The European Investment Bank (EIB) has committed US$15m in REGMIFA, a US$150m microfinance fund targeting small enterprises in sub-Saharan Africa. EIB will also provide a further US$2m in technical assistance grant funding.
Investors in the fund include the German Ministry for Economic Co-operation and Development (BMZ), KfW Development Bank, IFC, part of the World Bank Group, the Belgian Investment Company for Developing Countries (BIO), (OeEB) the Development Bank of the Netherlands (FMO), the European Commission, EuropeAid, French Development Agency (AFD), (PROPARCO), the Norwegian Microfinance Initiative (NMI), Spanish Agency for International Development Cooperation (AECID), Spanish Ministry of Foreign Affairs (MAEC) and African Development Bank (AfDB).
REGMIFA, which is managed by Symbiotics, will provide direct funding for 50 microfinance institutions. They, in turn, will lend to over 300,000 small businesses in local currency. The fund will develop a credit portfolio of 200m USD by 2014 and
It is expected that the vast majority of borrowers will be women, whose social position and income earning role as entrepreneurs will be strengthened.
FinSMEs
05/05/2010