MICROCAPITAL BRIEF: FINCA International to Offer Microfinance Services to Fund Off-Grid Solar Systems in Africa

The Foundation for International Community Assistance (FINCA International), a US-based nonprofit microfinance network, has announced that it will offer microfinance services to fund “off-grid solar systems”[1] in Africa. The program will aim to fund local enterprises with the aim of distributing such solar systems to low-income households that do not have access to electricity. It is anticipated that approximately 1.5 million individuals will benefit from the program annually through 2019.

Rupert Scofield, the president and CEO of FINCA International, said that “access to energy is essential to help people live more comfortable lives and to become more productive”[1]. He added that “access to clean energy is even better. But the financing piece of this puzzle – both for low-income consumers and off-grid energy providers – is often a reason that markets don’t get going”[1].

As of 2014, FINCA International has total assets of USD 1.25 billion and serves 1.8 million clients through subsidiaries in 23 countries. Approximately 200 million households do not have access to safe lighting solutions in Africa as of 2015.

By Alíz Crowley, Research Associate

About FINCA International

The Foundation for International Community Assistance (FINCA) International, a nonprofit microfinance network based in Washington, DC, provides financial services to poor families through a network of locally managed institutions. FINCA was founded in 1984 by Dr. John Hatch, who is known for helping develop “village banks” in which each member guarantees the loans of other members. FINCA targets its services to poor women living in the Americas, sub-Saharan Africa and Eurasia. As of 2014, FINCA International has total assets of USD 1.25 billion and serves 1.8 million clients through subsidiaries in 23 countries. In December of 2011, FINCA launched a subsidiary, FINCA Microfinance Holding LLC, with funding from the International Finance Corporation (IFC), KfW Bankengruppe, Nederlandse Financierings-Maatschappijvoor Ontwikkelingslanden NV (FMO), responsAbility, and Triple Jump.

Sources and Additional Information

[1] PV Magazine, Finca to provide solar microfinance for 300,000 African households annually through 2019

[2] FINCA International, Annual Report 2014

MicroCapital Universe Profile: FINCA International

Do you know that MicroCapital publishes the MicroCapital Monitor newspaper each month? Find out more at https://www.microcapital.org/products-page/

Share

Comments are closed.