MICROCAPITAL BRIEF: Accion Venture Lab, Brick & Mortar Ventures Lead $3.4m Equity Raise for Licify to Expand Vende+ Construction Portal from Colombia to Mexico

Licify, a Colombian company offering construction procurement and related digital financial services, recently secured an investment package totaling USD 3.4 million. The group of investors includes

MICROFINANCE EVENT: Responsible Finance Forum; July 5-7, 3023; Bengaluru, India

Themed “Shaping a Responsible Digital Finance Ecosystem,” the upcoming edition of this event – the first in-person since 2019 – will focus on client protection to help “low-income and vulnerable” people reduce risks as they use financial tools. Although the detailed agenda has not yet been finalized, it is expected to include topics such as: (1) Balancing Responsible Finance Between

MICROFINANCE EVENT: Fintech for Inclusion Global Summit; November 3, 2022; the Hague, the Netherlands

This event on financial technology (fintech) will cover innovations in agri-finance, agri-technology, payments, measuring outcomes, embedded finance, blockchain and gender-lens investing. Participants will also have opportunities

MICROFINANCE PAPER WRAP-UP: “Strategies to Optimise MSME-centred Supply Chain Finance Solutions: A Study of Ghana, Ethiopia and Nigeria;” by Adebiyi Fajemisin, Anifat Ibrahim and Raliat Sunmonu; Published by Accion

This report describes how several supply chain finance (SCF) solutions were deployed with the intent of benefiting micro-, small and medium-sized enterprises (MSMEs) in Ethiopia, Ghana and Nigeria. The authors deem these countries particularly “promising markets for MSME-led digital financial inclusion,” and they argue that SCF can provide

MICROCAPITAL BRIEF: Kuunda Raises $2m in Equity to Expand Short-term Financing Model for Mobile Money Agents, Retailers, Consumers into 7 Countries in Africa 

Kuunda, a Mauritius-domiciled financial technology (fintech) company, has completed its seed funding round with USD 2.25 million in new investment, led by Accion Venture Lab, a unit of US-based nonprofit Accion. The other investors include FINCA Ventures, Future Africa, Greenhouse Capital, Kepple Africa Ventures, Launch Africa, Magic Fund, Mercy Corps Ventures and Seedstars. The funding is slated to boost Kuunda’s existing operations – which span Tanzania and Pakistan – and allow it to expand into Democratic Republic of Congo, Egypt, Malawi, Mozambique, Nigeria, Uganda and Zambia during the remainder of 2022 and 2023. The firm’s offerings are:

MICROFINANCE PAPER WRAP-UP: “Platforms, Livelihoods and Inclusive Finance,” Published by Center for Financial Inclusion at Accion

Ms El-Zoghbi and Ms Michaels explore the role of digital platforms in supporting financial inclusion and livelihoods. Their background research indicates that such platforms have transformed some economies significantly by (1) helping businesses recover from the early stages of the COVID-19 pandemic; and (2) providing employment opportunities for disadvantaged populations such as youth, women and rural residents. In particular, e-commerce, gig working, social media and agricultural platforms have been found to improve the livelihoods of low-income consumers as well as increase the strength of micro-, small and medium-sized enterprises. The

MICROFINANCE PAPER WRAP-UP: “Better Practice Guidance on Women’s Digital Financial Capability,” Published by Center for Financial Inclusion at Accion

This paper addresses methods for increasing women’s “ability to access, manage, understand, integrate, evaluate and use financial services offered through digital technologies.” The digitalization of financial services and products is becoming increasingly prevalent, including in parts of the world that are underserved by traditional banks. Investing in building women’s digital financial capability can play a significant role in

MICROCAPITAL BRIEF: Annapurna Raises $35m from Accion, Encourage Capital, Oikocredit to Support Green Microfinance, Digitalisation

Annapurna Finance, a microfinance institution (MFI) based in the Indian state of Odisha, recently raised INR 193 billion (USD 35 million) from US-based NGO Accion, US-based impact investor Encourage Capital and Dutch cooperative investor Oikocredit. The funding is to be used to boost the digitalisation of Annapurna’s operations and for developing

MICROCAPITAL BRIEF: Fintech Dinie of Brazil Raises $24m in Equity, Debt to Boost In-house API, Capacity, Securitization

