Honduras small businessment complain about microcredit rates

Managers of small business firms in Honduras are complaining about the difficulty of getting credit at reasonable rates. Financial organizations say the credit is there and the process isn't onerous.

Thursday, July 24, 2008

However, interest rates for this sector are between 19 and 36 percent per year. Some financial institutions charge interest according to the outstanding balance, but in other cases rates are fixed.
Those who manage micro-credits say the interest rates vary with the amount borrowed and are also a function of the risk they take when they lend the money.
Micro-credit is an important source of financing in Honduras. It contributes to national development and responds to the limits and the few opportunities available to most of the economically active population.

Market Intelligence

Everything about exports and imports in Honduras.

Top companies - Quantities, amounts and prices.

more info

More on this topic

Costa Rica: Unregulated Growth in Microcredit

July 2015

The number of companies providing quick loans at high interest rates to people who are not eligible for credit in the financial system has increased.

The market segment that caters to people who are not eligible for credit in the formal financial system has grown in recent years. One example is Instacredit, whose loan portfolio balance has increased at a rate of 25% a year since 2010, according to Nacion.com.

Panama: COLAC to administer $13 million in Microcredit

July 2011

The AMPYME has given the Latin American Confederation of Credit Unions (COLAC) administration of the trust FIDEMICRO-OPORTUNIDAD.

The Panamanian Authority for Micro, Small and Medium Enterprises (AMPYME) has awarded to COLAC the administration of a $13 million trust, called FIDEMICRO-OPORTUNIDAD, which aims to support over 6,500 micro and small enterprises.

Demand for Micro-Credit down 25% in El Salvador

November 2009

Micro financing companies reported a 25% reduction in credit requests by Small and Medium companies.

Two problems have affected the micro financing industry: high delinquency rates and less funding available from second tier banks.

Not all is negative, though. Francisco López, from the Micro Financing Training and Advising Foundation, commented that "...

Micro-credit Up 18.7% in First Semester

September 2009

This figures are a glimpse of this market's potential in Panama, say local financial brokers.

One of the effects of the economic crisis was that thousand of Panamanians rushed to establish their own businesses, causing an increase in micro-credit of 18.7% in the first half of 2009, when compared to the same period of 2008.

 close (x)

Receive more news about Economics

Suscribe FOR FREE to CentralAmericaDATA EXPRESS.
The most important news of Central America, every day.

Type in your e-mail address:

* Al suscribirse, estará aceptando los terminos y condiciones

Pacific Credit Rating Panamá

Organization that operates in Costa Rica, El Salvador, Guatemala and Panama.
Phone: (507) 214 4603

Company Profile

Stock Indexes

(Jun 28)
Dow Jones
S&P 500


(Jun 29)
Brent Crude Oil
Coffee "C"