Intranet access
Connect with Google Log in
Or

If you don't have a LuxDev email account




I forgot my password

Help

MAE/019
Regional Programme for the Promotion of Women's Entrepreneurship - Phase II

Information

Geographical area
Latin America And Caribbean
Sector
Socio-economic development
Partner execution agency
CENPROMYPE
Implementation period
May 2021 - April 2025
Total duration
48 months
Total budget
4,418,803 EUR
Contribution breakdown
  • Luxembourg Government
    4,418,803 EUR

Mid-term evaluation

The general goal of the second phase of the "Regional Program for the Promotion of Women's Entrepreneurship in Central America and the Dominican Republic (PREFEM II)" is to contribute to the establishment of a regional environment that is favorable to the equitable participation of women within the economic fabric of the Central American Integration System (SICA) region, all under an institutional environment that fosters their economic autonomy. This objective will be achieved, among other things, on the condition that "the women entrepreneurs covered by the Micro, Small and Medium-Sized Enterprises (MSME) business development ecosystem increase their activities and their level of economic autonomy, thanks to the public and private business development services offered to them by the interlinked regional ecosystem.

The strategy to achieve the specific objective defines three results :

  • Integrate principles of equality and women's economic rights into the instruments of regional MSME regulations. To this end, a process will be developed for the participation of women entrepreneurs in the SICA region in order to collectively build an approach for women's entrepreneurship and the principle of equality in such a way as to integrate it into the SICA EMPRENDE agenda and the regional policy of MSMEs;
  • To improve women entrepreneurs' access to a range of services that reduce inequalities during the Business Development Cycle (BDC). This result will go hand in hand with the scope of business services and the implementation of a women's entrepreneurship focal area. It will improve women's access to business services in terms of quality and quantity, by strengthening staff capacity to provide financial and non-financial services while taking into account gender, environmental and climate change criteria;
  • Consolidate the institutional, organizational and individual capacities of the Regional Center for the Promotion of Micro, Small and Medium Enterprises (CENPROMYPE) for the positioning of women entrepreneurship in the SICA region. With such an outcome, it is expected that during the implementation of PREFEM II, CENPROMYPE staff will gain new capacities through the implementation of a training program on gender, environment and climate change approaches in relation to MSMEs. Another consolidation process is the installation and implementation of the Monitoring and Evaluation System (MES) that will strengthen the practice of Results-Based Management and finally, the strengthening of the digital transformation.

PREFEM II is a four-year program with a budget of 4,000,000 USD and a target population of 1,250 women entrepreneurs at various stages in their BDC, as direct beneficiaries, such as at least 50 business development service providers, 50 women managers, 250 advisors and mentors in business development services. Indirect beneficiaries are the 2,500 (new) people employed in women-led enterprises.

Latest news

  • AMÉRIQUE LATINE ET CARAÏBES - Retour sur le "Foro Región MIPYME 2024" et le lancement du Female Entrepreneurship Fund au Salvador

    Published on 25 June 2024    By Frank WOLFF   FR

    Du 19 au 21 juin 2024, une délégation luxembourgeoise a participé au Foro Región MIPYME 2024 à San Salvador.

    Ce forum, soutenu par la Coopération luxembourgeoise via le programme régional pour la promotion de l’entrepreneuriat des femmes - phase II (PREFEM) a réuni des acteurs-clés du secteur public, privé et académique de l’Amérique centrale et de la République dominicaine. Il a abordé trois thèmes stratégiques pour le développement des micro-, petites et moyennes entreprises (MPME) dans la région : l'échange commercial, l'accès au financement et l'amélioration de la productivité. Deux thèmes transversaux ont également été discutés : l'entrepreneuriat féminin et la transformation numérique.

    Le forum a été organisé par le CENPROMYPE (Centre régional de promotion des MPME), une organisation créée en juin 2001 dans le cadre du Système d'intégration centraméricain (SICA). Son objectif général est de contribuer au développement productif des MPME et d'améliorer la qualité de vie et l'emploi des personnes qui y travaillent.

    La Coopération luxembourgeoise, représentée par M. Charles SCHMIT, chargé d’affaires e.p. de l’Ambassade du Luxembourg au Costa Rica, a été mise à l'honneur lors de cet événement, notamment lors de la cérémonie officielle de lancement régional du Female Entrepreneurship Fund (FEF). Ce fonds d'impact luxembourgeois, conçu dans le cadre du PREFEM et financé par le ministère des Affaires étrangères et européennes, de la Défense, de la Coopération et du Commerce extérieur, vise à soutenir les MPME dirigées par des femmes dans la région du SICA. Fruit d'un partenariat multipartite, le FEF a été lancé au Luxembourg lors d'un événement organisé par IforD.

    LuxDev était quant à elle représentée par Thierry GIRARD, chargé de programmes au Salvador, Francesca RANDAZZO, experte en finance durable et inclusive, Frank WOLFF, représentant résident pour l’Amérique latine et les Caraïbes, ainsi que par l'équipe locale du PREFEM.

    Le programme régional pour la promotion de l’entrepreneuriat des femmes - phase II est financé par le Grand-Duché de Luxembourg et mis en oeuvre par LuxDev, l'agence luxembourgeoise pour la Coopération au développement et CENPROMYPE.

