Financiera FINCA Nicaragua, S.A. (“FINCA”)

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IIC’s Communications Group
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For project inquiries, including environmental and social questions related to an IIC investment, please contact the client or the IIC using the contact information provided above. In addition, project affected communities have access to the IIC Independent Consultation and Investigation Mechanism.
Tel:+1 (202) 623-3952
Fax: +1 (202) 312-4057
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E-mail: mecanismo@iadb.org or MICI@iadb.org

Project Number: 
NI3860A-01
Expected Consideration Date by the Board: 
11/30/2012
Date Posted: 
10/19/2012
Company: 
FINCA
Financing Requested: 
Loan of up to US$1 million
Sector: 
Financial Services
Country: 
Scope Objective: 

The objective of the proposed loan is to support the lending activities of FINCA Nicaragua, which provides working capital financing to the lowest-income entrepreneurs so they can create jobs, build assets, and improve their standard of living. These entrepreneurs are the owners of micro and small enterprises from the country working in a variety of productive sectors, especially commerce, industry, services, and agribusiness. Financing on appropriate terms will make it possible to generate direct and indirect employment and improve the financial structure of these small companies, which have limited access to financing. FINCA’s strategy in Nicaragua is to focus operations on underserved markets and groups, especially rural areas and women.

Environmental Review: 

This is a category III project according to the IIC’s environmental and labor review procedure because it could produce certain effects that may be avoided or mitigated by following generally recognized performance standards, guidelines, or design criteria. FINCA Nicaragua will be required to comply with the IIC’s List of Excluded Activities. To enable it to better understand the IIC’s requirements, FINCA Nicaragua will also be required to attend the IIC’s financial intermediary environmental training seminar. Each subproject will be subject to an environmental review and must comply with national environmental and labor laws, regulations, and standards as well as IIC environmental guidelines.