COOPSAMA Loans & Guarantees for Financial Inclusion

The total number of beneficiaries under the guarantee from April 2022 to March 2024 is 972 which represents 51 % of the number of beneficiaries expected to be reached under the Guarantee (1900). Out of the 972, 505 were women and 467 men. COOPSAMA, with the guarantee support, has been able to provide access to credit to more women, reaching a percentage of more than 50%. The total amount of credits granted to men is Q. 40,928,015.41 and to women Q.37,582,995.46. Example: An indigenous woman who borrowed Q.195,000.00, bought a commercial premises and invest in the purchase of merchandise to grow her business. As a woman, she has faced systemic financial challenges however the financial access provided by COOPSAMA under the guarantee, has allowed this woman to obtain working capital to consolidate and grow her business, her experience and good results achieved have inspired other entrepreneurial women in her region. The "Entrepreneurial Woman" program of COOPSAMA, supports women in developing their business and are trained in financial education. In this way, women have more confidence in financial institutions and are motivated to acquire loans to invest in their businesses. To obtain data on economic development impacts that the guarantee is generating, COOPSAMA conducted a small survey with a sample of 86 clients backed by the guarantee and fund that their businesses generated 173 jobs, and created 12 new businesses. 55% of the entrepreneurs interviewed reported increases in their sales from 10% to 25%. Key sectors supported by the guarantee are agriculture (28%), businesses (64%) and services (8%). In a country with high unemployment rates, the direct jobs created by the MSMEs back by the guarantees, are considered relevant. COOPSAMA has programs that supports their members/clients to develop their business. When investment in businesses begins, cost control processes are implemented, advertising strategies are generated for marketing of products and other administrative processes are implemented to monitor the business growth

To support a guarantee instrument to facilitate access to credit for sectors that face restrictions in the management of financing, due to the scarcity or absence of collateral requested by financial institutions. Through the guarantee instrument, Sida seeks to encourage the cooperative COOPSAMA to better understand the credit risk and facilitate access to financing for entrepreneurs (women men and youth and for micro, small and medium sized companies with limited access to financial resources), which is essential to make their businesses grow and make them successful. It is expected that at the end of this contribution with COOPSAMA, the cooperative will have more experience, tools and more accessible resources to continue providing financial products to people with fewer opportunities for economic and social development.