“Access to Finance Matchmaking Roundtables”
Period of Grant:
The effective date of this Grant is November 15, 2016 and the completion date is November 14, 2018.
Brief Statement of Purpose/Project Summary:
As businesses grow and develop a track record of profitability, they need access to further capital to finance various needs such as working capital or longer term investment in their assets or real estate to grow their revenues.
With this belief, one of the observed difficulties MSMEs currently face in accessing to finance is absence of sufficient information about available financial institutions, their loans products, loan terms/conditions, procedures, and other specifications. Similarly, MFIs also somehow enjoy insufficient information regarding their target clients.
Program Goals and Objectives:
The objective is to connect and aware potential businesses/clients, with financial institutions, that are in need of some type of loan from financial institutions. Participating businesses shall have comprehensive information on types of available loan products so to have a better comparison base plus financial institutions shall be able to develop some better understanding of businesses/clients’ financing needs.
Description of Program Activities:
AMA will carry on the following activities during the project period:
1. Identification of Participants:
1.1 Develop strategy on approaching businesses that fall under WIE target market and have real potential for growth. This will be shared with WIE for feedback and approval.
1.2 Develop and share an annual work plan to implement the current scope of work with WIE for review and approval.
1.3 Develop an application/enrollment form in line with WIE criteria for working with businesses, for business participants and share it with WIE for feedback and approval.
2. Workshops Organization:
2.1 Conduct 16 roundtables for the first year and 18 roundtables in the second year in four economic zones (Kabul, Mazar-i-Sharif, Herat and Jalalabad).
2.2 Each roundtable consists of a minimum of 10 and maximum of 20 participants.
2.3 Outreach, identify, and select a minimum of 10 and maximum of 20 businesses/participants that have good potential for growth and are more likely to qualify for loan to participate in each of the event using the criteria enrollment form.
2.4 Share the information of the participating businesses with WIE for approval before each event. The roundtables will happen as potential participants are assembled. There will be no pre-agreed timeline for doing roundtables, e.g., there could be 3 roundtables in a month or there could be no roundtables in a month depending on availability of potential participants.
3. Collaboration with MFIs:
3.1 Collaborate with the MFIs to develop standard presentations and continuously update those as need changes take place, new products are introduced, or criteria being revised. For the first time, all the presentations will be communicated with WIE to ensure the level of information and if they are appropriate for the general business community in terms of complexity and detail.
3.2 Coordinate with MFIs to invite them to present their loan products with detailed term and conditions.
3.3 Discuss with MFIs to make sure that the information on their loan products are sufficiently presented to the clients.