by the MicroCapital Team -

SPECIAL REPORT: Positioning MFIs to Access Climate Finance – An Interview with Kwashie Agbitor of Accion

A seat next to Kwashie Agbitor (pictured below) was one of the most highly sought-after spots at SAM 2023 in Togo in October. Mr Agbitor has 20 years of experience in Africa and Asia, improving branch oper­ations, credit appraisals, risk management, methodology auditing, prod­uct development, client protection and social performance management.

At SAM 2023, Mr Agbitor moderated a discussion titled “Climate funds, an opportunity for financial in­stitutions to scale up sustainable and inclusive financing.” The panelists rep­resented the Tunisian microfinance insti­tution (MFI) Enda Tamweel, the Belgian im­pact investment firm Incofin, the Ken­yan microlender Juhudi Kilimo and the French impact investor Solidarité Inter­nationale pour le Développement et l’Investissement (SIDI).

Bob Summers: How can financial services providers (FSPs) work with climate funds to expand their green lending portfolios?
Kwashie Agbitor: There are numerous opportunities for financial institutions to build their green portfolios with climate funds. Financial institutions can leverage equity, debt and quasi-equity sources of funding from various types of organiza­tions. Climate funds can be used to devel­op and deploy financial services that support the adoption of green products/solutions and help people recover from climate-re­lated shocks. Given their nature, most climate funders also pro­vide technical support/assistance in addition to funding.

BS: What factors influence whether a climate fund would invest in a particular MFI?
KA: Firstly, the MFI and the investor must

by the MicroCapital Team -

MICROCAPITAL BRIEF: JuST Institute Preview of Training on Delivering Climate, Biodiversity & Inclusive Finance to Smallholder Farmers Available Online December 12, 2023

The France-based NGO Just Sustainability Transitions (JuST) Institute is holding an online session December 12 to educate potential participants about a mentoring and training program for financial services providers (FSPs) looking to orient their work toward “climate adaptation and biodiversity conservation.” The program, which is for loan officers and managers employed by microfinance institutions (MFIs), takes place online over a period of four to six months. Participation can be part of an MFI becoming certified for

by Aarya Dhru -

MICROFINANCE EVENT: 19th Annual Global Microfinance Forum; March 14-15, 2024; Amsterdam, Netherlands

This forum will bring stakeholders together to discuss topics such as: (1) Climate-smart Financing for Smallholder Farmers; (2) Women’s Economic Empowerment by MFIs [Microfinance Institutions]; and (3) Green & Sustainable Finance; Genuine Change from MFIs.

by the MicroCapital Team -

SPECIAL REPORT: Investors, MFIs Continue to Wrestle with Sustainable Finance Disclosures Regulation (SFDR) #EMW2023

e-MFP logoThe Sustainable Finance Disclosures Regulation (SFDR), which the EU passed in 2019, resulted in a “seismic shift” for impact investment funds and their investees. At the closing plenary of European Microfinance Week 2023, Emmanuelle Javoy of Switzerland-based investor Symbiotics explained her firm’s response to SFDR. The company invested a large amount of resources to review the sustainability objectives of each of its 25 funds.

Jurgen Hammer of the 

by Hawra Moochhala -

MICROCAPITAL BRIEF: RDG Collective Borrows $2m from Oikocredit for Pay-as-you-go Solar Appliances for 12k Low-income Households in Zambia

Dutch impact investor Oikocredit recently channeled USD 2 million to RDG Collective, a provider of renewable energy products to households in Zambia. Through this collaboration, RDG plans to supply 12,000 households with “access to clean energy

by the MicroCapital Team -

SPECIAL REPORT: Green Action Group Celebrates 10th Anniversary at European Microfinance Week #EMW2023

e-MFP logoToday’s opening plenary of European Microfinance Week included a celebration of the accomplishments of the European Microfinance Platform’s (e-MFP’s) Green Inclusive & Climate Smart Finance Action Group. The group has grown to 150 people and still is accepting new members.

One of the main outputs of the group is the Green Index, which helps financial services providers (FSPs) evaluate their performance in terms of green inclusive finance. The Action Group introduced the index in 2014 and most recently updated it in 2022. One of the group’s most recent outputs is the

by the MicroCapital Team -

MICROCAPITAL BRIEF: Liberation Community Finance Expanding Branch Network, Product Lineup for Farmers, Women, Youth in Uganda

Liberation Community Finance (LCF), a microfinance institution (MFI) in Uganda, has several new initiatives:

– a partnership with Uganda’s Agricultural Business Initiative (aBi) to develop environmentally sensitive financial products for LCF’s clients who farm crops such as maize and pumpkins;

– a Women Commander model through which women who borrow in groups can earn commissions for monitoring loan repayments and recruiting additional borrowers; and

– a partnership with Uganda’s

by Hawra Moochhala -

MICROCAPITAL BRIEF: OPEC Fund Lending $22m to Raiffeisen Bank for SMEs in Albania

As its first loan to a financial institution in Albania, the Austria-based OPEC Fund for International Development recently channeled EUR 20 million (USD 21.7 million) to the Albanian unit of Raiffeisen Bank to provide loans to small and medium-sized enterprises (SMEs) in the country. The scheme especially targets

by the MicroCapital Team -

MICROCAPITAL BRIEF: Online Today in Spanish, November 22 in French – JuST Institute Announcing Mentoring Program for MFIs Embracing Biodiversity, Climate Adaptation

