In order to support Very Small Enterprises (VSE), Small and Medium Enterprises (SME) and Intermediate Size Enterprises (ETI), the Ivorian SME Credit Guarantee Company (SGPME) and Orange Bank Africa (OBA) have joined forces. This union resulted in the signing of 2 agreements worth 17 billion CFA francs. The mechanism is based on partial portfolio guarantees, a risk sharing system between SGPME and its new banking partner. The first agreement, endowed with 5 billion FCFA, is based on the French Choose Africa initiative, supported by the French Development Agency (AFD). It targets sectors considered priorities for the Ivorian economy such as hotels, restaurants, cafes, tourism, transport, financial services, technologies, agriculture and crafts. The second, more substantial with 12 billion FCFA, is part of the window dedicated to micro, small and medium enterprises (MSMEs) and benefits from the support of the World Bank Group. It targets all eligible SMEs carrying out a legal activity, without sectoral restrictions.

In both systems, a specific envelope is reserved for female entrepreneurship, an area that the SGPME highlights to broaden financial inclusion. According to the management of SGPME, the guarantee granted to credits granted by Orange Bank Africa can reach a minimum level of 50% up to 70%, which will thus significantly signify the risk perceived by the digital bank. This partnership allows SGPME to expand its network of partner financial institutions while pursuing its primary mission which is to facilitate access to credit for Ivorian VSEs, SMEs and ETIs by sharing the risk with the banks. For Orange Bank Africa, a 100% digital bank based in Abidjan, this agreement confirms its ambition to position itself as a key player in financing small businesses in Ivory Coast.

Ultimately, this double agreement illustrates the convergence of public and private efforts, Ivorian and international, to loosen the grip of credit which still weighs on the entrepreneurial fabric national.