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 Opens Doors, Promoting Inclusive Finance for Biodiversity, Climate Adaptation

The Just Sustainability Transitions (JuST) Institute, an NGO based in France, recently launched with the mission of supporting financial services providers (FSPs), consultants and both public and private investors in expanding their work “for the benefit of people and the planet.” In particular, the JuST Institute seeks to facilitate investment flows and capacity building services that support farmers and small-business owners in climate adaptation and conserving biodiversity. The NGO’s initial focus is on

by the MicroCapital Team -

MICROCAPITAL BRIEF: Cresol Baser of Brazil Borrows $12m from Huruma Fund for Farm Lending, Green Product Development, Impact Measurement

Spain’s Gawa Capital, manager of the public-private Huruma Fund, recently disbursed the fund’s first investment in Brazil, lending EUR 12 million (USD 12.1 million) to Cresol Baser, a cooperative unit of Cresol, which provides savings, loans, training and insurance to individuals, farms and other businesses. The funding is earmarked for agricultural lending, including to help farmers adapt to climate change. Huruma plans to

by the MicroCapital Team -

SPECIAL REPORT: e-MFP Green Inclusive and Climate Smart Finance Action Group Focuses on Capacity Building

e-MFP logoDuring the opening day of European Microfinance Week today, roughly 75 members and potential members of the Green Inclusive and Climate Smart Finance Action Group met in-person in Luxembourg – and remotely – to discuss strategies for increasing access to finance that helps people with low incomes to adjust to and reduce climate change. Co-chair Natalia Realpe Carrillo argued, “This is not something extra; this responsible finance!” She went on to describe the Action Group’s work to: publish a glossary of terms for those just getting started in green lending; offer seven related training modules; continue an ongoing webinar series, which is also available on-demand; publish