How we invest

How we invest

Investment Strategy

The Fund intends to allocate loans to partner financial intermediaries (PFIs) in the proportions outlined below:

End clients

Countries

Instruments

Loan tenor

Currency

  • Direct loans to PFIs
  • Average target size of $3 to 5 million
Balanced country allocation
  • Senior or subordinated loans
  • Fixed or floating rate
Maturities of up to 5 years for senior loans and up to 7 years for subordinated loans, to be extended up to 10 years on an exceptional basis
Investments mostly in local currencies ensuring that the risk of currency fluctuations is not borne by the institution or its ultimate clients

How will we address
the problems identified?

Possible renewal of financing provided Gender Action Plan has been completed and use of proceeds condition has been met

How will the Fund aim to address the problems identified?

Possible renewal of financing provided Gender Action Plan has been completed and use of proceeds condition has been met

Outreach through Partner Financial Institutions (PFIs)

Technical assistance

The Fund strategy will be complemented by a Technical Assistance Facility which will empower the financial institutions to better benefit from the funding.

Technical assistance

The Fund strategy will be complemented by a Technical Assistance Facility which will empower the financial institutions to better benefit from the funding.