Proparco has taken an equity participation worth 5.9 million in Enda Tamweel, the pioneering microfinance institution in Tunisia. This participation is part of the microfinance institution’s reserved capital increase, amounting to a total of TND72m (about €24.3m) in which five other international investors havc participated, including the Belgian Investment Company for Developing Countries.
This operation will enable Enda Tamweel to serve a greater number of Tunisian micro-entrepreneurs via micro-credit, in particular women and rural populations, and thus contribute to the financial inclusion of populations excluded from the traditional financial system. This investment will therefore help to support and create jobs, reduce inequalities and promote gender equality in the country.
Strengthening a strategic partnership between Proparco and Enda Tamweel
This is Proparco’s second operation with the microfinance institution after granting a loan in local currency, equivalent to €8m in 2016, to support Enda Tamweel in the development of its activities.
This loan was accompanied by the co-financing of technical assistance to support the microfinance institution in its definition and deployment of its “gender” strategy, aimed at promoting women’s access to micro-credit.
This investment into the capital of Enda Tamweel is also in line with the implementation of the initiative to support youth and entrepreneurship announced by the President of the French Republic Emmanuel Macron during his state visit to Tunisia on 31 January and 1 February 2018.
A major player in Tunisia’s development
Microfinance is booming in Tunisia and plays an essential role in the financial inclusion of marginalised populations, the fight against poverty and creation of jobs.
Enda Tamweel, a pioneering microfinance NGO in Tunisia, is still the country’s leading microfinance institution today. Since 1995, Enda Tamweel has granted more than 2.8 million microcredits to 730 000 micro-entrepreneurs. It currently serves 337 000 micro-entrepreneurs, mainly women, from both urban and rural areas. Enda Tamweel also has almost 1,700 employees across the country.