Oikocredit’s Post

Last October 23, the European Economic and Social Committee adopted the Public procurement for social economy enterprises. You can read the whole document here ➡️https://lnkd.in/ey3GCxZq #PeopleBeforeProfit

🙌 Great news for the FEFISOL II fund! SIDI (Solidarité Internationale pour le Développement et l'Investissement) is very pleased to announce that USAID and Prosper Africa have approved a grant in first-loss capital to the #FEFISOL II fund to help mitigate its foreign exchange risk on its African local currency portfolio. FEFISOL II is the investment fund backed by SIDI (Solidarité Internationale pour le Développement et l'Investissement) et Alterfin. Managed by Inpulse Investment Manager, FEFISOL II is dedicated to the financing of African rural microfinance institutions and agricultural entities sourcing from smallholder farmers in #Africa.   ✔️ FEFISOL II is a highly additional fund focused on Sub-Saharan Africa, targeting the poorest and most unequal regions, often deemed too risky by traditional investors. It aims to support vulnerable populations, particularly women and rural inhabitants, by financing #microfinance institutions to enhance financial inclusion, reduce poverty, and generate employment. The fund also supports small agricultural entities to strengthen agricultural value chains and improve food security. FEFISOL II offers flexible loan products to meet diverse financial needs and provides technical assistance to enhance organizational capacities and support their social missions.   ✔️ This grant provided by USAID and Prosper Africa will allow the fund to further develop its microfinance portfolio in Africa and support FEFISOL II in its efforts to raise capital for the third and last #closing, targeting to reach a size of €30 million. With this grant, USAID, Prosper Africa, and FEFISOL II aim to enhance trade, investment, and the business environment across the African continent by strengthening agricultural value chains, creating rural employment, increasing local value-added markets, reducing climate change vulnerability, and ultimately contributing to the continent’s socially sustainable economic growth.   🤝 USAID and Prosper Africa’s contribution complements other blending mechanisms secured by the fund in 2023 with U.S. International Development Finance Corporation and the Aceli Africa Program. Given the amplification and overlapping of risks in Africa, it is crucial to rely on such risk-sharing mechanism for a fund dedicated to financing rural microfinance and smallholder farmer organizations.   👉 More news on SIDI and FEFISOL II : www.sidi.fr/en  #impactinvesting #socialimpact #ruraldevelopment #agriculturefinance  

📣 We are excited to announce that the Microfinance Centre has just launched the 10th edition of the international financial education campaign – Borrow Wisely 2024! In collaboration with 15 partners across Europe, we are promoting global client protection standards and helping clients borrow safely, avoid over-indebtedness and build trust in the microfinance sector. In 5 simple steps, the Borrow Wisely campaign empowers clients to: 💡 Understand how much they can afford to borrow 💡 Calculate loan costs and monthly payments 💡 Fully understand the contract before signing 💡 Keep control of debt without disrupting their lives 💡 Explore solutions if they are unsatisfied with loan terms A big thank you to all our partners: Prima Finantare MicroInvest VITAS IFN SA @Partner Microcredit Foundation fondiBESA sh.a Micro credit Institution MKF MIBOSPO Association of Microfinance Institutions in Bosnia and Herzegovina FED invest Mikrokreditna organizacija EKI iute Albania NOA.Financojme microsmart.gr Agro Social Fund Sh.p.k @Horizonti Microfinance Fondation Штедилница Можности / Stedilnica Moznosti for joining us in making a significant impact in promoting responsible borrowing practices, highlighting the importance of planning, understanding contracts and managing debt effectively. #borrowwisely #smartbusiness #financialplanning #microfinance

Which organizations are pushing the boundaries of what’s possible in financial inclusion? As highlighted in the 2024 60 Decibels Microfinance Index, financial service providers (FSPs) around the world are making a profound impact on their clients’ lives–with 56% of clients reporting that their current FSP was the first to offer them the loan services they now use. The Social Impact Awards celebrate those organizations that excelled in this year’s Index, ranking as the top performers in their regions based on six key dimensions of impact. These awardees serve as a guiding light for what’s possible in microfinance – watch our recent live session for an an inside look at some of the strategies and principles driving their success: https://lnkd.in/gcKSquRW 🏆 Our 2024 Award Winners: Africa - Standard Microfinance Bank (Nigeria) - GRACE AND MERCY HOUSEHOLDS IMPROVEMENT INITIATIVE (Nigeria) - Agora Microfinance Zambia (AMZ) (Zambia) Asia - Annapurna Finance Pvt. Ltd. (India) - CJSC Bank "Arvand"(Tajikistan) - Koperasi Syariah Benteng Mikro Indonesia (Indonesia) Latin America - FUNDENUSE (Nicaragua) - MiCrédito Nicaragua (Nicaragua) - Fundación Génesis Empresarial (Guatemala) Explore more information on award criteria: https://lnkd.in/gCginz8f

