The guarantees offered by AFD Group via its subsidiary Proparco enable partner banks to share the risk of financing very small, small and medium-sized enterprises (MSMEs), thereby increasing their capacity to finance the economy.
The first portfolio guarantee granted today by Proparco is an ARIZ guarantee for an amount of 15 million euros. The ARIZ guarantee is one of AFD Group's emblematic tools, particularly effective in encouraging investment and job creation in SMEs operating in many sectors of activity (agriculture, health, industry, microfinance, transport, etc.). This portfolio guarantee is particularly well suited to the specificities of the Cameroonian economy.
The second risk-sharing tool, the EURIZ portfolio guarantee is for an amount of EUR 5 million. Launched in May 2019 with the support of the European Union and the European Development Fund, and the African, Caribbean and Pacific (ACP) Group of States, the EURIZ guarantee aims to facilitate access to credit for underserved MSMEs, particularly in sectors with a high developmental impact, in order to help them play their essential role in economic growth and job creation.
The portfolio guarantees granted today by AFD Group to Societe Generale Cameroun are part of the French initiative Choose Africa . Launched in 2018 and increased to €3.5 billion in 2020 in response to the crisis, the Choose Africa initiative aims to accelerate the growth of start-ups, VSEs and SMEs in Africa. To date, more than 2.5 billion euros have already been deployed by AFD Group within the framework of this initiative for the benefit of more than 26 000 MSMEs and tens of thousands of micro-entrepreneurs.
"Our historic partnership with Société Générale Cameroun and the support of the French government, the European Union and the ACP Group of States enable us to provide a strong and targeted response to the financing difficulties encountered by small and medium-sized businesses in Cameroon. The two new portfolio guarantees granted today by Proparco will help amplify the impact of the Choose Africa initiative, particularly in sectors with a high development impact," said Audrey Maignan, Proparco's Regional Director for Central Africa.