The SDF engages in the provision of capital to intermediaries for onward lending to end-users in need of seed capital, or capital for expanding their businesses.

Our financial solutions include Short and Medium/Long-term finance. While delivering services to its designated clients the SDF expands its operations in such a way as to maintain a dominant presence in the country’s Microfinance sub-sector.

The SDF directs its wholesale lending operations to prudently managed intermediaries that are categorized into three main groups with different approaches and different conditions applying to each category as follows:

Category 1: MFIs, FNGO, NACCUG & NBFIs

Features:

  1. Easy loan application process
  2. Maximum loan size GMD20 million
  3. Most affordable and efficient fixed interest rate
  4. Fixed quarterly payments for principal and interest
  5. Maturity, 1 -2 years
  6. Monthly monitoring

Documentation required:

  1. Audited statements from previous three years
  2. Loan portfolio quality report
  3. Detail reports of all previous loans from the SDF and other agencies
  4. Detailed report of any problems that occurred in previous contracts including default rates if any
  5. Detailed report of current end borrowers
  1. Evidence of solid corporate governance structure at Board and operational management level
  2. Evidence of internal control system

Category 2: VISACA, Individual Credit Unions

Features:

  1. Easy loan application process
  2. Maximum loan size GMD5, 000, 000.00
  3. Most affordable and efficient fixed interest rate
  4. Fixed monthly/quarterly payments for principal and interest
  5. Maturity, 12 months;
  6. Monthly monitoring

Documentation required:

  1. Account statements for the previous three year
  2. Loan portfolio quality report
  3. Detailed reports of all previous loans from the SDF and other agencies
  4. Detailed report of any problems that occurred in previous contracts including default rates if any
  5. Solid corporate governance structure at Board and operational management level;
  6. Evidence of bank account with at least 2 signatories
  7. Detailed report of current end borrowers.

 

Category 3: CBOs, Kafoo, Associations

Features:

  1. Easy loan application process
  2. Maximum loan size GMD3, 000, 000
  3. Most affordable and efficient fixed interest rate
  4. Fixed monthly/quarterly payments for principal and interest
  5. Maturity, 12 to 18 months
  6. Monthly monitoring
  • Documentation required:
  1. Account statements from previous year
  2. Loan portfolio quality report
  3. Detailed reports of all previous loans from the SDF and other agencies
  4. Detailed report of any problems that occurred in previous contracts including default rates if any
  5. Clear governance and operational management structure with well-defined roles;
  6. Evidence of having been legally constituted and engaged in an economic activity for a period of not less than 1 year
  7. Evidence of corporate bank account with at least two signatories
  8. A track record of micro lending covering at least 1 year
  9. Detailed report of current end borrowers

 

  1. Non-Financial Services:

The SDF offers the following non-financial services:

  1. Provision of basic business and entrepreneurship training for end borrowers
  2. Institutional capacity building support for intermediaries

The provision of non-financial services is subject to the availability of grant funds.