Triple Bottom Line Inclusive Finance in Latin America. Promoting Climate Smart Finance & Better Access

Sustainable agriculture
-Regional Central America-
COUNTRIES
-Regional Central America-, -Regional Latin America-
DATES
17/12/2020
TOTAL BUDGET
€ 59 150 000
TOTAL LAIF CONTRIBUTION
€ 6 050 000
SECTOR
Sustainable agriculture
TYPES OF SUPPORT
Technical Assistance
DESCRIPTION

The TIF Program will have a three-pillar framework (financial, social and environmental, known as Triple Bottom Line) and a twofold objective: downscaling financial services -being more inclusive tackling at the bottom of the pyramid- and promoting climate-smart finance. 

The TIF Program aims at bringing together the tools, actors and financing necessary to improve access to finance for low-income populations whilst reducing climate risk and vulnerability, especially in the case of smallholder farmers. More specifically, this initiative seeks to reduce climate risk in lending portfolios of Financial Service Providers and scaling up climate-smart lending, especially to urban and rural micro, medium and small-sized enterprises with no or limited access to the formal financial sector, including also small to medium and smallholder farmers.

TIF will provide support to Financial Service Providers serving MSMEs through the provision of long-term loans (Debt Facility) and customized technical assistance (Technical Assistance Fund). This technical assistance will be key in order to significantly increase the impact of the financing made available to the implementing partners by enabling targeted support in the three areas of intervention defined in TIF: social, financial and environmental, in line with the Triple Bottom Line approach.

RESULTS
  • Improving outreach in scale and depth of MSME financing.

  • Enhancing environmental risk mitigation and implementation of climate-smart practices (better quality of services from the climate change perspective), especially in agriculture.

  • Building capacities to ensure the sustainability of the action.

LEAD FINANCING PARTNER
CO-FINANCING PARTNERS
CONTRIBUTION TO SUSTAINABLE DEVELOPMENT GOALS