's World Banking (WWB) Capital Partners Investor Finance

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.

General IFC Inquiries - IFC Communications:

Address: 2121 Pennsylvania Avenue, NW, Washington DC 20433
Telephone: 202-473-3800
Fax: 202-974-4384

Financial Intermediary - PT Amartha Nusantara Raya:

Abdurrahman Maulana Arijanto - Corporate Finance Senior Lead
Phone: +62 21 22715353
Email: abdurrahman.arijanto@amartha.com
Website: https://amartha.com/id_ID/

ACCESS TO INFORMATION

You can submit a request for information disclosure at: https://disclosures.ifc.org/#/inquiries

If you believe that your request for information from IFC has been unreasonably denied, or that this Policy has been interpreted incorrectly, you can submit a complaint at the link above to IFC's Access to Information Policy Advisor, who reports directly to IFC's Executive Vice President.

ACCOUNTABILITY MECHANISM OF IFC/MIGA

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