The FINANCIAL -- Tbilisi , Georgia, July 14, 2011—IFC, a member of the World Bank Group,
is helping mobile financial services provider OpenRevolution expand its
MobiPay services in rural Georgia, which will increase access to
finance, especially for small farmers, and support the development of
rural communities.
IFC will help the company accelerate the launch of MobiPay brand mobile financial services in the regions of Kakheti, Guria, and Samegrelo, focusing especially on small landowners who lack access to finance or incur high transaction costs for payment services. IFC will provide OpenRevolution with a $400,000 performance-based grant to support this expansion. IFC recently introduced performance-based grants as a form of support that rewards clients for achieving development targets.
“In less than six months MobiPay has secured over 100,000 customers, 1,500 merchants and 150 Cash Agent locations in the Tbilisi area of Georgia,” said Allen Gilstrap, OpenRevolution CEO. “MobiPay provides a wide range of flexible and convenient payment options, including bill payment, merchant payments, person-to-person money transfers, and airtime top-up anywhere in Georgia and anytime you want. We are excited to work with IFC to accelerate our expansion.”
Thomas Lubeck, IFC Regional Head for the Caucasus, said, “We are glad to enter a new, promising area of innovative payment systems. Our cooperation with MobiPay will enable Georgians, especially small farmers in Kakheti, Guria, and Samegrelo, to benefit from financial services received via their mobile phones, and will help develop Georgia’s agricultural potential, which is a priority for IFC.”
OpenRevolution plans to expand its MobiPay payment network to other countries in Europe and Asia, providing convenient and affordable access to financial services for individuals and small and medium sized enterprises, especially in rural areas.
IFC’s cumulative investments in Georgia since 1995 total nearly $500 million in 36 projects across a variety of sectors. Through its Advisory Services, IFC is working towards reform of Georgia’s tax system to benefit small businesses, helping raise food safety standards, and strengthening the risk-management practices of banks. Georgia has been a member of IFC since 1995.
About IFC
IFC, a member of the World Bank Group, is the largest global development institution focused on the private sector in developing countries. We create opportunity for people to escape poverty and improve their lives. We do so by providing financing to help businesses employ more people and supply essential services, by mobilizing capital from others, and by delivering advisory services to ensure sustainable development. In a time of global economic uncertainty, our new investments climbed to a record $18 billion in fiscal 2010. For more information, visit www.ifc.org.
About OpenRevolution
OpenRevolution LLC is an US-based company that designs, capitalizes, builds, owns and operates a mobile financial services network. The first network deployment is in the country of Georgia, where it operates under the MobiPay brand. OpenRevolution is in the process of expanding its mobile financial services network to other markets in Eastern Europe and Eurasia. OpenRevolution was founded in 2008. OpenRevolution investors include Blue Heron Capital and V-Ten Capital Partners. V-Ten Capital Partners is a private equity firm owned by Mr. Richard L. Sharp. Mr. Sharp is the former Chairman and CEO of Circuit City, Chairman of Crocs and a founding investor and former Chairman of Flextronics, as well as co-founder and former Chairman of CarMax. For more information, visit: www.openrev.com and www.mobipay.ge.
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