Dinie, a financial technology (fintech) lender in Brazil, recently raised USD 3.8 million in a seed funding round led by Accion Venture Lab – a unit of US-based nonprofit Accion – and US-based investment firm K50 Ventures. The other participants were

MICROCAPITAL BRIEF: Fairbanc Raises Equity from Accion, ADB, East Ventures, Sampoerna Group to Boost Lending, Payment Systems for MSMEs in Indonesia

Fairbanc, a US-based lender and payment facilitator for micro-, small and medium-sized enterprises (MSMEs) in Indonesia, recently raised pre-Series A equity of

MICROFINANCE PAPER WRAP-UP: “Weathering the Storm II: Tales of Survival from Microfinance Crises Past;” by Daniel Rozas; Published by Accion’s Center for Financial Inclusion, e-MFP

Mr Rozas evaluated 16 case studies of microfinance institutions’ (MFIs’) reactions to various crises that arose between 2004 and 2018 as a follow-up to the paper, “Weathering the Storm,” which was published in 2010 as a response to the global financial downturn that began in 2007. The new publication considers “the decade that followed the original paper,

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: BancoSol Adds “GanaSol” Game to Mobile App to Incentivize Financial Services Usage in Bolivia

Banco Solidario (BancoSol), a Bolivian commercial bank that primarily offers microfinance services, recently upgraded its mobile app to include “gamified” software intended to boost its customers’ usage of mobile banking. GanaSol allows users to earn points by “maintaining or increasing their savings account balances;” the points can

MICROCAPITAL BRIEF: Cívico of Colombia Launches “Negocios” App to Help MSMEs Advertise, Sell, Maintain Customer Relationships Online

Cívico, a Colombia-based online marketplace, networking and loan platform for micro-, small, and medium-sized enterprises (MSMEs), recently launched a mobile app called Negocios that allows users to “create a digital presence for their businesses, upload and sell their products, and connect with their clients.” Cívico also is using the app to collect data on the MSMEs’ interactions with their customers “to

MICROCAPITAL BRIEF: Business Correspondent Sub-K Impact Launching Digital Platform for Insurance, Investing, Microfinance Referrals with Support from Accion, Mastercard

Sub-K Impact Solutions, a subsidiary of India-based BASIX Social Enterprise Group, is releasing a digital platform called SARTHI (Seamless Advanced Resourceful Tech-driven Hybrid Interface) to facilitate access to insurance, microloans and investment services. SARTHI will place users in contact with financial services providers

MICROCAPITAL BRIEF: Accion’s CFI to Hold 6th Annual Financial Inclusion Week; October 13-16, 2020

The Center for Financial Inclusion (CFI), an initiative of US-based NGO Accion, is planning to hold the sixth iteration of its Financial Inclusion Week (FIW), an annual event aimed at promoting financial inclusion, from October 13 to October 16. FIW 2020 will focus on four of CFI’s priorities: (1) Consumer Protection; (2) Data Opportunities and Risks for Financial Inclusion; (3) Women’s Financial Inclusion; and (4) Financial Services for Mitigating and Adapting to Climate Risk. The event is aligned with the initiative’s recent moves

MICROCAPITAL BRIEF: Smart Campaign at Accion to Close; SPTF, CERISE to Preserve Its Client Protection Standards, Online Resources

The Smart Campaign, an initiative of the US-based Accion’s Center for Financial Inclusion (CFI), recently announced that it would wind down following ten years of activity. Two nonprofit partners of the initiative, the US-based Social Performance Task Force (SPTF) and France-based Comité d’Echange, de Réflexion et sur les Systèmes d’Epargne-Crédit (CERISE), have agreed to continue the evolution of the Smart Campaign Client Protection Standards, thereby “ensuring that [this tool] continues to be the ‘do no harm’ foundation of social performance management” (SPM). SPTF and CERISE also will

MICROCAPITAL BRIEF: Point-of-sale Service Provider Yoco of South Africa Raises $16m in Equity from Accion Frontier Inclusion Fund, FMO, Paratech

Yoco, a South African point-of-sale payment enabler, recently raised USD 16 million through its Series B funding round, which was led by US-based venture capital firm Paratech.