Investment in Financiera Nicaragüense de Desarrollo (FINDE S.A.)

closed

The funds disbursed by the MIF will enable FINDESA, Financiera Nicaragüense de Desarrollo Sociedad Anónima, to finance approximately 2,600 microenterprises. The resources invested by the MIF will serve as a catalyst for the recruitment of two international private sector partners: Développement International Desjardins (DID) of Canada, and Stichting Hivos-Triodos Fonds, managed by the Triodos Bank of the Netherlands. These two investors will take an active role in corporate governance of the institution and, in the case of Desjardin, will act as technical adviser by transferring the methodology needed to mobilize resources and training FINDESA's personnel in the means for attracting deposits.The technical assistance resources provided by the MIF will co-finance a program to develop new financial services in FINDESA, including: saving accounts, attracting deposits and transmitting remittances from Nicaraguan emigrants. In addition, a new banking establishment will be opened in Waslala (Department of Matagalpa), which has no formal financial institution at present. The operation will serve as a model primarily for those institutions that offer microfinancing outside the formal financial system.