news - FMO supports low income entrepreneurs in rural areas of Peru

Lima, 17 December 2015 – The Dutch development bank, FMO, provides a USD 20 million loan facility to Financiera Confianza (Confianza) in Peru, an entity part of BBVA Microfinance Foundation, to support the development of micro entrepreneurs and small businesses, particularly in rural regions of Peru.

This transaction marks the start of a long-term relationship between FMO and BBVA Microfinance Foundation, to support and further strengthen the activities of the Foundation in the microfinance segment in Latin America. Confianza is one of the largest microfinance providers in Peru, being present in all regions. The facility will be denominated in Peruvian Nuevo Sol, which allows for on-lending to entrepreneurs in local currency. Confianza pays special attention to the promotion of sustainable and inclusive development, using its Productive Responsible Finance approach, supporting underprivileged entrepreneurs through offering a wide range of financial and non-financial products and training, tailored to their needs.

Peru is one of the best performing economies in Latin America, however financial sector activity remains concentrated in urban zones. Poverty and low level of financial inclusion are mostly found in rural areas, where smallholders often own less than ten hectares of land and only one out of three adults has access to a (formal) bank account. Affordable financial products, client-oriented services and technological innovations are necessary to support financial inclusion in these areas of the country. 

About FMO

FMO is the Dutch development bank. FMO has invested in the private sector in developing countries and emerging markets for more than 45 years. Our mission is to empower entrepreneurs to build a better world. We invest in sectors where we believe our contribution can have the highest long-term impact: financial institutions, energy and agribusiness. Alongside partners, we invest in the infrastructure, manufacturing and services sectors. With an investment portfolio of EUR 8 billion spanning over 85 countries, FMO is one of the larger bilateral private sector development banks globally. For more information, visit www.fmo.nl

About Financiera Confianza

Financiera Confianza is a leading microfinance institution in Peru and its mission is to foster the sustainable and inclusive economic and social development of the least well-off sections of society. With a headcount of 2,255 employees and a network of 153 branches it operates in every region in Peru and it is the banking network with the greatest presence in rural areas of the country. It serves more than 400,000 clients with a diverse range of financial services to generate sustainable wealth in disadvantaged communities. For more information, visit: http://www.confianza.pe

About BBVA Microfinance Foundation

BBVA Microfinance Foundation is a non-profit organization specializing in promoting the economic and social development of disadvantaged sectors of society by means of Responsible Productive Financing, its specialty and methodology. The Foundation is currently present in seven countries in the region through eight microfinance institutions: Banco de las Microfinanzas Bancamía (Colombia), Financiera Confianza (Peru); Banco de Ahorro y Crédito ADOPEM (Dominican Republic); Microserfin (Panama); Fondo Esperanza and Emprende Microfinanzas (Chile); Contigo (Argentina); and Microfinanzas PR (Puerto Rico). It is providing financial services to more than 1.7 million low income entrepreneurs, with a headcount around 8,000 employees and a network of 500 branches, and has granted more than $ 7 billion in accumulated loans. For more information, visit: www.mfbbva.org

Cristina González del Pino Fúnez
Comunicación Corporativa
FUNDACIÓN MICROFINANZAS BBVA
Móvil +34 636 435  861   / Tel. +34 91 537 59 68  
cgonzalezpino@mfbbva.org
Paseo de Recoletos 10, 28001 Madrid