Regional MSME Investment Fund for SSA - REGMIFA II (THB)

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The regional MSME Investment Fund for Sub-Saharan Africa (REGMIFA) is an international initiative initiated by KfW and BMZ and adopted at the 2007 G8 summit in Heiligendamm. REGMIFA aims to improve the limited supply of local currency financing in sub-Saharan Africa by providing long-term loans in local currency to African financial institutions in order to create financing opportunities for small and medium-sized enterprises (SMEs) in the region. By strengthening the local SME financing sector, REGMIFA aims to contribute to economic development and support the goals of sustainable poverty reduction in accordance with SDGs 1 and 8. In addition to the loan fund, there is a Technical Assistance Facility (TAF), which uses targeted personnel support to eliminate specific weaknesses of partner financial institutions and thus supports the sustainability of the financing measures. KFW holds a trust stake of EUR 35 million in the fund, which was founded in 2010, with an initial investment of EUR 15 million in 2010, which was increased by EUR 20 million in 2020. The TAF was granted EUR 2 million in 2010 and EUR 5 million in 2020 as a grant from KfW from budgetary funds. The KfW funding contribution of USD 13 million received in 2016 was fully repaid by the end of 2023. As of the end of 2023, the fund's outstanding loan portfolio amounted to USD 178 million in 24 African countries. Through 54 partner financial institutions, around 226,000 SMEs were reached as final borrowers, of whom around a third were women.