1.
Creating our future through Social Investment
Ben Simmes, Managing Director Oikocredit
Tokyo, October 6th, 2012

2.
Three key issues
- What is social investment?
- Trends
- Oikocredit as example of social investor

3.
Investment perspectives
Financial return Social return
Commercial investing +++
Socially responsible ++ +/-
Impact investing ++ +
Program related investing + +
Social investing + ++
Grants +++

4.
What is social investment?
Social return
++
modest financial return
+

5.
What is impact investment
Financial return
++
Social return
+

6.
Trends in social investing
• Growing interest in “social” investing
Different levels:
- Negative screens
- Positive screens
- Shareholder engagement
• Investment opportunities are limited

7.
Growing interest
• Negative experiences through financial crisis
• Existing resources insufficient to address issues
as poverty, environmental destruction, inequality
• Positive examples of scalable business models
that create social and environmental value

8.
Development stages
• Uncoordinated innovation
• Marketplace building (starting infrastructure)
• Capturing the value of the market place (mainstreaming)
• Maturity (steady, consolidation)

9.
Oikocredit: development finance cooperative
For profit, not profit maximization

10.
100% private investment capital

11.
Capital inflow

12.
Dual return
Investments in shares
€ 200 / US$ 200
Other currencies
Objectives:
- modest dividend: 2%
- social impact

13.
Support Associations providing capital
North America: Europe:
Canada Germany
USA France
Spain
Netherlands
Belgium
Switzerland
Austria
Denmark
Sweden
Italy
United Kingdom
Latin Asia:
America Philippines
Mexico Japan
Uruguay Korea

14.
Capital Flow
45,000 595 42 896 26 million

15.
Funding by region
At 30 June 2012
€ 522 million outstanding

16.
Regional & country offices
Africa Asia Latin America Eastern Europe and
Central Asia
East Africa Southeast Asia Mexico, Central Eastern Europe and
Kenya1, Tanzania, Cambodia, Philippines1 America and the Central Asia1
Uganda Caribbean Bulgaria, Kyrgyzstan,
Costa Rica1, Dominican Moldova, Romania,
Republic, El Salvador, Russia, Slovak
Guatemala, Honduras, Republic, Ukraine
Mexico, Nicaragua
West Africa India South America –
Benin, Côte d’Ivoire1, India1 northern region
Ghana, Mali, Senegal Colombia, Ecuador,
Peru1
Oikocredit South America –
International southern region
Nigeria2, Mozambique2 Argentina, Bolivia,
Brazil, Paraguay,
Uruguay1
1
Country with regional office/RDC. Oikocredit International and the RDC for Eastern Europe and Central Asia are located
in the Netherlands.
2
The country offices in Nigeria and Mozambique report to Oikocredit International.

17.
Countries with highest capital outstanding
At 30 June 2012

18.
1/3 of our 890 partners are cooperatives
At 31 December 2011

19.
Githunguri Dairy Farmers Cooperative
Small scale dairy farmer
Average 3 acres, 5 cows

20.
Reason for Oikocredit funding
• Not able to get funding from commercial banks
• Own commitment – together the farmers had already
constructed buildings
• Social relevance
– 15,000 farmers
– Job creation
– Target market
– Access to affordable pasteurized milk

21.
Githunguri is bankable
• Rapid growth – 3rd in market share in Nairobi
• Better service to farmers
• New products
• Currently over 15,000 members
• Annual turnover € 46 million
• Over 200 direct jobs created

22.
Cocovico, Côte d’Ivoire - the old market
- COCOVICO: Coopérative de
Commerçantes du Vivrier de
Cocody
- Created in 1993
- co-operative of female
vendors based in Abidjan,
Côte d'Ivoire
- € 80,000 in 2004

23.
Cocovico - the new market
• Partner since 2004
• Oikocredit financing
used to build the new
market during civil war
• Benefiting over 5,000
traders, giving people
in Abidjan access to
food

24.
Chajul - Guatemala
• Guatemalan non-profit organization
of coffee producers
• Markets Fair Trade, organic coffee
since 1989
• Around 1500 members
• Primary focus: processing and
exporting coffee, which are certified
as both organic and Fair Trade
• Environmentally focused
• 4 loans: € 243,000 1991; 1.2 million
credit line in 2002; 66,000 in 2009
500,000 in 2012

25.
Kuapa Kokoo
• Ghanaian cooperative of 62,000
cocoa farmers
• In 2011 Kuapa Kokoo received an
Oikocredit loan of GHS 5.7 million
• (€ 2.55 million)
• Kuapa Kokoo will use this loan to
build its working capital to increase
the purchase of cocoa beans from
its member farmers.

26.
Divine Chocolate
•Fair trade chocolate company Kuapa Kokoo member Adwoa Asianaa
based in UK & US.
•Buys cocoa from the Ghanaian
cooperative Kuapa Kokoo and
manufactures the chocolate
products under the Divine
Chocolate label.
•Kuapa Kokoo owns 45% of
Divine Chocolate
•Divine Chocolate and Kuapa
Kokoo are Oikocredit partners

27.
Divine Chocolate / Kuapa Kokoo

28.
Barefoot Power
• Develops and distributes solar-
powered lamps to households in
developing countries
• Employs 50 people in Australia,
China, Uganda, Kenya
• Empowers 2,000 entrepreneurs
in Uganda, Kenya, India and the
Pacific region
• Equity investment € 246,000
2007
• Credit line USD 1,000,000

29.
Barefoot Power
400,000
households in more
than 40 countries
light their homes
with Barefoot Power
lamps

30.
Social investment: creating your future!

31.
Disclaimer
This document was produced by Oikocredit, Ecumenical Development co-operative Society U.A. (Oikocredit International) with the greatest of
care and to the best of its knowledge and belief at the time of writing. The opinions expressed in this document are those of Oikocredit
International at the time of writing and are subject to change at any time without notice. Oikocredit International provides no guarantee with
regard to its content and completeness and does not accept any liability for losses which might arise from making use of this information.
This document is provided for information purposes only and is for the exclusive use of the recipient. It does not constitute an offer or a
recommendation to buy or sell financial instruments or banking services and does not release the recipient from exercising his/her own
judgment. The recipient is in particular recommended to check that the information provided is in line with his /her own circumstances with
regard to any legal, regulator, tax or other consequences, if necessary with the help of a professional advisor.
This document may not be reproduced either in part or in full without the written permission of Oikocredit International. It is expressly not
intended for persons who, due to their nationality or place of residence, are not permitted access to such information under local law.
Every investment involves risk, especially with regard to fluctuations in value and return. It should be noted that historical returns and financial
market scenarios are no guarantee of future performance. Investments in foreign currencies involve the additional risk that the foreign currency
might lose value against the investor‘s reference currency.
Oikocredit International is a co-operative society with limited liability (coöperatieve vereniging met uitgesloten aansprakelijkheid) under the laws
of the Kingdom of the Netherlands.