The France-based NGO Just Sustainability Transitions (JuST) Institute is launching a mentoring and training program for financial services providers (FSPs) looking to orient their work toward “climate adaptation and biodiversity conservation.” The program, which is for loan officers and their managers, takes place online over a period of four to six months. Participation can be part of an MFI becoming certified for

by Pranav Agarwal -

MICROCAPITAL BRIEF: Baobab+, TradeLenda Partner on Solar Energy Solutions for SMEs in Nigeria

Baobab+, a French energy and technology company active in six African countries, recently partnered with TradeLenda, a Nigerian financial services company serving small and medium-sized enterprises (SMEs), to expand lending to SMEs to buy solar generators, freezers and refrigerators. SMEs will be able to

by the MicroCapital Team -

SPECIAL REPORT: European Microfinance Week 2023 Is Almost Here! A Tour of the Upcoming Conference’s Sessions and Streams

e-MFP logoEuropean Microfinance Week (EMW) 2023, taking place in Luxem­bourg from 15-17 November, is fast approaching! One of the sector’s premier knowledge-sharing and networking events, EMW welcomes more than 500 professionals, in-person and online, and this year will comprise over 40 sessions – plenaries, breakouts, closed-door round­tables and Action Group meetings – organised across several thematic streams. These include: ‘Inclusive Finance for Food Security & Nutri­tion’, Green and Climate-smart Finance, Refugees and Forcibly Dis­placed Persons, Digi­talisation, Investing, Financial Health, Client Pro­tection, and Out­comes & Impact, among others. Here is a selection of what attendees can expect:

‘Inclusive Finance for Food Security & Nutrition’ is the topic of the European Microfinance Award 2023, the €100,000 prize award­ed annually by the Luxembourg Ministry of Foreign and European Affairs, which this year seeks to highlight innovations by financial ser­vices pro­viders (FSPs) to safeguard access to quality and affordable food for vul­nerable populations and to increase resilience of food systems. EMW2023 attendees will be able to choose from a range of sessions address­ing the different dimensions of food security, including:

by Pranav Agarwal -

MICROCAPITAL BRIEF: Energy Entrepreneurs Growth Fund (EEGF) Raises $125m to Increase Access to Energy in Sub-Saharan Africa

The Energy Entrepreneurs Growth Fund (EEGF), an initiative of the UK-based Shell Foundation and Dutch development bank Financierings-Maatschappij voor Ontwikkelingslanden (FMO), recently closed a fundraising round at USD 125 million. EEGF is intended to increase access to renewable energy in

by the MicroCapital Team -

SPECIAL REPORT: Inclusivity in Capital Markets Demands Sustainability Reporting

Sustainability reporting entails assessing, dis­closing and managing an organization’s environmental, social and governance (ESG) impacts. This prac­tice communi­cates to investors, custo­mers, employ­ees and regulators that the organization is com­mit­ted to sustainability. The dis­closure element, in particular, con­veys values, strategies, risks, oppor­tunities, account­ability and trans­par­ency.

The significance of sustain­ability re­port­ing within capital markets is increasing steadily, as more investors

by the MicroCapital Team -

SPECIAL REPORT: e-MFP Launches the Green Map, a Pioneering Resource to Address an Information Gap in Green Inclusive Finance

e-MFP logoAs the inclusive finance sector increasingly understands the crucial role it can have in supporting the most vulnerable populations – who are dis­pro­portionately affected by the consequences of climate change – the Euro­pean Microfinance Platform (e-MFP) is delighted to announce the launch of the Green Map, a project implemented by the e-MFP Green Inclusive and Climate Smart Finance Action Group (GICSF-AG) and supported by the Government of the Grand-Duchy of Luxembourg. The Green Map was officially launched on Thursday, September 28 at an in-person and live-streamed event entitled “Addressing Climate Change via an Open Resource for Green Inclusive Finance Projects & Practices.”

What’s this all for? The Green Map project aims to

by James Stevenson -

MICROFINANCE PAPER WRAP-UP: “State of the Art of Green Inclusive Finance 2011-2019: Worldwide Status and Progress Over 10 Years,” by e-MFP Green Inclusive and Climate Smart Finance Action Group

The authors of this paper assess the evolution of the green inclusive finance sector from 2011 to 2019. This encompasses products offered by a range of types of financial ser­vices pro­viders (FSPs), including climate insur­ance

by Tiyasha Sarkar -

MICROFINANCE EVENT: Global Development Conference on Biodiversity and Sustainable Development; October 31 – November 1, 2023; Quito, Ecuador

Sessions at this event will cover topics such as aligning government policies with environmental science; supporting female entrepreneurs; how biodiversity impacts economies; and understanding the connections among climate change, poverty, and gender inequality.

by Hawra Moochhala -

MICROFINANCE EVENT: Sa-Dhan National Conference on Inclusive Growth; November 8-9, 2023; New Delhi, India

Sa-Dhan’s 18th annual conference will focus on alleviating poverty through financial inclusion and associated services, including: (1) Microinsurance; (2) Micropensions; (3) Health; (4) Water and Sanitation; (5) Clean Energy and Climate Change; (6) Digitization;

by Renata Samadova -

MICROCAPITAL BRIEF: Okra Solar of Nigeria Raises Equity, Debt Totaling $12m to Expand Mesh Grids in Africa, Americas, Asia

Nigeria-based Okra Solar, whose products serve 14,000 people in Cambodia, Haiti, Nigeria, and the Philippines, recently raised USD 8 million in equity from five investors. The investment package is led by US-based At One Ventures and includes USD 1.5 million from