1 26th April 2007

Device « PARCOURS CONFIANCE » * (Course for trust) experience of microfinance in France 26 April 2007

3 26th April 2007 Parcours Confiance « An Innovant and Unique Solution in France » Project launched in 2006 : In the line with its society commitments, Caisse d’Epargne created Parcours Confiance(non profit organisation) in order to prevent financial exclusion. Goal : Fight against financial exclusion by helping fragile population to find a financial and social well being. Beneficiaries : Individuals Micro entrepreneurs Ideas : Parcours Confiance forges deep relationships with its beneficiaries and spend on individualized service and coaching.

4 26th April 2007 Parcours Confiance Services for individuals A comprehensive support package : Private banking solution for « fragile people » : personalised and tailored services to meet the needs of each beneficiary Providing affordable banking services, loans (€ 500 to 3 000) at low rates (2.75 to 5%), savings account Cross services with Social workers and Charitable organisations for : Housing Job search Psychological help

5 26th April 2007 Services in the comprehensive support for individuals (1/2) Family budget diagnosis done by a dedicated Caisse d’Epargne account manager Level of former debts has to be analysed and discussed Recovery plan discussed but decided by the beneficiary…what spends could you stop or regulate ? Account felllow-up done by a Caisse d’Epargne account manager…what happen for the last 2 weeks ? Means of payments adapted : a bank card which does not offer overdraft Lower pricing of banking services to encourage the best efforts for the first steps of the recovery plan

6 26th April 2007 Services in the comprehensive support for individuals (2/2) Social microcredit, if there is a project for financing basic needs (House, Transport, Education, access to employment…). Offering training and education with « Finances & Pédagogie » that enable people to inderstand and control family budget. 2 or 3 Saturday mornings are proposed for a best attendance.

7 26th April 2007 Parcours Confiance Individuals segmentation All people that have a temporary job contract Unemployed people that need to Finance a project in order to find a jobmore easily ( car, mopped,…) Life accident (divorce, separation, unemployment…) No access to loans / Financial difficulties exposing to excessive debt Young people under 25 years without financial guaranty Disabled people with low wages Version 1 du 03/11/2006 CNCE

8 26th April 2007 Results Version 1 du 03/11/2006 CNCE 2006To date Number of people Nb of Social microcredit Parcours Confiance offices

9 26th April 2007 Parcours Confiance Services for micro entrepreneurs Dedicated bank specialists for micro-entrepreneurs Assistance from a accompanying network such as France Active,ADIE, les Boutiques de gestion, France Initiative, Réseau Entreprendre. Accompanying before starting and during development Access to conventional loans (€ to ) at market rate, services (professionnal account) average amount €

10 26th April 2007 Parcours Confiance microentrepreneurs segmentation Version 1 du 03/11/2006 CNCE Unemployed people Beneficiaries of social help (Rmistes) No access to loans / Financial difficulties exposing to excessive debt Young people under 25 years Inactive people

11 26th April 2007 Results Version 1 du 03/11/2006 CNCE 2006To date New companies New companies fellow up by Parcours Confiance Parcours Confiance offices with entrepreneur expertises

12 26th April 2007 Implementation in progress, France covered at the of 2008 Key : Parcours Confiance contact Parcours Confiance recruitment in progress

13 26th April 2007 Experience learned with 18 mounths practise Project management A project team : An “access to finance committee” National and Local project managers A project manager network to share experience New process implementation New loan process (IT, back office, risk, regulation) Structuration of Parcours Confiance organisation Partnerships to shape Action plan and budget 3 months before opening Education to promote access to finance Minimum loocal budget : € up to €1,5 M

14 26th April 2007 Experience learned with 18 mounths practise A big bang Inside Caisse d’Epargne : A new activty A lot of spontaneous help from employees Retired employees want to help For social institutions and social workers A loan instead of a help Founding new cross services Proof of our promise It takes time to build bridges : After the first sight operational work start slowly Same level of communication needs to be established Confidence needs be established

15 26th April 2007 Experience learned with 18 mounths practise Think local Local team Need of a local project manager in each Caisse d’epargne for process implementation Local partnerships Because confidence is personal, one to one relationship needs to be established Each territory is specific Local network is absolutly necessary for implementation Location Easy access to offices for beneficiaries / clearly indentified Offices near beneficiaries and local partners Main city of the territory for local or regional coverage