Client presentation
Société Générale Burkina Faso (SGBF) is the country’s 3rd largest bank in terms of its lending activity. The bank has traditionally focused on large companies, but has now developed a range of products for SMEs, which make up the bulk of the local economic fabric, and the retail industry.
Project description
Proparco has allocated a EUR 1.5m (XOF 1bn) Choose Africa Resilience guarantee to SGBF, the main and longstanding partner in the country. It will allow it to offer loans with an 80% guarantee from AFD Group to small and medium-sized enterprises in Burkina Faso that have been weakened by the crisis. This guarantee product, which has been made possible through resources specially allocated by the French State for MSMEs in Africa, is a key tool of the Resilience component of the French Choose Africa initiative.
Project impact
Once SGBF has examined the financing requests, companies with less than 200 employees affected by the crisis may be allocated loans with maturities ranging between 12 and 60 months. These loans can amount to up to 3 months of the turnover in 2019.