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In every country, the capital required for establishing or transforming an ASA International (ASAI) entity is provided by Catalyst Microfinance Investors (CMI). This capital inflow counts as equity investment made by CMI in ASA International.
Once an ASAI entity matures, typically after one or two years of operations, it is expected to leverage debt funds from multiple local sources, including: commercial banks, international financial organizations and investment funds. During the establishment phase, and till such time that it can access debt funds, CMI continues to provide funds to the entity to grow and operate.
The investment decisions, including approval of funding requests to existing and new ASAI entities, are made by CMI’s Investment Committee. These decisions are taken in every quarter and are based on business plans submitted by each entity matched against their performance in the previous quarter.
The CMI Investment Committee (IC) is made up of the Board of Directors of ASA International and representatives from CMI’s investors.
The CMI Board meets every quarter to review progress made by ASAI entities and to evaluate the funding requirements and business plan. Representatives from CMI’s major investors attend this meeting and are briefed in detail over a two day period
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