International Development Grant
Support to Microfinance in Benin
Project Number: CA-3-A033694001
Status: Closed
Country/Region:
Maximum Contribution: $11,720,657.00
Start Date: May 27, 2010
End Date: July 31, 2017
Duration: 7.2 years
Project Description
The project aims to enhance Benin's sustainable economic growth by offering low-income earners better access to quality microfinance services tailored to their situation. It ultimately helps reduce poverty in Benin by: (1) significantly building the operational capacities of the Faîtière des Caisses d'Épargne et de Crédit Agricole Mutuel du Bénin (FÉCÉCAM) Benin's largest savings and credit institution to provide more financial services for low income earners; (2) building the self-regulating capacities of the sector's private operators to reduce poor practices; and (3) building the Government of Benin's capacities to effectively monitor and control the sector to make small savers more secure. The project works with the sector's main stakeholders: FÉCÉCAM; microfinance professional associations (Consortium Alafia); Benin's Ministry of Economy and Finance's monitoring unit for the decentralized finance system; and Benin's Ministry of Microfinance and Youth and Women's Employment. Project activities focus on strengthening capacities of these different stakeholders through training and coaching.
Progress & Results Achieved
Results achieved until the end of the project (July 2017): (1) FÉCÉCAM is a leader among decentralized financial systems in West Africa with a total membership that reaches 1 022 311 (43% of women) compared to 593 467 members (40% of women in 2009); (2) the credit union network of FÉCÉCAM is now fully computerized and has been reconfigured from 64 to 33 certified credit unions demonstrating a higher efficiency while continuing to provide services to all communes in Benin; (3) a financial centre for entrepreneurs has been established and has served 424 borrowers including 135 women (32%); (4) the State strengthened the consolidation of the sector by doubling the budget related to this aspect and by transforming the monitoring unit for decentralized financial systems into an Agency in order to give it more autonomy in carrying out its mandate; (5) the member organizations of the professional association of decentralized financial systems saw their capacities strengthened in governance credit control internal audit and inspection in addition to benefiting from better tools to do their work; (6) the microfinance development policy document has been updated and adopted by the Council of Ministers and is now operational.
Key Information
Executing Agency:
DID - Développement international Desjardins
Reporting Organization:
Global Affairs Canada
Program:
WGM Africa
Last Modified:
September 19, 2025
Development Classifications
DAC Sector:
Aid Type: Project-type interventions
Collaboration: Bilateral
Finance Type: Aid grant excluding debt reorganisation
Selection Mechanism:
Pre-APP