IDB Invest Supports Micro and Small Companies in Mexico through Compartamos
IDB Invest has provided Banco Compartamos, S.A., I.B.M. (Compartamos) a loan in Mexican pesos (MXN) for the equivalent of $50 million to increase financing for micro and small companies, and companies led by women in Mexico.
IDB Invest has provided Banco Compartamos, S.A., I.B.M. (Compartamos) a loan in Mexican pesos (MXN) for the equivalent of $50 million to increase financing for micro and small companies, and companies led by women in Mexico. The deal will contribute to the growth of microcredits to micro and small companies, in particular to women-led businesses which has been a traditional focus of Compartamos. Likewise, it will support the development of the financial sector in Mexico, seeking a positive impact on the economic growth of the country, especially in the case of companies led by women and companies located in rural areas where access to financial services is limited.
About 15.2% of small formal companies in Mexico use commercial credit to finance their investments and 18.9% to finance working capital. This project will help to increase banking in the country through shared efforts with Banco Compartamos, whose focus on microenterprise women and the use of technologies will allow for the enhancement of high-productivity and impact segments for sustainable economic and social development in Mexico.
This operation is expected to contribute to three United Nations Sustainable Development Goals (SDGs): Gender Equality (SDG 5), Decent Work and Economic Growth (SDG 8), and Industry, Innovation and Infrastructure (SDG 9).
About IDB Invest
IDB Invest is a multilateral development bank committed to promoting the economic development of its member countries in Latin America and the Caribbean through the private sector. IDB Invest finances sustainable companies and projects to achieve financial results and maximize economic, social, and environmental development in the region. With a portfolio of $14.8 billion in asset management and 376 clients in 25 countries, IDB Invest provides innovative financial solutions and advisory services that meet the needs of its clients in a variety of industries.
Compartamos is a financial institution with over 31 years of experience that offers credit, insurance, savings and a solid transactional network. It is part of Gentera, a group that offers financial services with a human lens. Additionally, it is one of the largest microfinance institutions in the region. Its business unit combines sustained growth, adequate risk management, high profitability and solid sustainable business management. It mainly serves women in the underserved segment in Mexico.