Irish Regions Office Website

September 15, 2008

Micro-Finance Support

A new technical assistance facility to boost the potential and reach of institutions providing financial support, loans and capital to SMEs, was announced by Regional Policy Commissioner Danuta Hübner on 11 September. JASMINE will assist in the setting-up, management and growth of Micro Finance Institutions (MFIs) by offering them easier access to financial or administrative support via the European Investment Fund.
The move is expected to go some way towards bridging a significant gap in access to finance and business development. It is estimated that an additional 700,000 micro-loans – defined as less than €25,000 to benefit existing or aspiring firms of less than 10 staff with an annual turnover not exceeding €2 million – could be disbursed in Europe in the coming years if the right conditions were in place. There may be scope for community-level organisations such as Credit Unions to get involved in this initiative.
JASMINE is also expected to devise a code of good conduct to help MFIs reach the quality standards required to become credible in the financial market. A pilot phase of three years is scheduled to begin in 2009 before operations begin on a larger scale.
Further information: http://www.eurofi.net/

Posted by iroronan at September 15, 2008 07:01 PM