When dealing with this scenario, Aníbal Montoya, vice president of the Honduran Micro Financing Network, recommended companies to be more effective and efficient when granting credit lines.

"Companies affiliated to Redmicroh offer micro financing services for commerce, crafts, agriculture, housing, consumption, among others", reported Honduran newspaper La Prensa.

Source: laprensahn.com

More on this topic

Micro Financing Companies Lending Less in Guatemala

July 2009

In the first three months of the year, micro financing companies lent $80 million, 12.5% less than the same period of 2008.

The Central American Micro Financing Network, known is Spanish as Redcamif, is worried by the figure, because credit growth from 2005 onwards averaged 34%.

Micro-Finance and the Global Crisis

February 2009

The management of micro-financing in the context of the global financial and economic crisis implies challenges, but also opportunities.

With the title "The World Crisis and Micro-Finance," the Academy of Central America organized a discussion for legislative advisors and journalists, where a professor of Ohio State University, Claudio González Vega, analyzed the role of the micro-finance in the current situation.

$5 million in arrears by Honduran small businesses

January 2009

The delinquency rate for small companies is at 6% and has accumulated to $5 million already, the president of RedMicro, Anibal Montoya, indicated.

Elheraldo.com reports that "the network includes 24 organizations which deals with 190,000 small and medium businesses with a portfolio of $80 million.

Micro-finance is booming in Nicaragua

July 2008

Micro-finance has grown rapidly in Nicaragua over the last decade. Between the end of 1999 and the end of last year, the total micro-credit portfolio grew at an average 19.4 percent a year, while the number of clients grew by 25 percent a year, according to industry statistics.

Most of the loans have been made to small farmers and artisans who are usually unable to borrow money from the commercial banks.