MICROSERFIN

MICROSERFIN, Microfinance Institution

MICROSERFIN

MICROSERFIN | Microfinance Institution

microserfin.com

Microserfin, a leading microfinance institution that is part of the BBVA Microfinance Foundation, focuses on financial inclusion of the most vulnerable microentrepreneurs in Panama. The institution offers productive loans, as well as microinsurance, financial literacy, technical assistance and health services.

Microserfin is a pioneer in providing agricultural loans in Panama, being the only relevant player with a product that serves small farmers through a methodology adapted to productive cycles. The institution is in the process of refining and digitising the agricultural lending methodology, including a significant improvement in risk management.

Microserfin is working on the development of an environmental policy based on the Group’s experience. In 2020, the MFI started measuring carbon footprint (with 0.34 CO2 emission by employee), currently focusing on improving highest environmental impact related to Marketing & Client Experience areas.

Country: Panama

Inversión: EUR 2 million

Investment type: Senior unsecured debt

Technical assistance: Pending confirmation

Date of investment: December 2021

Map Microserfin, Microfinance Institution

Huruma: Transforming Lives

Huruma’s investment in Microserfin aims to transform the lives of smallholder farmers through the following theory of change:

Input: EUR 2 MM focused on agricultural financing.

Output: New agricultural strategy and >EUR 2MM agricultural loans disbursed.

Outcome: Increase >2,600 farmers’ crop yields and >2,000 families’ rural income*.

(*) Metrics calculated on the basis of the study estimates “Understanding Impact Performance: Agriculture Investments” (GIIN, 2020)
Microserfin, Microfinance Institution
Beneficiaries of the Huruma Fund investment through the Microserfin project together with a member of Gawa Capital
Image of a store in the vegetable street of Panama
Image of a Panamanian farmer with his son
Image of a store in the vegetable street of Panama
Beneficiaries of the Huruma Fund investment through the Microserfin project together with a member of Gawa Capital
Image of a store in the vegetable street of Panama
CFE, Microfinance Institution

CFE

CFE | Microfinance Institution

cfe.com.pa

 Centro Financiero Empresarial (CFE) is one of the most inclusive MFIs in Panama, providing financial products to MSMEs and entrepreneurs at the base of the economic pyramid, the missing middle, in a country with a very fragmentated and underpenetrated microfinance market. CFE was founded in 2009 and has identified agricultural financing as the key to effectively fulfilling underserved farmers’ needs.

CFE serves the agricultural sector through standard commercial loans, with plans to specialise in this underserved niche market. Huruma’s technical assistance would assist in this multi-product strategy, contributing to the launch of an agricultural product. . In addition, CFE is expected to implement a segmentation of clients by credit risk and the identification of market niches with potential demand.

CFE is planning to incorporate green loans product offer in 2022-25 to support its environmental strategy. It has recently launched its environmental social responsibility policy, including initiatives to create environmental awareness among employees and clients and generate good practices among the financed enterprises.

Country: Panama

Investment: EUR 3 million

Investment type: Senior unsecured debt

Technical assistance: Pending confirmation

Date of investment: November 2021

Map CFE, Microfinance Institution

Huruma: Transforming Lives

Huruma’s investment in Centro Financiero Empresarial aims to transform the lives of smallholder farmers through the following theory of change:

Input: EUR 3 MM focused on agricultural financing.

Output: New agricultural product launched and >EUR 3MM agricultural loans disbursed.

Outcome: Increase >4,800 farmers’ crop yields and >3,900 families’ rural income*.

(*) Metrics calculated on the basis of the study estimates “Understanding Impact Performance: Agriculture Investments” (GIIN, 2020)
CFE, Microfinance Institution