Microfinance Long-term Projects
The Microfinance Department has long-term projects in
Mozambique,
Nicaragua,
Jamaica,
Angola,
Egypt,
Afghanistan,
Tanzania,
Haiti,
Paraguay
and
Argentina.
Mozambique 
Mozambique Microfinance Facility
The project objective is to contribute to the reduction of poverty in
rural areas through the strengthening of microfinance intermediaries in
the country. This is to be done in three ways: (i) the provision of
technical support to assist institutions to adhere to best practices as
articulated by CGAP; (ii) for those institutions that do conform to
best practices, to advance loans to enable them to expand more quickly;
and (iii) to provide government with technical support in the
preparation of policies and the development of regulation to facilitate
the expansion of microfinance across the country. (Funded by
CIDA)
Nicaragua
MiCrédito
MiCrédito was started in Nicaragua in September 2004. Operations began with branches in Managua and Teustepe, the Leon branch was added in 2006. Long-term plans are to open branches throughout the country. MiCrédito has grown steadily since inception and now has a portfolio of approximately $2 million. It has made over 3,000 loans averaging $990 and currently has 2,000 clients. Of these loans 60% are to women clients and 38% to rural clients. To date over 98% of all loan funds have been fully repaid. MiCrédito is profitable and is projected to remain so in the future, ensuring its long term viability.
View MiCredito video.
Jamaica
Micro Enterprise Financing LimitedStarted as a joint venture between the Bank of Nova Scotia and the Kingston Restoration Company, MEFL is a microfinance institution with a vision to help disadvantaged communities increase their participation in and contribution to the economic life of the country, while at the same time enhancing their quality of life. Their mission is to strengthen the economic base of the urban micro entrepreneurs, particularly women, by providing high-quality, sustainable financial services, combining cost-efficient methodologies with exemplary customer service. MEDA’s role is that of long-term technical assistance provider for MEFL. MEDA has been working with MEFL since inception and has facilitated every stage of the MFI’s development from start-up to the growing institution that exists today. (Funded by
CIDA)
Angola
KixicreditoMEDA, in partnership with
Development Workshop (DW), is working to transform KixiCredito into a sustainable and viable local microfinance institution. MEDA and DW are providing assistance to Kixicredito on investment readiness, governance, operational and financial management, and other areas. The project aims to increase income generation capacity and self-esteem of an economically active poor population of Angolans in the informal sector.
Egypt
Promoting and Protecting the Interests of Children who Work (PPIC-Work)MEDA and Partners in
Technology Exchange (PTE) are co-managing the PPIC-Work project in
collaboration with partners in Egypt including the Egyptian Small and
Micro-enterprise Association (ESMA) and microfinance organizations,
Egyptian Association for Community Initiatives and Development (EACID)
and
Coptic Evangelical Organization for Social Services (CEOSS).
The PPIC-Work project aims to improve the work conditions and learning opportunities for children and youth employed in the growing micro and small enterprise sector in Egypt. Children and youth work for a variety of reasons, but the principal motivations are poverty and problems within the formal educational system. It is expected that this project will contribute towards children and youth learning through work by developing and implementing learning tools and approaches for use within the workshop setting. These intervention tools are implemented through microfinance programming that meets best practice standards. The PPIC-Work project applies a rights-based
approach that works through a participatory process and gender sensitive framework to build on the skills of working children and youth. Project implementation is through locally owned MFIs who work through the loan process to upgrade technology and improve learning opportunities and safety conditions for at-risk and underage workers. (Funded by
CIDA)
Click here to see USAID's Note from Egypt: MEDA Empowers Youth in Microfinance.
Afghanistan
Microfinance Investment and Support Facility for Afghanistan (MISFA) and Women for Women International (WWI)
MThis project involves a partnership between MEDA and
Women for Women International to support a local MFI that offers financial services to economically active women clients. MEDA provided the initial technical assistance in 2004 to launch and manage the MFI. In 2006, the transition was made to a fully local management team, and MEDA serves as the chief technical advisor to the MFI. The program presently serves over 12,000 clients with a repayment rate of over 99% (Portfolio at Risk .01>30days). Portfolio is approximately USD $1.2 million and the program has reached 80% self-sufficiency.
Tanzania
Micro-Enterprise Business Development Program (MEBDP)
The overarching goal of the MEBDP is to assist Tanzania to reduce
poverty and better provide for basic human needs of its people through
increased access to financial services to the poor. More specifically,
during the life of the program, the intention is to create a viable,
self-sustaining micro-credit institution that supports the development
and growth of enterprises and provides them with financial services.
The program operated, controlled and managed two credit facilities, one
in Mbeya and one in Dar es Salaam, providing credit and small business
training to micro entrepreneurs of these centers. In 2002, the most
feasible governance option was selected; the programs were merged into
the operations of the National Microfinance Bank (NMB), a
Tanzanian-owned bank with a 107 branch network, a growing Microfinance
credit portfolio, and a mandate to expand and serve this sector
throughout the country. (Funded by
CIDA)
Haiti
Haiti Community Economic Reinforcement [REKO]
The overarching goal of REKO is to assist Haiti to reduce rural poverty
and allow families to increase their standard of living through
increased income. Income augmentation comes through improved economic
activity as a result of wide-spread access to financial services for
the poor, in rural areas. MEDA plans to accomplish this goal through
creating a sustainable rural finance institution that provides credit,
community savings, and community training services. All services are
provided through a community banking model, which focuses on building
and strengthening local associations of 20 to 60 people. In 1999, the
program expanded from a very limited pilot phase (reaching 1 community
through 1 loan officer) to the Northern region, reaching 5 new
communities. In 2000 it expanded to the South, West and Grand Anse,
covering 22 communities in total, with 22 credit officers at its
height. The current institutional structure (REKO is a program of MEDA
Haiti, an NGO) limits REKO in its financing options and management is
currently searching for viable options. By 2004 the program will have
finalized a long term strategy for commercialization. (Funded by
CIDA
from 1995-2004. MEDA continues to sit on the board of directors.)
Paraguay
Reduction of Poverty and Improvement of Quality of Life for Mothers and ChildrenThis project aims to increase incomes for families in rural areas of Paraguay by providing increased credit opportunities (especially for women) through the strengthening of two or more microfinance institutions (MFIs). MEDA is working to strengthen the capacity of two MFIs, Microsol and Cooperative San Juan Bautista. (Funded by
UNDP)
Argentina
Technical Assistance to MFIs and Institutional Strengthening of a Second Tier Microfinance agency in Argentina
MEDA is working with Fondo de Capital Social (FONCAP) to improve lending and management capacity for selected microfinance institutions (MFIs). This includes improving credit methodologies and management information systems. MEDA also seeks to implement appropriate long term strategies for FONCAP to assist the growth of the microfinance industry in Argentina.
