CABEI, the European Union, and the Government of Germany will finance 50 enterprises and MSMEs in Honduras with seed capital

Article originally published on CABEI's website on 20/05/2025. The European Union through LACIF contributes to the DINAMICA II Initiative through an investment grant and technical assistance.

The DINAMICA II Initiative—a tripartite alliance between CABEI, the Government of Germany, through KfW, and the European Union—will allocate approximately US$650,000 in non-reimbursable funds to promote projects focused on green and digital transition.

A total of 50 Honduran enterprises and MSMEs with high growth potential have been selected as beneficiaries of the Regional Seed Capital Program, promoted by the DINAMICA II Initiative.

The non-reimbursable funds, amounting to US$648,219.00, will be allocated to projects focusing on green and digital transition in key sectors such as services, industry, and agriculture. The proposals cover topics such as sustainable agriculture, technological tools, digital financial services, and cultural products, integrating energy efficiency, digitization, and the circular economy. One of the program's strengths has been its commitment to inclusion, reflected in the fact that nearly 50% of the projects supported are led by women.

The seed capital was awarded in response to a regional call for proposals that attracted business proposals from throughout Central America, Panama, and the Dominican Republic. Participants sought resources and guidance to promote their ideas and initiatives. In Honduras, the process was supported by CDEMIPYME Lempa Region and the UTH Avanza Innovation Center of the Technological University of Honduras (UTH).

During a symbolic award ceremony, CABEI Executive President Gisela Sánchez congratulated the seed capital winners, urging them to move forward with their projects with enthusiasm and determination. “Each of these projects is a key opportunity for the sustainable development of Honduras. We congratulate the winners for their vision and invite them to continue promoting innovative initiatives that foster the green and digital future of our communities,” she emphasized.

Along the same lines, Mr. Gonzalo Fournier Conde, Ambassador of the European Union in Honduras, highlighted:

“We are delighted that this important European Union project is producing such positive results in Honduras and the Central American region. Through this joint initiative with our partners CABEI and KfW, many jobs have been created, and the capacities of micro-, small-, and medium-sized enterprises have been strengthened to promote their products and services from a green and digital perspective. The experience gained will be expanded and reinforced through the initiatives of the Global Gateway investment agenda that the EU is promoting for climate resilience in Lake Yojoa and the El Tablón dam.”

Today, we celebrate a concrete example of effective and high-impact cooperation. Through KfW, Germany reaffirms its commitment to sustainable development in Central America by investing in entrepreneurial talent and the green economy. We trust micro-, small-, and medium-sized enterprises as a key driver of inclusive growth. Thanks to close cooperation with CABEI and the European Union, 50 Honduran projects are now receiving seed capital to turn good ideas into sustainable realities. And we are looking ahead: Germany will continue to work 

hand in hand with CABEI to strengthen the MSME sector in the region.”

During the event, the beneficiaries expressed their gratitude for the support received, highlighting the fundamental role that seed capital plays in strengthening their businesses, allowing them to move forward with greater opportunities toward sustainability and positioning their products in the market. Julia Elena Rivera, entrepreneur and founder of Elena’s Manjar, emphasized: “Being selected as a beneficiary is a boost and a vote of confidence that allows us to look to the future with eyes full of renewed, tangible hope. This seed capital is not just financing, it is a catapult that propels us forward and shortens distances that we saw as far away. It allows us to expand our production and consolidate our Juillet Salsa as a benchmark brand for flavor and quality.”

Meanwhile, José Roberto Fuentes, director of Promkt—a digital agency that supports entrepreneurs and businesses in growing their sales—said: “This seed capital is not just financial backing, it is a lever that allows us to scale, formalize, and strengthen our businesses, because when an entrepreneur progresses, not only does their story change, but so does that of their family, their neighborhood, their city, and their country. Thank you for believing in us. Thank you for betting on entrepreneurship as an engine of development.”

The DINAMICA II Initiative, through its Regional Seed Capital Program, has also benefited entrepreneurs and MSMEs in Guatemala, El Salvador, Nicaragua, Costa Rica, Panama, and the Dominican Republic, granting more than US$6.2 million throughout the region.