BRVM and AGF sign a partnership to boost SME financing
The agreement aims to promote small businesses' access to capital markets.The West African Economic and Monetary Union's stock market (BRVM) and the African Guarantee Fund (AGF) signed on Tuesday, February 3rd, a partnership agreement for the financing of small and medium-sized enterprises (SMEs).
The two institutions will pool their expertise and skills to support SMEs and companies with high potential for growth seeking funding.
Edoh Kossi Amenounvé, the general manager of the BRVM, believes this agreement will help facilitate SMEs' access to the regional financial market and allow his institution " to benefit from the African Guarantee Fund's product offering, as part of the implementation of innovative solutions to finance SMEs through the market'', APA news agency reports.
This partnership was born from the fact that SMEs often do not have access to the regional financial market, although it can be an effective way to access the funding.
The BVRM also aims to acquire a third compartment dedicated to SMEs, according to the chairman of the board of the BRVM, Gabriel Fal, who spoke during the African SME Champion Forum, on October 15, 2014 in Dakar, quoted by Abidjan.net.
The institution wants to promote SMEs' access to private investment and funding from development institutions, giving a stronger impact to initiatives designed to boost African businesses' development.