IILD is in the final stages of preparation for the establishment of a special-purpose vehicle for delivery of financial services under the microfinance platform of the institute’s flagship programme (THEMP).
The SPV will operate as a rural finance ecosystem-facilitating microfinance institution whose features will include a private credit bureau that keeps track of transaction histories and nature and quantity of demand; savings groups; capacity development of representative associations, regulatory authorities, project implementers and beneficiaries; agribusiness advisory; credit; and insurance.
The platform will establish group lending branches that will cater to local farmers, primary processors and other chain actors, especially women, with the objective of improving their capacity to produce to the quality and quantity requirements of specific markets.
The profit from the microfinance institution will go to grants in the health and education platforms under THEMP to implement interventions that will be derived through participatory approaches in the beneficiary communities.
The objectives of THEMP are poverty alleviation and regional growth. The programme will be implemented in an initial 12 countries in sub-Saharan Africa, starting in Nigeria in the 18 states of Abia, Adamawa, Akwa Ibom, Bauchi, Enugu, Imo, Kano, Katsina, Kebbi, Kogi, Kwara, Niger, Ogun, Ondo, Osun, Oyo, Plateau and Sokoto.