Proparco carries out its first operation in eSwatini
A first for Proparco in the country, this project will see the AFD Group support and improve access to credit for small and medium-sized enterprises, particularly in the agricultural sector.
Often considered a risky client portfolio by banks in developing and emerging economies, small and medium-sized enterprises struggle to access the adequate and sufficient credit that they need to develop their business. Through granting its final loss guarantee, known under the name ARIZ, to Nedbank eSwatini, Proparco will enable the Southern African bank to develop and extend its offering to very small and medium-sized businesses.
For example, this risk-sharing mechanism ARIZ will allow Nedbank eSwatini to finance the creation of two agricultural cooperatives in the country.
These two cooperatives will also benefit from technical assistance and a grant from the European Union to support their development, notably for the implementation of an irrigation system.
A commitment to support small and medium-sized enterprises, particularly in the agricultural sector
As the first operation carried out in eSwatini, it paves the way for future financing of agricultural cooperatives in the country by the AFD Group.
This operation is also part of the French Choose Africa Initiative. Powered by the AFD Group, Choose Africa has committed 2.5 billion euros to supporting 10 000 start-ups and MSMEs in Africa by 2022, largely via its local financial partners.
Romain Esperon – firstname.lastname@example.org
PROPARCO, AFD’s private sector financing arm, has been promoting sustainable economic, social and environmental development for over 40 years. PROPARCO finances and supports businesses and financial institutions in Africa, Asia, Latin America and the Middle East. Its action focuses on the key development sectors : infrastructure, especially renewable energies, agribusiness, financial institutions, health, education…
To strengthen the contribution of private players to the achievement of the Sustainable Development Goals (SDGs), PROPARCO finances companies whose activities help create jobs and decent incomes, provide essential goods and services and fight against climate change.
For more information and @Proparco