Rural Impulse Fund I


Last updated 13 May 2020, by Impactyield.

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Fund geography

Emerging countries (256)

Rural Impulse Fund I (RIF I) is a microfinance investment vehicle investing in financially sustainable rural microfinance institutions (MFIs) that provide financial services adapted to the needs of the rural poor.

The fund invests in debt and equity and provides technical assistance to a number of selected partner MFI's.

RIF I pursues a double-bottom line objective of increasing outreach and impact of rural MFI's, to the benefit of the rural poor; and of providing investors with an attractive financial return.

RIF I has attracted funds through shares (USD 9M), mezzanine debt (USD 10M) and senior debt (USD 19M). Debt tranches have a maturity of 3-5 years. In June 2010, the successor of RIF I, RIF II, was launched. EUR 97M was raised during the first two closings of RIF II. RIF II still has room for subscriptions to senior notes for an amount of EUR 23M.

Financial description

Rural Impulse Fund I is a closed-ended fund restricted to institutional and well-informed investors. The fund issues shares and attracts debts via notes and loans, up to a debt-to-equity ratio of maximum 1.
The fund provides loan and equity financing for rural MFIs. Part of the investments in microfinance institutions is in local currency.

16 years

of track record


the year funded

40,000,000 USD


Asset manager

Incofin Investment Management


Headquarters location:

Other funds managed by this asset manager: Rural Impulse Fund II

SDG goals

SDG targets

Increase access to financial services and markets

Key performance indicators

Fund overview

Asset manager: Incofin Investment Management

Product track record: Fund has 16 years of track record

Target IRR: 12%

Committed Capital: 40,000,000 USD (US Dollar)

Target return category: Risk-adjusted market-rate of return

Fund domicile:

Product status:


Inception year: 2007

Vintage year: 2007

Target region:

Target close date: n.a.

Product term: 10 years

Assets under management: 40,000,000 USD (US Dollar)

Investment size: Min: 500,000; Max: 2,000,000; Avg: 1,000,000

Co-investment policy:

Currency of investments:

Currency for fund / product figures:

Fund investments to date: 35

Fund investments to date exited or repaid: 0

Management fee: n.a.

Carried interest: n.a.

Hurdle rate: n.a.

GIIN Investors' Council Investment: Yes

Limited Partners / Investors: International Finance Corporation, European Investment Bank, Belgian Investment Company for Developing Countries (BIO), FMO, KBC Private Equity, KBL, Pax-Bank, VDK Spaarbank, Bank für Kirche und Caritas, ...

Limited Partner / Investor Type: Development Finance Institution (DFI), Pension Funds, Other Institutional Investors


E-mail: n.a.


Phone number: +32 (0)3 829 25 37

If you wish to have your details removed from this database please email

Alexander Vuylsteke

Business Development Associate

Geert Peetermans

Chief Investment Officer

Sara Vermeir

Director of Business Development

Impact Performance


Impact thesis

RIF I invests in financially sustainable MFI's that have a rural focus, ie. have 50% or more of their branches located in rural areas (minimum 20%).
The main impact objectives are to:
strenghten rural MFIs' financial structure and capacity
improve outreach and impact of rural MFIs and provide opportunities to rural poor
act as a catalyst so that rural finance becomes an investible asset class

During the investment process, potential investees are screened on both financial and social criteria, with both being equally importance factors in the investment decision. To assess social performance, Incofin IM has developed and is using a proprietary Social and Environmental Performance Measurement Tool, called ECHOS©.
After investing, the fund provides technical assistance to facilitate the development of partner MFIs. Technical assistance interventions cover specific needs and weaknesses of MFIs, in fields such as governance, product development, management information systems, marketing, ...

Impact Management


Financial benchmark

Term Description:


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