An adequate legal framework is needed for the healthy and steady development of institutions engaged in microfinance.
The Association for Research and Social Studies (ASIES) has published a study on the essential institutional strengthening of microfinance in Guatemala, with its own data and references it reports from the Secretariat for Economic Integration (SIECA) on "The Importance of the Micro Financial Sector in Central America ".
An announcement has been made that starting November the Salvadoran Development Bank will have $30 million available for loans to provide clean energy projects developed by SMEs.
All productive sectors can access these loans as long as they are formalized SMEs and their projects are geared towards the areas mentioned. The loans are expected to be available by next November with flexible and competitive conditions for the sector.
For micro-enterprises, who usually do not have assets to offer as collateral, good payment history is the best asset in order to access credit.
In an article in Siglo21.com Francisco Madrid, general manager of Finsol, says "’If we are talking about small businesses and their difficulties in getting loans, from the standpoint of traditional banks we will find that their main difficulties are that they lack financial reports and do not having formal guarantees to support any loans. "
The Ministry of Economy of El Salvador has made available to employers a portfolio of funds to be disbursed during the year.
A press release from the Ministry of Economy of El Salvador reads:
Productive Development Fund (FONDEPRO) of the Ministry of Economy has made available to businesses, this January 20th , a portfolio of funds which are ready to be disbursed during the current year in order to improve competitiveness and create economic impact in El Salvador.
Seminar covering best practices in agricultural value chains and financing its components.
The seminar is being organized to take place in Costa Rica in the second half of November, 2009.
The target audience will be representatives of financial entities active in the agricultural sector, non-financial companies with a stake in the sector (producers, cooperatives, processors, exporters, marketers, input suppliers), Government authorities, business chambers, non-governmental organizations, international organizations and academic the use of agricultural value chains as a mechanism for offering financial services to all the stakeholders involved.
In 2009 they will have a huge challenge getting access to financing for long term investment.
According to laprensagrafica.com, "Because of the low growth expectations for the country's economy and the slowness with which internal investments have been moving, it will make it harder to create adequate packages for small and medium businesses.
"Especially in the last few months of the year there was a contraction in business operations," commented Allan Martel, business developer at the Foundation for the Development of Small and Medium Business (FADEMYPE)."