Access to Finance Burkina Faso

[1] Access to Capital

How To Get Access To Capital In Burkina Faso?

ACCESS TO FINANCING

In terms of financing, there is no target gender, the conditions of access to financing are the same for everyone.                               

It is important to know that access to finance is at several levels:

        Banks

        Microfinance

        Non-financial companies

        Funding associations

These financing structures are not specific to women. The criteria for granting funding are the same for men and women.

Several structures give access to financing to all

– APBF (Professional Association of Banks of Burkina Faso)

– AFP / PME (Association for Professional Financing of Small and Medium-Sized Enterprises)

Several organizations offer targeted funding for women

-PAE-JF (The Economic Empowerment Program for Youth and Women)

The main objective is to contribute to the reduction of unemployment and underemployment of young people and women in Burkina Faso.

This central objective is broken down into the following specific objectives :

Promotion of self-employment for young people and women;

The socio-professional integration of young people and women.

Credit characteristics (direct financing)

The program competition thresholds range from 100,000 to 1,500,000.

The interest rates applicable to loans are :

• 0% for people living with a disability;

• 1% for young people and women

• 2% for young people with post-baccalaureate diplomas.

The loan duration is 36 months maximum with a grace period of 1 to 6 months

Characteristics of the guarantee fund

The PAE / JF guarantee fund with a value of 500,000,000 CFA is placed with the Société Financière de Garantie Interbancaire du Burkina (SOFIGIB) for the benefit of young people and women who request at least a loan of 5,000,000 of CFA to set up structuring projects. The management of this fund is ensured by the Burkinabé Fund for Economic and Social Development (FBDES)

– FAARF (Support Fund for Activities) Support Fund for Remunerative Activities for Women) is a government institution placed under the supervision of the Ministry of Economy and Finance and meeting the definition of Article 2 of national funds which states that

Beneficiaries

– Rural and urban women’s groups / associations

– Women working in the informal sector gathered in a solidarity group of 3 to 6 members;

– Small and Medium Enterprises from groups, associations or solidarity groups;

– Young girls from Production and Training Centers for Young Girls

Access condition

-Be of BURKINABÉ nationality,

– Reside in the territory of BURKINA FASO,

-Exercise an income-generating activity,

-Be a member of an officially recognized group or association of women

-Be an individual woman who has already benefited, as a member of a solidarity group, from at least three successive regularly balanced loans (SME)

-formulate a request,

-register with a loan officer for solidarity groups

Credit amount

-5,000 to 500,000 CFA for individual loans and from 50,000 to 2,000,000 CFA for groups.

-For amounts greater than 500,000 F for individuals and 2,000,000 F for groups and associations the file is submitted to the management board

Several training courses are provided for women entrepreneurs

Certain field activities make it possible to sensitize women on small loans and payment facilities.

[2] VSLAS (Village Saving & Loan Associations)

Villageaise Savings And Credit Associations In Burkina Faso

The Network of Caisses Populaires du Burkina (RCPB)

ACCESS TO FINANCING – VILLAGE SAVINGS AND CREDIT ASSOCIATIONS (WITH)

The Network of Caisses Populaires du Burkina (RCPB) is a movement of savings and credit cooperatives. He works in the field of microfinance. Its main activity is the collection of savings and their retrocession in the form of loans.

The Network of Caisses Populaires du Burkina has set itself the task of: “contributing to the improvement of the living conditions of its members as well as of the community, in a spirit of solidarity and individual and collective responsibility, by:

– mobilization of local savings;

– the development of reliable and profitable cooperative savings and credit enterprises;

– the promotion of accessible and adapted financial products and services;

– democratic administration and management according to cooperative rules and principles, with respect for and concern for the human person. ”.

Each year, the RCPB produces a report on its actions carried out in favor of communities through its collection and granting of credit activities, training sessions and meetings carried out for the benefit of leaders and members, social works carried out for the benefit of communities. . In accordance with its policy of collective rebates, the RCPB has identified three priority fields of action, which are:

– health ;

– education;

– Environment and sustainable development.

– They offer credit facilities at affordable rates thus allowing women entrepreneurs to continue their activities in peace

The importance for women to use microcredit is the ease of obtaining loans and the conditions demanded which differ from local banks

Possibility of obtaining a loan several times in a microcredit structure with monthly payment

As soon as a loan is repaid, they have the possibility of requesting another one.

To become a member, a natural person must go to a credit union with :

– his identity document

– two (2) identity photos

– the sum of 3000F CFA for membership and a minimum balance of 3000 F CFA to keep in the account.

For legal persons, groups and associations, go to the nearest credit union.

Support Fund for Remuneration Activities for Women) is a government institution placed under the supervision of the Ministry of the Economy and Finance and meeting the definition of Article 2 of national funds.

Several training sessions are provided to members, such as training on:

– Membership, leadership and elections

– Regulations on the Solidarity Fund, the purchase of shares and loans

– Development of the Association’s internal regulations

– First savings meeting

– First credit meeting

– First credit repayment

– Distribution of capital, elections and independence