Innocent Enock Yonazi., Head of Investor Relations at NMB Bank Plc Tanzania highlighted the Bank’s strategies to increase the accessibility of financial services to the undeserved in Tanzania, as part of their sustainable finance journey. Affirming that business success can go hand-in-hand with doing good, Innocent shared ways in which the Bank are able to look at business beyond numbers and effect sustainable value creation for their stakeholders, stakeholders, clients and the community. NMB Bank Plc Tanzania is proud to be the first in Sub-Saharan Africa Region to issue a listed gender-based social bond — NMB Jasiri Bond — setting a new norm for generating alternative financial instruments with long-term positive effects. This gender bond forms part of the Bank’s women’s proposition, dubbed Jasiri, which means brave in Swahili, Tanzania’s predominant language. It backs the effort of women who combat poverty in their families and communities but are the most underserved in Sub-Saharan Africa Region. Read more on the Jasiri Bond here: https://lnkd.in/gShN9c6Z #AICB #IFC #GSSBonds2024 #green #social #sustainability

🍀 aBi FINANCE CONTINUES TO IMPROVE LIVING CONDITIONS IN UGANDA aBi Finance – one of IFU’s investees - is a financial institution providing finance for microfinance banks and organisations targeting smallholder farmers in rural Uganda. Today, aBi - Agricultural Business Initiative visited IFU on their green study tour to Denmark. During the years, aBi Finance has been making a real difference. On account of the company’s interventions the Net Annual Household Income increased between 43 and 66 % for the smallholder farmers receiving loans from either microfinance institutions/banks or SACCO’s (Savings and Credit Cooperative Organisations), respectively. aBi Finance was established by the Danish State, and IFU has in cooperation with the European Union provided additional finance to grow the company further and increase focus on green investments. Since IFU’s investment, USD 5 million has been issued in green loans, and the target is that 75 % of the portfolio within the next five years should have a green label. Since inception, aBi Finance has reached 2.2 million farmers in Uganda, of whom 70 % are women, contributed to creating more than 300,000 jobs and added around 💰 USD 150 million in additional income to the beneficiaries. 📺 You can learn more about aBi Finance and their business in the video that can be found in the comments below. #uganda #impactinvesting #SDGs

💡Investing in Zambia’s rural entrepreneurs and smallholders ⬆️ Abler Nordic, EDFI Management Company and IDH Farmfit Fund are backing Agora Microfinance Zambia (AMZ) with a ~USD 6.26M investment to increase financial access for rural communities. 🌱 📈 This investment will enable AMZ to become a deposit-taking institution, expand its services, reach more underserved areas, and enhance its technology, helping low-income households and small entrepreneurs build resilience and improve livelihoods. 🏅"We’re looking forward to collaborating with the team to broaden access to financial services in rural Zambia. AMZ’s ranking among Africa’s top three in the 2024 60 Decibels Microfinance Index really shows the impact they’re making in rural communities, " said Arthur Sletteberg, Managing Director of Abler Nordic Read more here: https://lnkd.in/gGujUEhJ Lindbäck Lise, Gathu Chege, Kaindoh Godfrey, Joshua Siranjofu #FinancialInclusion #Zambia #RuralFinance

🔰 The Cambodia Microfinance Association (CMA) successfully hosted its #AnnualMicrofinanceConference in Siem Reap, gathering over three hundred leaders, #policymakers, and international #partners under the theme "Sustainable and Inclusive Microfinance: Current Situation and Future Trends." This conference underscored CMA's dedication to expanding #financialinclusion and promoting responsible growth, aligning with global #development goals and positioning #Cambodia as a model for #sustainablefinance. 🔹 Read more: https://lnkd.in/g5-EvM5g

A well-crafted business plan is your roadmap to success. It offers a lot for your business, from internal clarity to external funding.#BusinessPlan  #BusinessGrowth #AccessImuka

Today, I had the privilege of representing Rafiki Microfinance Bank in the “Greening Finance: Accelerating Decarbonization across the Banking Sector in Kenya” event at Villa Rosa Kempinski Hotel. This pivotal event, organized by Intellecap and Kenya Bankers, brought together industry leaders to discuss and strategize on how the banking sector can play a crucial role in driving decarbonization. The agenda covered various vital topics, including: • Investment in Decarbonization: Emphasizing the need for DFIs and Impact Funds to prioritize investments that drive sustainability. • Transition to Net-Zero: Discussing the strategies to decarbonize financed emissions. • ESG Strategy: Going beyond compliance to implement effective Environmental, Social, and Governance strategies. • Climate Risk in Banking: Addressing the importance of stress testing for resilience against climate risks. • Carbon Markets: Leveraging carbon markets and understanding the role of banks in this ecosystem. As a policy maker, I recognize the unique challenges that Microfinance Institutions (MFIs) face compared to commercial banks. MFIs operate in niche markets, often targeting underserved communities where impact and sustainability are paramount over profitability. To navigate these needs, it is imperative to rally for flexible policies that favor MFIs. These policies should enable them to focus on creating sustainable impacts while remaining resilient in the face of evolving environmental and economic challenges. Collaboration and partnerships are key. By working together with other financial institutions and stakeholders, MFIs can innovate and implement strategies that not only support decarbonization but also ensure that the transition to a greener economy is inclusive and equitable. Let’s continue to drive the conversation on sustainable finance and ensure that our policies and strategies are aligned with the urgent need for decarbonization. Together, we can make a significant impact on our environment and build a sustainable future for all. #GreeningFinance #Sustainability #Decarbonization #BankingSector #Kenya #MFIs #PolicyMaking #ImpactFinance #ClimateAction #ESG