CAF and Mastercard Join Forces to Expand Access to Finance for across Latin America and the Caribbean

Through the Mastercard Center for Inclusive Growth, the collaboration will direct financing and technical support to micro, small and medium enterprises (MSMEs), with a focus on women-led businesses, underserved communities and climate action.

CAF –development bank of Latin America and the Caribbean– and the Mastercard Center for Inclusive Growth (the Center), today announced a partnership to support access to credit for micro, small and medium enterprises (MSMEs) across the region. The parties will identify opportunities to co-finance initiatives that strengthen MSMEs’ growth in the region.

Under the agreement, CAF will explore facilitating access to credit for MSMEs by financing banks, non-bank financial institutions and digital lenders in Latin America and the Caribbean, with an aspirational target of approximately USD 100 million over four years. In parallel, the Center will provide complementary support to further strengthen the MSME ecosystem.

“Latin America and the Caribbean is home to more than 27 million formal MSMEs, which generate the majority of employment in the region. Yet, access to credit remains one of the most persistent barriers to their growth, representing one of the main obstacles to the region’s competitiveness. This partnership brings together the financing capacity of a multilateral development bank with the technological expertise and innovation of a global leader in digital payments to help close that gap. By combining credit facilities with targeted grants and technical assistance, we aim to reach the entrepreneurs who need it most — particularly women-led businesses and those driving the transition toward more sustainable economies and a more competitive region,” stated Sergio Díaz-Granados, Executive President of CAF.

Shamina Singh, founder and president of the Mastercard Center for Inclusive Growth, remarked, "Through our Mastercard Strive small business program, we have reached more than 19 million small business owners who tell us time and again that they require capital to maintain and grow their core business while protecting against cyberattacks. This partnership will unlock critical financial resources aligned with Mastercard's global commitment to connect and protect 500 million people and small businesses on their path to financial health."

The collaboration places special emphasis on women-owned and women-led MSMEs, underserved enterprises and climate finance. Initial priority countries may include Colombia, Peru, Panama, Ecuador, Chile and El Salvador, with the possibility of expanding to additional CAF member countries.

The agreement was formally announced during the Global Inclusive Growth Forum, hosted by the Mastercard Center for Inclusive Growth, which is held annually during the IMF and World Bank Spring Meetings in Washington D.C. The Forum convenes senior leaders from the public sector, private sector, civil society and multilateral institutions to explore pathways for small business growth, digital transformation and sustainability.