FinovateSpring is one of a series of conferences focusing on financial technology (fintech). The event is scheduled to include demonstrations of new fintech products, networking opportunities and approximately 175 speakers, with a focus on
MICROCAPITAL BRIEF: Creation Investments Lends $12m to Berar Finance, SRFC, Sindhuja Microcredit of India
US-based Creation Investments Capital Management recently lent a total of USD 12 million to three non-bank financial institutions in India: Berar Finance, Shri Ram Finance Corporation (SRFC) and Sindhuja Microcredit. These investments are
MICROCAPITAL BRIEF: Banverde of Mexico Raises $57m for Rooftop Solar Power from CIFI, Banverde Activos, WRB Serra Partners
Corporación Interamericana para el Financiamiento de Infraestructura (CIFI), a Panama-based financier of privately owned infrastructure projects in Latin America and the Caribbean, recently led a round of funding for Banverde, a private equity fund in Mexico that finances the installation of rooftop solar panels. The funding round totaled USD 57 million, with unspecified levels of funding invested by CIFI and
MICROCAPITAL BRIEF: Off-Grid Market Development Fund Granting Up to $28m to Solar Distribution Firms in Madagascar, Depending on Results Toward Goals
The Off-Grid Market Development Fund (OMDF), an initiative of the Malagasy government, recently signed contracts with 12 solar companies in Madagascar, whereby the firms are receiving a total of USD 2.5 million upfront. The firms can obtain an additional total of USD 25.5 million if they reach their distribution goals, which entail the delivery of “900,000 quality solar lanterns and market-entry solar home systems by June 2024.”
OMDF has a total volume of
MICROCAPITAL BRIEF: Common Cents Lab, IDB, Mastercard, MercadoLibre Harnessing Behavioral Economics, Technology in Effort to Bolster Financial Stability of Entrepreneurs, SMEs in Latin America
The Inter-American Development Bank (IDB), a multilateral financial institution that promotes economic development in Latin America and the Caribbean, recently partnered with US-based Common Cents Lab, US-based financial services company Mastercard and Argentina-based e-retailer MercadoLibre on a program intended to improve the ability of entrepreneurs as well as small and medium-sized enterprises (SMEs) “to prepare for, deal with and recover later from economic shocks.” Over two years, the partners will design and test “behavioral-informed interventions,” such as reminders, deadlines or social pressure, “within the MercadoLibre platform and
MICROFINANCE PAPER WRAP-UP: “The Future of Government-to-Person (G2P) Payments: Three Years of Learning About G2P Choice in Zambia;” by Silvia Baur-Yazbeck et al; Published by CGAP, World Bank Group
The authors of this paper evaluated the methods that Zambia’s Ministry of Community Development and Social Services (MCDSS) uses to issue government-to-person (G2P) payments via its Supporting Women’s Lives (SWL) and Girls Education and Women’s Empowerment and Livelihoods (GEWEL) projects. Launched in
MICROCAPITAL BRIEF: Fusion Microfinance Raises $12m in Debt from Bank im Bistum Essen (BIB) to Increase Financial Inclusion for Women in India
Fusion Microfinance, a microfinance institution in India, recently borrowed EUR 10 million (USD 12.2 million) from Bank im Bistum Essen (BIB), a cooperative bank based in Germany. The loan proceeds are intended for Fusion Microfinance to
MICROFINANCE PAPER WRAP-UP: “Savings and Climate Resilience;” by Elisa Sandri, Leonie Beckmann, James Robinson; Published by Itad
This paper explores how inclusive finance increases the ability of vulnerable populations to “anticipate, cope and adapt to climate shocks and stresses.” Savings groups, for example, can “enhance social capital by building group solidarity and networks,” and they have been successful outside of the financial arena, such as
MICROCAPITAL BRIEF: EBRD Lends $1.2m to Erste Group’s Sparkasse Leasing Doo Skopje to Support Small, Medium-sized Enterprises (SMEs) in North Macedonia
The UK-based European Bank for Reconstruction and Development (EBRD) recently lent Sparkasse Leasing Doo Skopje, a unit of Sparkasse Bank of Macedonia, EUR 1 million (USD 1.2 million) to fund equipment to be leased by small and medium-sized enterprises (SMEs) in North Macedonia. The leased equipment is meant to boost the SMEs’ usage of renewable energy and
