| Entity | Document Type | Tax ID |
|---|---|---|
| FINCA International, Inc. and Subsidiaries | Consolidated Audited Financial Statements | Multiple |
| FINCA International, Inc. | IRS Form 990 | 13-3240109 |
|
Entity: FINCA International, Inc. and Subsidiaries Document Type: Consolidated Audited Financial Statements Tax ID: Multiple |
|
Entity: FINCA International, Inc. Document Type: IRS Form 990 Tax ID: 13-3240109 |
| Name | Title | Compensation | |
|---|---|---|---|
| 1 | P. Daniel Smith | General Counsel | $451,107 |
| 2 | Andree Simon | President / CEO | $434,533 |
| 3 | Colleen Zakrewsky | SVP, Development & External Relations | $321,720 |
|
1 Name: P. Daniel Smith Title: General Counsel Compensation: $451,107 |
|
2 Name: Andree Simon Title: President / CEO Compensation: $434,533 |
|
3 Name: Colleen Zakrewsky Title: SVP, Development & External Relations Compensation: $321,720 |
CharityWatch's rating of FINCA International also includes the financial activities of the entities controlled by FINCA and its subsidiaries, which are consolidated in the FINCA International audited financial statements for the year ended December 31, 2024. All intragroup balances and transactions, and any unrealized income and expenses arising from intragroup transactions, have been eliminated in the consolidated audit, according to Note 2 to the audited consolidated financial statements.
"...As of December 31, 2024, FINCA Microfinance Holding Company LLC (FMH), as the intermediate holding company, has microfinance operations in 14 developing countries in Latin America (Guatemala), Africa (Democratic Republic of the Congo, Malawi, Nigeria, Tanzania, Uganda, and Zambia), Eurasia (Armenia, Azerbaijan, Kosovo, Kyrgyzstan, and Tajikistan), and the Middle East and South Asia (Jordan and Pakistan). FMH operates through local entities (Subsidiaries) that are owned and/or controlled by it, including corporations and, in some cases, nongovernmental organizations. The Subsidiaries principally provide loans to individuals and to groups of individuals that lack access to traditional financial institutions. In most cases, these loans are made to either groups, individuals, or small- and medium-sized enterprises. Loans consist of agriculture loans, education loans, short-term digital lending solutions in partnership with mobile network operators, and other microfinance loans...In addition to loans, FMH, through its Subsidiaries, provides other financial services needed by the working poor, including savings deposits, remittances, and microinsurance..."
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According to the FINCA International consolidated audit of December 31, 2024 (Note 14, Discontinued Operations and Assets Held for Sale): "The assets and liabilities of FINCA Pakistan and FINCA Nicaragua were classified as held for sale as of December 31, 2024 and 2023, respectively...No impairment loss was recognized upon reclassification of FINCA Pakistan; however, an impairment loss of $0.1 million was recognized on the assets of FINCA Nicaragua. The disposal group includes FINCA Microfinance Coöperatief U.A.'s (COOP) 94.9% equity interest in FINCA Pakistan, which operates in Pakistan. The decision to sell forms part of the Company's strategic exit from the market. A sale agreement was signed in September 2024, and the transaction closed in January 2025..." |
According to the FINCA International consolidated audit of December 31, 2024 (Note 25, Notes Payable): "The highest fixed interest rate paid by Subsidiaries was Malawi with 27.50% and the highest floating interest rate paid by Subsidiaries was Zambia with 20.30% in local currencies for commercial loans in countries with high perceived risk or with depreciating currencies. As of the reporting date, some Subsidiaries have breached covenants contained in financing agreements underlying these obligations. Management believes that these breaches are primarily due to recent global economic conditions that have affected the microfinance industry, or in some cases due to political and economic developments...As of December 31, 2024, Subsidiaries in Guatemala, Azerbaijan, Jordan, Uganda, and FMH were in breach of financial covenants involving loans from international financial institutions amounting to $42.6 million. After December 31, 2024, Subsidiaries had not obtained formal waivers for these breaches of covenants as of the consolidated financial statement issuance date. All loans for which no formal waivers were obtained are classified as current...No accelerated repayment is being enforced." |
According to the FINCA International consolidated audit of December 31, 2024 (Note 31, Subsequent Events - Non-Adjusting): "On September 20, 2024, COOP entered into a Share Purchase Agreement with TPL Corp Limited (TPL) and Abhi (Private) Limited (Abhi) whereby TPL and Abhi agreed to jointly acquire all shares held by the COOP in FINCA Pakistan. The transaction for the sale of the shares to TPL and Abhi closed in January 2025 and resulted in a loss on disposal of $12 million... ...In December 2024, FINCA Jordan Specialized Micro Loans Company (FINCA Jordan) initiated insolvency proceedings due to financial and operational difficulties...FINCA Jordan has not been classified as a discontinued operation and remains part of continuing operations." |
According to the FINCA International 2024 tax filing, FINCA reports re: Business Transactions Involving Interested Persons, a transaction in the amount of $100,000 involving Lorraine O'Hara, "Wife (beneficiary) of the former President & CEO." The transaction is described as "Senior Executive Retirement Plan (SERP) Benefit" (IRS Form 990, Schedule L, Part IV). |
