90,000 Mali smallholders, entrepreneurs get €10m support from European bank
London, Feb. 26, 2020 (AltAfrica)-Rural smallholders and low-income entrepreneurs across Mali will benefit from EUR 10 million support from the European Investment Bank to expand business activity or agriculture
The new support by the world’s largest international public bank will enable significant expansion of financial services provided by Kafo Jiginew, a leading microfinance institution in Mali. The new support is expected to enable around 60,000 microfinance loans to be provided to smallholder farmers and provide financing for more almost 15,000 people.
“Expanding access to finance is key to sustainable development in Mali. Kafo Jiginew has an impressive track record supporting new investment by private entrepreneurs and farmers that enables job creation, increased production and social progress. I welcome the new support from the European Investment Bank for private investment in Mali. Sharing technical experience with leading international partners, such as the Bank of the European Union, and strengthening local currency financing contributes to stability and generates economic opportunities here in Mali and across Africa.” said Prime Minister Boubou Cissé.
“Kafo Jiginew is committed to enabling new small-scale investment by its members across Mali. Our microfinance activity helps businesses to grow, farmers to modernise and jobs to be created.
“The new support from the European Investment Bank will enable Kafo Jiginew to significantly expand activity to benefit people across Mali who cannot access bank finance. Increased microfinance will contribute to economic and social development in Mali and stability in the Sahel.” said Mr David DAO, Chief executive officer of Kafo Jiginew.
European Investment Bank Vice President, Ambroise Fayolle said “The European Investment Bank is committed to supporting transformational private sector investment with leading financial partners across Africa.
“We are pleased to once again work with Kafo Jiginew to help expand the impact of their engagement across Mali. The new EU Bank support confirmed on Tuesday will benefit vulnerable communities vulnerable to climate change and ensure that farmers and entrepreneurs can harness their full potential to contribute to economic and social growth.
“The impact of the successful partnership that combines the local understanding and expertise of Kafo Jiginew with the strength of the EIB is a model for the Sahel region and Africa. This partnership with Mali reflects the European Investment Bank’s firm commitment to supporting sustainable new investment across the Sahel”
“This new EIB support to increase the high-impact microfinance provided by Kafo Jiginew demonstrates the broader European Union engagement in Mali and across the Sahel. Enabling farmers and entrepreneurs to access finance contributed to economic growth and stability.” said Alain Holleville, Ambassador of the European Union to Mali.
The new financing follows successful expansion of microfinance activities using the first EIB funding of Kafo Jiginew agreed in 2001.