France supports DRC in the development of inclusive finance and job creation by a subsidy of 5 million euros granted to FPM ASBL

The Ambassador of France in DRC, François Pujolas, The Deputy Director of the French Development Agency (AFD) in DRC, Gianni Sartena, and Mr. Jean Claude Thetika Banzodila, General Director of FPM ASBL (Fund for financial inclusion in DRC) during the signing ceremony of the finacial Agreement.

France gives concrete form to its support to the Democratic Republic of the Congo by signing this Tuesday 28 July 2020, a grant agreement for an amount of 5 million euros intended to contribute to the consolidation of financial inclusion in the DRC. 

This agreement was signed between the ambassador of France in the DRC, François Pujolas, deputy director of the French Development Agency (AFD) in the DRC, Gianni Sartena, and Mr. Jean Claude Thetika Banzodila, Director General of FPM ASBL (Fund for financial inclusion in the DRC). This signature took place in the presence of Madame Mamie Kalonda Managing Director of FINCA DRC and President of the National Association of Institutions of Microfinance (ANIMF). 

It should be noted that to date, access to credit remains difficult for Micro, Small, and Medium Enterprises (MSMEs) in the Democratic Republic of the Congo, while these companies contribute to the diversification of the economy and the creation of jobs, particularly for the youth. Financial institutions are also struggling to develop a suitable offer and diversified across the country. In addition, the health crisis linked to the COVID-19 epidemic has significantly affected the ability of financial institutions to extend credit and it has weakened their customers in great difficulty of repayments. 

The Ambassador of France in DRC, François Pujolas and Jean-Claude Thetika Banzodila, General Dorector  of FPM ASBL (Fund for finacial institutiom in DRC) exchanging the finacial Agreement.

The Fund for Financial Inclusion in DR Congo (FPM ASBL) has set itself the task of promoting financial inclusion, by offering financial but also technical assistance to financial institutions that target in particular micro, small and medium-sized enterprises as well as working populations in low income.

 The AFD grant will contribute more particularly, alongside KFW, BIO, UNDP / UNCDF and other partners, to the financing of the 2020-2023 program of activities of the FPM ASBL whose objectives are to develop a pool of competent human resources, to promote technological innovations within FPM partner financial institutions, to support financial institutions in their geographic extension in the DRC and to support responsible finance, with a particular focus on female entrepreneurship. 

The French Ambassador to the DRC highlighted the point that “the adjustments made to this program with a view to supporting more particularly financial institutions facing the negative impacts generated by the COVID-19 epidemic ". 

François Pujolas, Ambassador of France in the DRC, insisted that "this initiative is part of the framework of the ‘Choose Africa’ program piloted by AFD and materializes the commitment made in Ouagadougou in November 2017 by the President of the French Republic, Emmanuel Macron, to support the revolution of entrepreneurship and innovation in Africa ". 

Through this funding and that signed in November 2019 for the sustainable development of savannas and degraded forests in DRC with funds delegated from the Central African Forest Initiative (CAFI) including an agricultural microfinance component, France contributes to the densification and diversification of the financing offer for MSMEs in the DRC. 

It should be noted as well that this effort is also supported by Proparco, an AFD subsidiary dedicated to the private sector, which signed in March 2020 a US $ 3 million line of credit to Advans, one of the main institutions microcredit programs active in the DRC. 

The French Ambassador to the DRC, François Pujolas welcomed France's commitment for the diversification of the Congolese economy, by means adapted to the circumstances and local actors. "Our partnership is global and turned towards the future, that of a development truly sustainable and inclusive", concluded the Ambassador.

Cassien Tribunal Aungane, Editor