The World Bank Group’s International Finance Corporation (IFC) recently announced it will pay up to half of any losses that Union Bank of Nigeria may incur in lending the local-currency equivalent of USD 25 million to small and medium-sized enterprises (SMEs) in Nigeria. In particular, “the bank plans to offer more products and services to women-owned businesses, especially
Category: Africa
MICROCAPITAL BRIEF: Ghana Increases Bailout of Financial Sector by $471m, Partly to Refund Deposits to Microfinance Institution Customers
The government of Ghana is increasing the total by which it is reimbursing parties impacted by the closure of some of the country’s financial institutions from GHS 2.4 billion (USD 434 million) to GHS 5 billion (USD 906 million), according to a statement attributed to President Nana Akufo-Addo. The new funding is for depositors and others involved with microfinance institutions and
MICROCAPITAL BRIEF: Quona Capital Closes Accion Quona Inclusion Fund with $203m for Fintechs
Venture capital firm Quona Capital, which focuses on financial inclusion via technology in emerging markets, recently closed its second fund, the Accion Quona Inclusion Fund, at a volume of USD 203 million. Accion, a US-based nonprofit, is the anchor investor in the fund, which had an initial target of
MICROFINANCE PAPER WRAP-UP: “Experiences in Gender-sensitive Solutions to Collateral Constraints,” published by MEDA
By Allison Nafziger, published by Mennonite Economic Development Associates, January 2020, 18 pages, available at https://www.meda.org/innovate/innovate-resources/944-experiences-in-gender-sensitive-solutions-to-collateral-constraints-meda-innovate-learning-series-paper
Many financial institutions and regulatory systems in low-income countries impose strict collateral requirements on smallholder farmers as well as other micro-, small and medium-sized enterprises (MSMEs) in the agricultural sector. These requirements especially are limiting to
SPECIAL REPORT: Highlights of European Microfinance Week 2019
From 
the European Microfinance Platform (e-MFP): European Microfinance Week 2019 gathered 450 leading experts from 62 countries to showcase the most exciting innovations advancing sustainable and responsible financial
MICROFINANCE PAPER WRAP-UP: “The Digital Lives of Refugees: How Displaced Populations Use Mobile Phones and What Gets in the Way,” Published by GSMA
This is a summary of a paper published by the Groupe Speciale Mobile Association (GSMA), July 2019, 87 pages, available at https://www.gsma.com/mobilefordevelopment/wp-content/uploads/2019/07/The-Digital-Lives-of-Refugees.pdf
Mobile technology in general, as well as mobile network operators in particular, are becoming increasingly important to the delivery of aid to populations in crisis. This report addresses the access to, use of, and barriers to mobile technology among refugee populations.
The authors conducted 3,000 face-to-face and telephone interviews as well 55 focus group discussions with refugees from Jordan, Rwanda and
MICROCAPITAL BRIEF: VisionFund Uganda Opening Branches to Deliver Microfinance to Refugees from South Sudan
The Ugandan subsidiary of VisionFund International, which is owned by US-based NGO World Vision, recently opened a branch in the Moyo region of Uganda, serving refugees and local residents near the Palorinya settlement for refugees from South Sudan. About 121,000 refugees and 48,000 Ugandans live in the area. During 2020, VisionFund Uganda plans to open three more branches targeting areas with large numbers of refugees, including one branch serving the town of Yumbe and the nearby settlement Bidibidi, where 230,000
MICROCAPITAL BRIEF: ACEP International, BIO, I&P Creating ACEP Group to Help Microfinance Providers in Burkina Faso, Cameroun, Madagascar, Niger Transform into Digital Institutions
The recently formed ACEP Group has acquired controlling stakes in three microfinance institutions (MFIs), ACEP Burkina Faso, ACEP Madagascar and ACEP Niger; and ACEP Cameroun “is aiming to join” the group as well. The creators of ACEP Group are the Agence de Crédit pour l’Entreprise Privée (ACEP) International, a private company whose ownership includes its co-founder Thierry Perreau; Investisseurs & Partenaires (I&P), a France-based investor in small and medium-sized enterprises in sub-Saharan Africa; and the government-owned Belgian Investment Company for Developing Countries, which is also known by its Dutch acronym BIO.
The goals of the group include to maintain the MFIs’ commitments to
MICROFINANCE PAPER WRAP-UP: “Results of the Fintech Benchmarks Proof-of-Concept: Toward Data Standards for Inclusive Fintech,” Published by MIX
This is a summary of a paper published by the Microfinance Information Exchange (MIX), January 2020, 45 pages, available at https://www.themix.org/s/MIX_Toward-Data-Standards-for-Inclusive-Fintech_January2020.pdf
To test its Data Standards for Inclusive Fintech, MIX asks, “What can we learn about fintechs as businesses and how they address challenges of inclusion?” Based on information from 45 fintechs, the majority of which are based in Sub-Saharan Africa, this exercise produced
MEDIA OF THE MONTH: Video Summary of SAM 2019, also Known as African Microfinance Week, in Burkina Faso
This five-minute video gives you a taste of what happened when 900 participants from 50 countries met for the 2019 SAM conference in Ouagadougou.
