SOFIPA – MEXICO
.
SOFIPA was created in 2004 as a savings and credit cooperative by the initiative of a group of young entrepreneurs engaged in the fight against unemployment and youth migration to the USA. They are in 4 of the 5 poorest Mexican’s states (Oaxaca, Guerrero, Puebla and Michoacan) where over 60% of the population lives below the poverty line.
97% of SOFIPA’s portfolio is disbursed according to the community bank methodology with groups of 8 to 30 people. The average disbursed credit is EUR 345. The MFI also offers: life insurance to its clients via an agreement with the local insurance company ASERTA; financial education sessions; and various initiatives towards the community.
Their experience shows that they have a proactive management and that they are able to face challenges and potential contextual changes. The MFI has a great potential for growth and expansion, and the introduction of individual loans could be a competitive advantage compared to the competition.
SOFIPA targets micro-entrepreneurs and individual entrepreneurs. The MFI finances more than 30,420 micro-entrepreneurs (of which 98.8% are women) through its 30 agencies, 81% of whom live in rural areas.
SOFIPA represents an MFI with a good growth potential and has a profile in line with LMDF vision and mission.
More information about SOFIPA: http://www.sofipa.org.mx/