MICROCAPITAL BRIEF: Ascent Rift Valley Fund II Raises $100m from Public, Private Investors for SMEs in East Africa
Kenya-based private equity firm Ascent Capital Africa recently secured USD 100 million at the first rolling close of its Ascent Rift Valley Fund II (ARVF II), surpassing the firm’s initial goal of USD 80 million. The funds will be invested in small and medium-sized enterprises (SMEs) in East Africa, targeting
MICROCAPITAL BRIEF: Google Pay Partners with Western Union, Wise to Allow US Users to Send Remittances to India, Singapore; Plans to Expand Worldwide
Google Pay, a service of US-based technology firm Google, recently partnered with money transfer companies Western Union and Wise to allow Google Pay users in the US to send money to individuals in India and Singapore. The service does not allow payments from other countries to the US or payments to or from businesses. However,
MICROCAPITAL BRIEF: Positive Ventures of Brazil Raises $10m for Impact Fund Supporting Cleantech, Education, Fintech, Health
Positive Ventures, a Brazilian venture capital and private equity firm, recently raised USD 10 million for an impact investment fund from its limited partners, including Cândido Bracher, who previously served as Chairman of Brazil-based Itaú Unibanco; Teresa Bracher; and Luis Stuhlberger, who co-founded Brazil-based Verde Asset Management. Positive Ventures invests in companies seeking to “create an economic, social and
MICROCAPITAL BRIEF: Georgia Seeks to Ease MSMEs’ Adjustment to COVID-19 with World Bank Funding for Fintech, Loan Guarantees, Grants
The World Bank recently approved EUR 85 million (USD 103 million) for a project called “Relief and Recovery for Micro-, Small and Medium Enterprises (MSMEs),” which will support businesses in Georgia that have been affected negatively by the COVID-19 pandemic. The project includes funding to expand Georgia’s financial infrastructure, such as to support online banking, know-your-customer (KYC) protocols and
MICROCAPITAL BRIEF: Lami of Kenya Raises $1.8m in Equity for Digital Insurance (Insurtech) in Africa
Kenya-based insurance technology (insurtech) firm Lami Technologies recently raised USD 1.8 million in a seed investment round led by Accion Venture Lab, a unit of US-based NGO Accion. Lami provides a digital platform through which firms offer instant quotations and the subsequent distribution of
MICROCAPITAL BRIEF: Tugende Expands Leasing Products to Finance Boat Engines for Fishing in Uganda
Tugende, a technology-driven, lease-to-own firm, recently expanded its product portfolio to finance boat engines for informal workers in the fishing industry in Uganda. The company provides “financing for income-generating assets,” such as motorcycle taxis; associated resources, such as insurance and training; and digital profiles demonstrating
MICROCAPITAL BRIEF: Government of Madagascar, IFC, Local Insurers Partner on Agricultural Insurance, Seeking to Lower Risk of Lending to Farmers
The International Finance Corporation (IFC), a member of the World Bank Group, recently announced a partnership with the government of Madagascar to boost farmers’ access to insurance that protects their crops from climate-related disasters. The project will engage Malagasy insurance companies to create
MICROCAPITAL BRIEF: Incofin Assists SOPROCOPIV Coffee Cooperative with Fairtrade Certification, COVID-19 Adjustment in Democratic Republic of Congo (DRC)
Incofin, an investment management firm based in Belgium, recently launched a technical assistance project for Solidarité pour la Production et la Commercialisation des Produits Industriels et Vivriers (SOPROCOPIV), a coffee cooperative in the Democratic Republic of Congo (DRC). The goal is to help SOPROCOPIV become certified by Germany’s Fairtrade International by
MICROCAPITAL BRIEF: Baobab+ Raises $5m in Equity, Debt to Expand Pay-as-you-go Solar, Tablets in Cote d’Ivoire, Senegal
The French technology company Baobab+ recently raised EUR 2 million (USD 2.4 million) in equity from the Facility for Energy Inclusion Off-Grid Energy Access Fund (FEI-OGEF), an initiative of the African Development Bank (AfDB). Baobab+ also secured a loan of the same amount from the Energy Entrepreneurs Growth Fund (EEGF), which is