Microfinance activities: the 30th coordination session advocates sustainable financing

The National Microfinance Fund (Fonamif), in partnership with the association of professionals of microfinance institutions (Apim) and German cooperation (Giz), organized on October 1, in Dakar, the 30th session of the national committee for coordinating microfinance activities (Cnc).

The Minister of Microfinance and the Social and Solidarity Economy, Dr Alioune Dione, chaired this Thursday the 3rd thematic session of the National Committee for the Coordination of Microfinance Activities. Placed under the theme: “Microfinance facing the challenges of mobilizing sustainable financing”, the meeting brought together all the actors and stakeholders of the sector around the issues linked to access to sustainable financing. This activity takes place in a context marked in particular by the entry into force of law n•2025-4 of February 16, 2025 and by the emergence of new sustainable financing mechanisms. According to Dr Alioune Dione, Microfinance is a pillar of financial inclusion and financing of our economy. Still in his opinion, the figures speak for themselves, because microfinance institutions serve more than 4.7 members and clients, with outstanding distributed credits of around 849.9 billion CFA francs and outstanding savings of around 634.7 billion and equity estimated at 230.6 billion.

“These performances place Senegal at the forefront of Microfinance in the UEMOA area with 15.5% of the union’s accounts,” said the minister. However, he did not hide the fact that the sector is encountering difficulties with overdue debts which constitute 6.0% of outstanding credit, still higher than the prudential standard of 3%. The minister also recalled the need for compliance among stakeholders to establish a more solid, more transparent and safer sector. » You are aware that at the same time, the global financial environment has changed and that subsidies and subsidized credit lines are being ratified, in addition to the fact that access to long-term resources still comes up against heavy legal constraints. Financial viability becomes a condition of survival,” said Dr. Dione. However, he welcomed the new instruments that are emerging. This is green and climate finance, social bonds, local refinancing, partial portfolio guarantees. Continuing, the minister stressed that the theme of the day calls for securing stable, diversified and adapted resources and reconciling the social mission and financial inclusion with long-term economic viability while remaining respectful of environmental protection.

Djibril NDIAYE