A partnership between the Foundation and CA Romania to support microfinance

©Philippe Lissac

The Grameen Crédit Agricole Foundation and Crédit Agricole Romania have signed a partnership to support Romanian microfinance institutions that serve people excluded from the traditional banking system.

Through this partnership, CA Romania will finance the country's microfinance institutions. The Grameen Crédit Agricole Foundation will provide its expertise in the microfinance sector and guarantee the loans granted by CA Romania. This cooperation scheme will help multiply the Foundation's impact and consolidate CA Romania's work in the areas of entrepreneurship and social development.

"After Egypt, India and Morocco, we are establishing a new cooperation agreement with a Group entity, Crédit Agricole Romania. This partnership fits perfectly with the Group's project, which integrates the societal dimension, in this case supporting low-income people, at the heart of development activities," says Eric Campos, General Delegate of the Foundation and Director of CSR at Crédit Agricole SA.

With this partnership, the Foundation strengthens its position as one of the leading players in the sector in the region, while strengthening its ties with the various entities of the Group.

"Our goal in the Romanian market is to strengthen our presence in agricultural financing and contribute to economic and social development by leveraging our group's expertise. This partnership provides tremendous support for achieving these goals," said Luc Beiso, Managing Director of CA Romania.

The first microfinance institution to receive the loan is Vitas Romania, which received a €1.5 million loan, guaranteed up to €100 million by the Foundation. Founded in 1996 by the American NGO CHF International, Vitas offers financial products and services to support the development of income-generating activities. The institution has 1,772 active borrowers, of whom 451 are women and 451 live in rural areas. It manages a portfolio of €14.1 million and operates in western Romania through a network of nine branches, with its head office located in Timisoara.