    Copyright photos : CENPROMYPE

  • An impact fund to support women entrepreneurs in Central America

    Published on 6 June 2024    By Jeanne RENAULD   EN

    On Friday 24 May 2024, the Female Entrepreneurship Fund (FEF) was launched at an event organised by IforD in Luxembourg. As a result of a multi-stakeholder partnership, this blended finance impact fund is helping to shape the future of female entrepreneurship in Central America by improving the financial inclusion of small and medium-sized enterprises (SMEs) run by women.

    The FEF was created as part of the Regional Programme for the Promotion of Women's Entrepreneurship in Central America, financed by the Ministry of Foreign and European Affairs, Defence, Development Cooperation and Foreign Trade (MFA) and implemented by LuxDev, the Luxembourg Development Cooperation Agency, and CENPROMYPE, the Centre for the Promotion of Micro, Small and Medium-sized Enterprises of the Central American Integration System (SICA). Luxembourg’s Development Cooperation has chosen to invest four million euros in the FEF, to incentivize the private sector to contribute more systematically and strategically to its development objectives.

    “Ensuring financial inclusion of female entrepreneurs in Central America is essential for catalyzing economic development and achieving the Sustainable Development Goals, as it enhances innovation, alleviates poverty, and advances gender equality. This is where the FEF will come in, which is why we, in line with our current projects in Central America, have decided to provide the initial sponsorship and the concept for setting up the technical assistance programme through LuxDev, our implementing agency", emphasises Christophe SCHILTZ, Director for Development Cooperation and Humanitarian Affairs.

    "CENPROMYPE and the Grand Duchy of Luxembourg have been working together on female entrepreneurship since 2018. The launch of the FEF is one more step in the consolidation of this strategic alliance in favour of women entrepreneurs in the SICA region", adds David CABRERA, Managing Director of CENPROMYPE.

    Promoting the economic autonomy of women entrepreneurs

    The FEF aims to strengthen the financial inclusion of women entrepreneurs and improve their access to financial products and services, enabling them to seize more market opportunities and thereby contribute to the region's development. In Central America, SMEs run by women are sorely lacking access to finance tailored to their needs and face a series of obstacles linked to the social and cultural biases that persist in the region. "The FEF is a key element in changing the way in which local financial institutions approach and assess the risks of women-led SMEs, thereby increasing the number and volume of loans and the amount of credit granted to them", explains Manuel TONNAR, Director General of LuxDev.

    Alongside the fund, a technical assistance programme will be set up. Its aim is to support the financial institutions in which the FEF invests, as well as the women-led SMEs that are clients of these institutions. By combining financial and technical support, the purpose is to demonstrate that it is possible to innovate, as a financial institution, to include the women-led SMEs segment in the investment portfolio, without damaging it. By combining financial and technical support, the purpose is to demonstrate that it is possible to innovate, as a financial institution, to include the women-led SMEs segment in the investment portfolio, without damaging it.

     

    CENPROMYPE promoter

    With its in-depth knowledge of the challenges faced by SMEs, the factors that determine their growth and the specific issues affecting women-led businesses, CENPROMYPE has positioned itself as a promoter of the FEF. "With a desire to build bridges between women-led businesses and the financial ecosystem, we identified the need to create a financial vehicle that would provide a sustainable response to the lack of funding for women entrepreneurs", David CABRERA points out.

    A first for LuxDev

    LuxDev, for its part, supported CENPROMYPE in the reflections that led to the structuring of the FEF. "LuxDev has already been involved in the management of a technical assistance facility for an impact fund. However, this is the first time we have contributed to the process of setting up a fund", emphasises Manuel TONNAR.

    A Luxembourg-regulated fund

    From a technical point of view, the FEF is part of SICAV IforD, a public limited company incorporated as an alternative investment fund, regulated in Luxembourg, and benefiting from the European passport. IforD's structure was particularly useful in setting the FEF up. In an increasingly complex regulatory environment, it is becoming more and more complicated for small funds such as the FEF to function alone. IforD, through its umbrella fund platform, offers a solution to navigate this environment. As funds and the ideas behind them grow, they can evolve into their own legal form. "IforD does not offer this as a service to the impact fund market but will actively involve itself in a select project where it can actively contribute. This is the case for FEF and we are excited to play our part in the development of the fund", says Kaspar WANSLEBEN, Director of Asset Servicing at iForD.

    Convincing other investors to join the fund

    As investment advisor, Total Impact Capital is responsible for identifying potential financial intermediaries in which the FEF could invest and for monitoring those in which it has invested. Using its knowledge of local financial institutions, Total Impact Capital will identify the banks, credit cooperatives and microfinance institutions best suited to increase access to credit for women-owned and led SMEs. It will then assess their ability to take on financing from FEF and structure the financing in the most appropriate way. Once a loan has been disbursed, it will monitor its performance, ensuring that the funding increases access to credit for women-owned and led SMEs and that it does so in a financially sustainable way.

    For the time being, LuxDev, on behalf of the MFA, is the anchor investor. "We expect other official donors and private foundations to join LuxDev in the most concessional tranche of capital. We then expect impact investors committed to the region to provide the commercial equity and debt capital", concludes John SIMON, Founder and Managing Partner of Total Impact Capital.