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Proparco supports NSIA Bank Benin to increase financing for Beninese SMEs

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NSIA Bank Benin today signed a portfolio risk-sharing guarantee agreement (ARIZ) with Proparco, in the presence of Her Excellency the French Ambassador to Benin, to support its efforts to foster the growth of small and medium-sized enterprises (SMEs) in Benin.

This €20 million guarantee (CFAF 13.1 billion) granted by Proparco (AFD Group) will enable NSIA to extend more loans guaranteed at a minimum of 50% to small and medium-sized enterprises operating in strategic sectors of the Beninese economy.

Led by the AFD Group and implemented by Proparco, the ARIZ mechanism serves as a structuring lever designed to encourage partner financial institutions to strengthen their commitment to micro, small, and medium-sized enterprises (MSMEs), which are key drivers of inclusive and sustainable growth. By guaranteeing up to 50% of the credit risk on a portfolio of loans, this facility reduces the risk borne by the bank and promotes expanded access to financing tailored to the needs of businesses.

This operation is part of the French Choose Africa initiative, which concretely reflects France’s commitment to actively supporting African entrepreneurship and the development of a dynamic private sector across the continent.

This partnership reflects a shared ambition to develop a portfolio dedicated to MSMEs by strengthening NSIA Bank’s capacity to support high-potential, innovative, and underfinanced sectors. The operation also aligns with a broader national momentum driven by Beninese public authorities to consolidate the economic fabric through various reforms and support mechanisms.
 

This partnership reinforces the strength of our institution and demonstrates the confidence of a major international player in our vision and commitment to financing the Beninese economy. Thanks to this guarantee, NSIA Banque Bénin will be able to offer better-tailored, more competitive financing solutions designed to support growth, innovation, and job creation.

Anicet OKOMA

  • Chief Executive Officer of NSIA

The signing of this new portfolio guarantee with NSIA confirms Proparco’s commitment to supporting Benin’s economic growth momentum, largely driven by structuring SMEs with a strong impact on job creation and value generation.

El-Hadj Moustapha IBRAHIM-MALLOUM

  • Deputy Regional Director for West Africa at Proparco

Through this initiative, Proparco reaffirms its strategy to promote entrepreneurship and expand access to economic opportunities, directly contributing to the achievement of Sustainable Development Goal No. 8, which promotes decent work and economic growth.

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