MIRA INFORM REPORT

 

 

Report Date :

29.01.2014

 

IDENTIFICATION DETAILS

 

Name :

MAWEL INTERNATIONAL FZCO

 

 

Registered Office :

Av.G.Clemenceau

 

 

Country :

Djibouti

 

 

Year of Establishments:

1959

 

 

Com. Reg. No.:

528/A/1963

 

 

Legal Form :

Limited Corporation 

 

 

Line of Business :

importer and distributor of FMCG products such as food products and beverages e.g. pasta, tomato paste, jam, Ketchup, mayonnaise, vegetables in cans, juices, canned & processed vegetables

 

 

No. of Employees :

80

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Status :

Satisfactory

 

 

 

 

 

 

Payment Behaviour :

No Complaints 

 

 

 

 

 

 

Litigation :

Clear

 

 

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

 

ECGC Country Risk Classification List – december 01, 2013

 

Country Name

Previous Rating

(30.09.2013)

Current Rating

(01.12.2013)

Djibouti

B2

B2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

DJIBOUTI ECONOMIC OVERVIEW

 

Djibouti's economy is based on service activities connected with the country's strategic location and status as a free trade zone in the Horn of Africa. Three-fourths of Djibouti's inhabitants live in the capital city; the remainder are mostly nomadic herders. Scant rainfall limits crop production to small quantities of fruits and vegetables, and most food must be imported. Djibouti provides services as both a transit port for the region and an international transshipment and refueling center. Imports, exports, and re-exports - primarily of coffee from landlocked neighbor Ethiopia - represent 70% of port activity at Djibouti's container terminal. Djibouti has few natural resources and little industry. The nation is, therefore, heavily dependent on foreign assistance to help support its balance of payments and to finance development projects. An unemployment rate of nearly 60% continues to be a major problem. While inflation is not a concern, due to the fixed tie of the Djiboutian franc to the US dollar, the artificially high value of the Djiboutian franc adversely affects Djibouti's balance of payments. Djibouti holds foreign reserves amounting to less than six months of import coverage. Per capita consumption dropped an estimated 35% between 1999 and 2006 because of recession, civil war, and a high population growth rate (including immigrants and refugees). Djibouti has experienced relatively minimal impact from the global economic downturn, but its reliance on diesel-generated electricity and imported food leave average consumers vulnerable to global price shocks. Djibouti in 2012 began construction of a third port to secure its position as a critical transshipment hub in the Horn of Africa and the principal conduit for Ethiopia's trade. Djibouti also received funding in late 2012 for a desalination plant to begin address the severe freshwater shortage affecting Djibouti City, and particularly its poorest residents.

 

Source : CIA

 

 

 

SUBJECT'S NAME   

 

Registered Name:                                    MAWEL INTERNATIONAL FZCO

Requested Name:                                    MAWEL INTERNATIONAL FZCO

Other Names:                                          None

 

 

ADDRESS AND TELECOMMUNICATION

 

Physical Address:                                   Av.G.Clemenceau,

Postal Address:                                       P. o. Box 362

Country:                                                  Djibouti

Phone:                                                    253-350082/251360/2135857/21341490

Fax:                                                       253-350082

Email:                                                     info@mawelonline.com

Website:                                                 www.mawelonline.com/  (Under Construction)

 

 

CREDIT OPINION

 

Financial Index as of December 2013 shows subject firm with a medium risk of credit.

 

 

LEGAL

 

Legal Form:                                                      Limited Corporation 

Date Incorporated:                                            1959

Reg. Number:                                                   528/A/1963

Nominal Capital                                                DJF. 1,000,000

Subscribed Capital                                            DJF. 1,000,000

 

Subscribed Capital is Subscribed in the following form:

                                                                       Position                          Shares

Mr. Ali Mawel Dirieh                                          MD                                 

Mr. M. Dirieh                                                    Director                           

 

RELATED COMPANIES  

 

None                                                               Parent company.

None                                                               Subsidiary company.

None                                                               Affiliated company.

None                                                               Shareholder of subject firm.

Ethiopia and Somalia                                        Branches of the firm

OPERATIONS

 

Registered to operate import and distribution of FMCG products such as food products and beverages e.g.pasta, tomato paste, jam, Ketchup, mayonnaise, vegetables in cans, juices, canned & processed vegetables

 

Imports:                                                           Africa, Asia, Middle East

Exports:                                                           None

Trademarks:                                                     None

Terms of sale:                                                  Cash (40%) and 25-90 days (60%), invoices.

                                                                      

Main Customers:                                              Local agencies, stores, outlets etc

Employees:                                                      80 employees.

Vehicles:                                                         Several motor vehicles.

Territory of sales:                                              Djibouti

Location:                                                          Owned premises, 20,000 square feet,

 

 

AUDITORS AND INSURANCE   

 

Auditors:                                                          Information not available.

Insurance Brokers:                                            Information not available.

 

                                                                      

FINANCE 

 

Currency Reported:                                           Djiboutin Franc (DJF.)

Approx. Ex. Rate:                                             1 US Dollar = 180.75 Djiboutin Franc

Fiscal Year End:                                               December 31, 2013

Inflation:                                                           According to information given by independent sources, the

                                                                       inflation at December 31st, 2013 was of 13%.

 

Financial Information not Submitted             

                                                                      

Profit and Loss (expressed in DJF.)

                                                                                  2013

Sales                                                                          1,850,000,000

 

BANK 

 

Bank Name:                                                     Banque de Djibouti et du Moyen Orient SA

Branch:                                                            Djibouti

Comments:                                                      None

                                                                      


TRADE REFERENCES    

 

Experiences:                                                    Good

                                                                      

 

NOTARIAL BONDS   

 

None

 

 

COMMENTS / ADDITIONAL INFORMATION    

 

This information was obtained from outside sources other than the subject company itself and confirmed the above subject.

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.62.99

UK Pound

1

Rs.104.61

Euro

1

Rs.86.17

 

INFORMATION DETAILS

 

Report Prepared by :

MNL

 

RATING EXPLANATIONS

 

RATING

STATUS

 

 

PROPOSED CREDIT LINE

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

 

Large

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

 

Fairly Large

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

 

Small

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

 

Limited with full security

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

 

Credit not recommended

--

NB

New Business

--

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

 

Financial condition (40%)            Ownership background (20%)                 Payment record (10%)

Credit history (10%)                    Market trend (10%)                                Operational size (10%)

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.