Increasing access to financing for Haitian MSMEs: A new project to support economic empowerment and foster inclusive, sustainable growth

Micro, small and medium-sized enterprises (MSMEs) are a fundamental pillar of the Haitian economy, generating a large proportion of jobs and actively contributing to local growth. They play a key role in reducing poverty, stimulating innovation and boosting many economic sectors. Despite this, their development and sustainability are hampered by limited access to financing.

In collaboration with Haiti's Fonds de Développement Industriel (FDI), and as part of an initiative by the Haitian government and the World Bank, we will be working to remove the obstacles that hinder access to financing for MSMEs, particularly those run by women and young people.

To encourage the provision of loans to Haitian MSMEs, the major project in which we will be participating will support, among other things, the creation of a line of credit and a partial portfolio guarantee to be managed by the FDI. These innovative mechanisms will mobilize private capital to encourage commercial banks, microfinance institutions and financial cooperatives to lend to MSMEs, reducing the risks for lenders and increasing the volume of financing granted.

A partnership geared towards sustainability and inclusion

As part of this project, we will support FDI in strengthening its capacities, particularly in terms of governance, transparency and environmental and social risk management. This will enable the institution to effectively and sustainably manage the innovative financing and guarantee mechanisms for which it will be responsible.

The expected impacts will be numerous and significant. Facilitated access to financing will give Haitian entrepreneurs, particularly women and young people, the opportunity to develop their businesses sustainably, create jobs, boost the local economy and actively contribute to the transformation of the Haitian economic landscape.

In this way, the project aims to drive the economic empowerment of the individuals and communities involved, and support their participation in a more inclusive and resilient economy in the face of the challenges they face, including climate risks.