Mexico, Cuba, El Salvador (until end of 2022)
Local project partner
El Salvador: BCR, BFA, Fedecrédito
Cuba: BCC, BPA
Mexico: Alianza, Concamex, FIRA, UNISAP, selected financial institutions
German Project partner
01.10.2022 - 30.09.2024
In Central America, MSMEs are the national economic engine and support the economic development of national economies, particularly through their contribution to promoting employment. Despite their economic relevance, the majority of MSMEs face major challenges because, among other things, they often have no or only limited access to formal financing options. Companies in the agricultural sector face particular challenges: a large proportion of the food they need is imported, which can lead to dependencies and possibly inadequate food supplies. Therefore, strengthening domestic agriculture is a high political and economic priority. At the same time, however, existing structures often hinder the development process.
The promotion of MSMEs thus represents a key element in the sustainable strengthening of the regional economy. Against this background, it is necessary to advise financial institutions, e.g. with regard to credit processes and the adaptation of credit products to specific customer needs, and to develop demand-oriented products.The project objective is to promote sustainable financial management for MSMEs and for rural areas with a special focus on vulnerable population groups. To this end, the following priorities are pursued:
Improving the quality of demand-driven financial products and, building on this, increasing their use by MSMEs.
Increasing the financial inclusion and productivity of smallholders and agricultural MSMEs through the application of special financial technologies.
Professionalize partner institutions to provide improved financial services to MSMEs, especially in rural areas.
Contribute to financial education for the population with a focus on vulnerable groups as well as MSMEs and for the staff of partner institutions through national strategies and institutional programs.