FRCG

Support fund for governance capacity building

In order to build the environmental, social and governance management capacities of its clients, Proparco mobilizes financing from the Support Fund for Governance Capacity Building (FRCG), which is managed by AFD.
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Pro-Kenya-sanergy-user-2015
Objectives of the mechanism

To help Proparco’s and, more generally, AFD Group’s client companies and financial intermediaries (FIs), develop best practices in a particular area (social and environmental responsibility, staff representation, financial governance…) by cofinancing studies (diagnostics, action plans…) or technical assistance and training services.

FRCG also helps bring FIs, first and foremost microfinance institutions and small local banks, into compliance with AFD Group requirements for governance, transparency and financial ethics – a prerequisite for any Group financing.

 

Elibigility and financing conditions

AFD Group’s partner companies and financial institutions, located in the poorest countries or in priority countries for French cooperation (Sub-Saharan Africa and the Southern and Eastern Mediterranean).

The cofinancing allocated to each technical assistance mission by FRCG ranges between EUR 10,000 and EUR 50,000. The assistance project is required to include a minimum of 25% of self-financing by the company.

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