Compañia Española de Financiación del Desarrollo (COFIDES), a development finance institution controlled by the Spanish government, recently unveiled a new program called Triple Bottom Line Inclusive Finance in Latin America (TIF), in collaboration with the Agencia Española de Cooperación Internacional para el Desarrollo (AECID), a unit of the government of Spain. TIF aims to support low-income populations in Latin America by increasing access to loans while working to “ensure greater social and environmental sustainability.” It is to include the disbursement of EUR 53 million (USD 64.5 million) in loans via retail financial services providers from Fondo para la Promoción del Desarrollo (FONPRODE), a fund managed by COFIDES that promotes microfinance and other development interventions. TIF also has a technical assistance component with a budget of EUR 5.75 million (USD 7 million) provided by the EU-funded Latin America Investment Facility (LAIF).
COFIDES is controlled by three entities of the Spanish government. Its other shareholders are three Spanish banks and the CAF Development Bank of Latin America, which is based in Venezuela and was formerly known as Corporacion Andina de Fomento. COFIDES manages funding from the EU, the UN Green Climate Fund and the following entities owned by the government of Spain: Fondo para Inversiones en el Exterior (FIEX), Fondo para Operaciones de Inversión en el Exterior de la Pequeña y Mediana Empresa (FONPYME) and FONPRODE. As of the close of its 2019 fiscal year, COFIDES managed assets totaling EUR 1.1 billion (USD 1.3 billion).
By Harriet Ritchie, Research Associate
Sources and Additional Resources
Direct contact with COFIDES
COFIDES 2019 activities
https://www.cofides.es/sites/default/files/biblioteca/2020-07/activity-sustainability-report-cofides-2019-english.pdf
AECID homepage
https://www.aecid.es/
LAIF homepage
https://www.eulaif.eu/
Do you know that MicroCapital publishes the MicroCapital Monitor newspaper each month? Find out more at https://www.microcapital.org/products-page.
Similar Posts:
- MICROCAPITAL BRIEF: Babban Gona Borrows $5m from Huruma Fund to Support Smallholder Farmers in Nigeria, Prepare for International Expansion
- MICROCAPITAL BRIEF: Cresol Baser of Brazil Borrows $12m from Huruma Fund for Farm Lending, Green Product Development, Impact Measurement
- MICROFINANCE EVENT: GSG Global Impact Summit 2023; October 2-3; Malaga, Spain
- MICROCAPITAL BRIEF: Papara of Turkiye Acquires Rebellion Pay Mobile Money Service from Beka Finance of Spain in Cash, Equity Deal
- MICROCAPITAL BRIEF: Desjardins Lending $1m from Aequitas Impact Fund to ADIGUA to Expand Microfinance Loans in Guatemala
