EDFI Management Company Supports Swedfund’s Investment in COFINA Group to Boost MSME Financing in West Africa
EDFI Management Company (EDFI MC) announced today its support for Swedfund’s USD 20 million investment in Compagnie Transnationale d’Investissement (COFINA Group) through the EDFI MSME Platform Plus guarantee programme. This collaboration aims to expand financing for micro, small, and medium-sized enterprises (MSMEs) in Côte d’Ivoire and Senegal, with a focus on the underserved ‘missing middle’ segment.
Swedfund, the Swedish Development Finance Institution, has provided a USD 20 million senior term loan to COFINA Group, a non-banking financial institution dedicated to MSME financing in West and Central Africa. The investment is backed by the EDFI MSME Platform Plus, a part of the European Union’s EFSD+ guarantee, managed by EDFI MC.
This investment addresses the significant financing gap faced by MSMEs in the region, particularly those falling between microfinance and traditional banking services. By supporting COFINA Group’s expansion, the project aims to enhance financial inclusion, promote economic growth, and create job opportunities in Côte d’Ivoire and Senegal.
Maria Håkansson, CEO of Swedfund, commented on the investment: “Our partnership with COFINA Group, supported by the EDFI MSME Platform Plus guarantee, targets the critical financing needs of MSMEs in West Africa. This collaboration enhances our ability to reach underserved segments, including women entrepreneurs and agribusinesses, thereby promoting inclusive economic growth, improved livelihoods and greater food sovereignty in Côte d’Ivoire and Senegal.”
EDFI MC’s Role
EDFI MC, through its management of the EDFI MSME Platform Plus guarantee programme, plays a crucial role in facilitating this impactful investment. The guarantee provided enables Swedfund to extend its support to higher-risk markets and underserved segments of the economy.
Rodrigo Madrazo, CEO of EDFI Management Company, stated: “The collaboration with Swedfund and support of their investment in COFINA Group through our MSME Platform Plus guarantee programme exemplifies the power of blended finance in addressing critical development challenges. By de-risking investments in fragile states and least developed countries, we can catalyze much-needed capital for MSMEs, fostering economic resilience and inclusive growth in West Africa.”
By facilitating access to finance for MSMEs, particularly women-led businesses and those in the agricultural sector, this investment aims to drive sustainable economic development in Côte d’Ivoire and Senegal.
For more information about EDFI MC and its guarantee programmes, please visit www.edfimc.eu.
