Local Currency Microfinance Fund II

Subsidy : January 2019

BIO has given USD 163,750 of Technical Assistance to LocFund II, an MFI fund providing midterm local currency loans to smaller MFIs in Latin America.

Amount

€ 143,535.00

Type of investment

Subsidy

Beneficiary locations

Latin America and Caribbean: Bolivia, Colombia, Dominican Republic, Ecuador, El Salvador, Guatemala, Honduras, Nicaragua, Paraguay, Peru

Investment field

Investment Companies & Funds

Activity

MFI Fund

Organisation

Local Currency Microfinance Fund II

Domicile

Canada

More investments in

Local Currency Microfinance Fund II

  • Equity € 3,031,680.00 (2013)
  • Debt € 725,111.00 (2014)
  • Subsidy € 113,688.00 (2014-2018)

Local Currency Microfinance Fund (Locfund) II is active in 15 countries in Latin America and the Caribbean and has a total fund size of USD 79 million. The fund is managed by Bolivian Investment Management Limited (BIM Ltd.), headquartered in La Paz (Bolivia) and local offices in Lima (Peru) and San José (Costa Rica). BIM has extensive experience and has managed seven investment vehicles so far.

The main purpose of Locfund II is to:

  • offer local currency denominated debt instruments to microfinance institutions in Latin America and the Caribbean,
  • provide support, through its Technical Support Facility, for specific institutional development activities at selected MFIs and
  • stimulate Investee companies’ access to the local securities market by acting as underwriter for fixed income instruments issued by the MFIs.

Providing technical assistance to its investees is thus an integral part of the strategy of the fund.

The Technical Assistance Facility will co-finance technical assistance projects for investees of Locfund II in the following 5 domains:

  1. Incorporation in capital markets
  2. Risk management
  3. Social and environmental performance management
  4. Knowledge dissemination (workshops, seminars and studies)
  5. Financial technology

Made possible through this investment

Thanks to the direct funding from BIO, the following second-line investments have been made possible.

Adicla

Guatemala

Microfinance

Adisa

Guatemala

MFI

Acceso Crediticio

Peru

MFI

Alternativa

Peru

Microfinance

AHSETFIN

Honduras

Microfinance

AMC El Salvador

El Salvador

Microfinance

AMC Honduras

Honduras

Microfinance

Apoyo Integral

El Salvador

Microfinance

Arariwa

Peru

Microfinance

ASEI

El Salvador

Microfinance

ASPIRE

Dominican Republic

Microfinance

Banco D-Miro

Ecuador

Microfinance

Banco Popular

Honduras

Microfinance

Comixmul

Honduras

Microfinance

Contactar

El Salvador

Microfinance

Credicampo

El Salvador

Microfinance

Credisol

Honduras

Microfinance

Diaconia

Bolivia

Microfinance

Espoir

Ecuador

Microfinance

F. Paraguay

Paraguay

Microfinance

FACES

Ecuador

Microfinance

Fafidess

Guatemala

Microfinance

FAMA

Nicaragua

Microfinance

Fama OPDF

Honduras

Microfinance

FDD

Dominican Republic

Microfinance

FDL

Nicaragua

‘Fondo para el Desarrollo Local’ , or FDL, is a Nicaraguan microfinance institution (MFI) that has been granting since 1997 microcredit facilities in rural areas where there were no financial services available to the local communities. FDL’s clients are small businesses, small traders and service providers, mainly run by women (54%) living in rural areas.

Finca Nicaragua

Nicaragua

Microfinance

Fondesurco

Peru

Microfinance

Fubode

Bolivia

Microfinance

Genesis

Guatemala

Microfinance

IDH

Honduras

Microfinance

Impro

Bolivia

Microfinance

Inversiones Confianza

El Salvador

Microfinance

Insotec

Ecuador

Microfinance

Micredito

Nicaragua

Microfinance

ODEF

Honduras

Microfinance

Optima

El Salvador

Microfinance

Padecomsmcredito

El Salvador

Microfinance

Prisma HON

Honduras

Microfinance

Pro Mujer Bolivia

Bolivia

Microfinance

Pro Mujer Nicaragua

Nicaragua

Microfinance

Proempresa

Peru

Microfinance

Sembrar Sartawi

Bolivia

Microfinance

Share

Guatemala

Microfinance

Read impact and news about this project

Women continue to rise

Impact Story

Women continue to rise

03-05-2021

BIO has invested - through equity, loans and technical assistance - in the Local Currency Microfinance Fund II - LocfundII. This fund has, in turn, invested in Fundación Espoir.

Claudia Moreno is the Deputy Executive Director of Fundación Espoir. This is her story.

Read more

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