Luxembourg cooperation supports female entrepreneurship in Central America and the Dominican Republic

Luxembourg Cooperation supported CENTROMYPE (Centre for the Promotion of Micro and Small Enterprises) in launching its regional programme for the promotion of women's entrepreneurship in Central America and the Dominican Republic to the amount of USD 1.5 million over two years.

Microfinance has always aimed to provide the necessary financial means to people with very limited resources. Inclusive finance is now broadening its horizons to reach micro, small and medium-sized enterprises (MSMEs) with high potential for job creation and economic growth in their country, but with difficult access to training, credit or other levers that enable them to structure and develop.

The Midi de la microfinance on 10 March aims to show how different actors, such as incubators and investors, have launched interesting and innovative initiatives, sometimes working together, to better serve these high-potential MSMEs in Central America.

During the event, ADA will present two organisations with which it collaborates, notably in the framework of its "Young Entrepreneurs Sustainable (YES) Funding Initiative" programme:

• Alterna (Guatemala), which has launched the "Catalyzer" impact investment programme, which allows young entrepreneurs to access financing, the repayment of which is based on the evolution of turnover;
• Fundación Cacao (El Salvador) which is a "business angels" association created jointly with the INSERT/YAWAL incubator in El Salvador. Together, these two actors are developing a support and financing mechanism that combines the concepts of guarantee, loan and equity for the benefit of small businesses with a strong social impact.

Another interesting partner with whom ADA has had the chance to exchange is CENPROMYPE in El Salvador, actively supported by the Luxembourg Cooperation, which has financed the project to the tune of 1.5 million dollars over a period of two years. CENTROMYPE (Centre for the Promotion of Micro and Small Enterprises) has launched a regional programme for the promotion of female entrepreneurship in Central America and the Dominican Republic. The overall objective of the project is to assist women entrepreneurs in the region to develop entrepreneurial initiatives and create more competitive and productive MSMEs, supported by a specialized support system and a non-refundable seed capital fund.

The issue of gender equality is extremely important for the countries of the region and CENPROMYPE plays a key role in this context in advancing the financial autonomy of women entrepreneurs. The Luxembourg Cooperation supports CENPROMYPE to underpin this commitment to gender equality and builds on the strong potential of MSMEs to contribute to the economic and social development of the region. This symbolic support is part of the South-South Cooperation framework.

Photo: ©Embassy of Luxembourg in Managua