This post is part of a monthly series from MicroCapital pointing you to great media on microfinance and other forms of impact investing. Enjoy!
MicroCapital coverage of the last three SAM conferences, including vignettes demonstrating its value to participants, appears at http://www.microcapital.org/category/semaine-africaine-de-la-microfinance-sam/.
Do you know that MicroCapital publishes the MicroCapital Monitor newspaper each month? Find out more at http://www.microcapital.org/products-page/.
MICROFINANCE EVENT: SG2020: The Future of Savings Groups; POSTPONED; Durban, South Africa
THIS EVENT HAS BEEN POSTPONED. NEW DATES HAVE NOT BEEN ANNOUNCED. The event had been scheduled to take place March 10-12, 2020.
This conference will focus on increasing the support, sustainability and number of savings groups worldwide. The organizer defines savings groups as being “comprised of 15 to 25 self-selected individuals who save together and take small loans from those savings.” The event, which is the fifth in a series that began in 2011, includes
MICROCAPITAL BRIEF: Kafo Jiginew of Mali Borrowing $11m for 7 Years from EIB for Microfinance for Groups Including Farmers, Women, Artisans, Rural Entrepreneurs
Kafo Jiginew, a credit union in Mali, today agreed to accept a loan equivalent to EUR 10 million (USD 10.8 million) in local currency from the EU’s European Investment Bank (EIB). EIB will support the investment with technical assistance for Kafo Jiginew staff regarding risk management. The loan carries a term of 7 years, with a grace period of 18 months.
The funding is expected to enable 60,000
MICROCAPITAL BRIEF: EBRD, Green Climate Fund Lend $21.6m to Crédit du Maroc for SMEs in Morocco to Improve Energy Efficiency, Value Chains
Crédit du Maroc, the local member of the France-based Crédit Agricole Group, recently gained access to loan funding of up to EUR 20 million (USD 21.6 million) from the UK-based European Bank for Reconstruction and Development (EBRD) to on-lend to small and medium-sized enterprises (SMEs) in Morocco. EBRD sourced
SPECIAL REPORT: In Democratic Republic of Congo, Microfinance Institutions (MFIs) Notch Profitable Year After 2017 Losses, but Concerns Remain that SACCOs “May Disappear” from DRC
According to data from the Central Bank of Congo, the microfinance sector in the Democratic Republic of Congo (DRC) includes 102 microfinance institutions (MFIs), of which 82 are savings and credit cooperatives (SACCOs) and 20 are organized as for-profit firms, such as limited liability companies. These institutions
MICROCAPITAL BRIEF: Central Bank of Sudan Issues Monetary Policy Promoting Financial Inclusion, Competition Among Financial Institutions; Sets $30k MSE Loan Ceiling
Governor 
Badr Ibrahim (pictured) of the Central Bank of Sudan (CBOS) recently announced a new monetary policy intended to reduce inflation, stabilize exchange rates, finance goods produced for export, strengthen financial safety nets, boost financial inclusion and increase competition among financial services providers.
Elkhidir Elamin Mohammed, the managing director of Al-Fal MSE Finance, tells MicroCapital that, “This announcement is motivating financial institutions to innovate and link their investment activities with
MICROFINANCE EVENT: ICT4D (Information Communications Technology for Development) Conference; January 12, 2021; Virtual – NEW DATES AND FORMAT
The event had been scheduled to take place in Abuja, Nigeria, from April 21-23, 2020.
This conference will bring together approximately 900 delegates to explore the use of digital innovations to adapt to global challenges, such as providing humanitarian relief and building infrastructure to increase access to technology for poor people. Specific topics
MICROFINANCE EVENT: Africa Banking and Finance Conference; April 22-23, 2020; Nairobi, Kenya
The theme of this year’s Africa Banking and Finance Conference is “Winning Practices – Rethinking Business Innovative Strategies.” The agenda comprises sessions on technology and innovation, the future of
MICROCAPITAL BRIEF: Fenix, MTN, UNCDF Cross-train Staff to Sell Pay-as-you-go Solar Home Power Systems, Facilitate Mobile Money Transactions in Rural Zambia
During a 10-month pilot project, Fenix International, a provider of solar home power systems that is controlled by France-based Engie; MTN, a telecom based in South Africa; and the UN Capital Development Fund collaborated to train 93 “Fenix Traders” to expand the uptake of solar home systems in Zambia. Previously, usage of the systems, which are enabled and disabled remotely based on users’ “pay-as-you-go” payments, were limited by a scarcity of mobile-money agents to accept these payments, particularly in rural areas. To address this problem, these Fenix Traders were cross-trained and equipped for both solar sales and the provision of mobile money services. Of the group, 82 operate in