Credit to micro-finance institutions increases in Central America
Despite a less favorable macro-economic environment, the credit portfolio of the micro-finance sector in Central America grew 28% in 2007 in comparison to the previous year.
Tuesday, August 26, 2008
Reynold Walter, president of the Central American Network of Micro-Finance Institutions (Redcamif), reported that in 2007 some 99 micro-finance institutions from Guatemala, Honduras, El Salvador, Nicaragua, Costa Rica and Panama granted loans worth US$676.6 million to 814,344 micro-businesses.
A law regulating the microfinance market would open the opportunity to capture savings that currently can only be done through cooperatives and banks.
The "No Payment" movement is scaring US and European investors, threatening the arrival of $70 million worth of funds for micro finance companies.
Nearly three years after the crisis caused by the No Pago movement, the sector is growing at an annual rate of 12%, driven by traditional credit, micro-insurance, and health services.
So far this year microfinancers have provided loans totaling $197 million, above the $184 million lent at the end of 2013.
- Daily Update
- Government Purchases
- Classified Ads
- Indexes & Statistics
- Press Releases
- Events Calendar