IDB Invest and JICA signed a financing agreement of up to US$20 million with Banco Solidario S.A. to facilitate access to resources for women microentrepreneurs in Ecuador.

 The financing consists of a senior loan of up to $10 million from IDB Invest, which includes a parallel loan of up to $10 million from the Japan International Cooperation Agency (JICA).

The financing will be used to boost the growth of Banco Solidario’s loan portfolio for women-owned microenterprises. Achieving greater financial inclusion with a focus on women is key to expanding access to resources, strengthening operations, and generating employment. These microenterprises contribute to the country’s economic growth as well as create opportunities and promote financial autonomy.

The project also includes technical advisory services, with IDB Invest supporting Banco Solidario in strengthening its credit impact collection and reporting by enhancing its information gathering and monitoring systems.

“IDB Invest’s participation reaffirms our commitment to promoting sustainable economic growth in Ecuador, where Banco Solidario is one of our key strategic partners. Together, we are making a meaningful impact by expanding access to financing for microenterprises, helping drive economic development and job creation,” said Marisela Alvarenga, Managing Director and Chief of the Financial Sector Division at IDB Invest.

Edison Viteri, General Manager of Banco Solidario, stated that “Banco Solidario’s commitment to inclusion is a substantial part of who we are. Working with women from vulnerable sectors is especially important given the disparity that still exists in the country and the significant number of women who are heads of household. Including women socially and financially has a multiplier impact on families and their empowerment in other areas of their lives. In line with this approach, today 62% of the clients we include in the financial system for the first time are women. We thank IDB Invest and JICA for helping us build a more inclusive and equitable Ecuador.”

“We are excited about the opportunity to work with a prestigious partner like Banco Solidario S.A., which has built a sophisticated business with a significant track record in the financial inclusion of vulnerable populations, including women, youth, and migrants. We hope to deepen our collaboration through this transaction and foster a positive impact on financial inclusion, thereby improving the livelihoods of vulnerable people and reducing inequality and poverty in society in the coming years,” said Takehiro Yasui, Director General of JICA’s Private Sector Partnerships and Finance Department.