cat/crowdfunding
The 2019 edition of the OECD Scoreboard on Financing SMEs and Entrepreneurs was launched in Washington D.C. by Angel Gurría, OECD Secretary-General and Mario Marcel Cullell, Governor of the Central Bank of Chile.
SME Finance Forum CEO, Matthew Gamser, recently explained why the G20 cares about financial inclusion (and has since its inception), and why SME access to finance always has been included in its work on inclusion. Gamser offered these insights at a plenary talk at the World Business Angels Investment Forum (WBAF) Ministerial Roundtable this week.
Having sufficient access to finance is an important determinant for the development of an enterprise. It is a well-known phenomenon that SMEs face different challenges when accessing finance than large scale enterprises (LSEs). LSE’s for instance, have direct access to capital markets whereas for SMEs this holds to a lesser extent or they have no access at all. Ultimately, the specific financing needs of SMEs warrant specific policy attention.
This paper focuses on key aspects of sustainable PE/VC market development and deployment.3 It discusses (1) why sustainable PE/VC is a useful tool to catalyze other types of capital to achieve sustainability objectives, (2) best practices and lessons learned from the experiences of knowledge partners, (3) the main barriers to further developing the sustainable PE/VC market, and (4) options for countries to voluntarily consider or adopt to overcome these barriers.
Washington, D.C. December 3, 2018 – JD Finance became the newest member of the SME Finance Forum, a global membership network that brings together financial institutions, technology companies, and development finance institutions to share knowledge, spur innovation, and promote the growth of SMEs.
“200 million businesses worldwide need financing to invest, grow and create new jobs. We are proud to have JD Finance join our network of 150 members who work to expand access to finance for small and medium businesses,” said Matthew Gamser, CEO of the Forum.
Global remittances are expected to rise from $468 billion in 2010 to $667 billion in 2019 along with new investment channels bringing in an extra $73 billion a year in Commonwealth countries.
Crowdfunding platforms have the potential to make a significant difference for SMEs in developing countries, however rules and regulations around crowdfunding in these countries are non-existent, according to the article.
Founded 12 years ago, CreditEase offers inclusive finance and wealth management for SMEs. The China-based fintech company provides products and services such as: payment, technology, marketplace lending, crowdfunding, robo-advisory services, insurance technology and blockchain products and services.
With a US $1.890 billion financing gap for China’s 56 million MSMEs, the need for fintechs and entrepreneurs is pertinent.
The Aspen Network of Development Entrepreneurs (ANDE) impact report on The State of the Small and Growing Business Sector (SGB), focuses on development services, donor funding and direct investments. Key insights centered around SGB investing and donor funding from the report include:
Outreach for the World Economic Forum’s fourth report involved over 150 interviews and 10 international workshop sessions, which encouraged collaborative dialogue to discuss insights and opportunities concerning fintech disruption within the financial services industry. Below are a few highlights from the report in relation to SMEs.
A SME Finance Forum member, European Investment Bank Group (EIB), announced that it will provide €18.5 million to back a joint investment fund designed to lend money to SMEs through the crowdlending platform Lendix. Funding through the European Investment Fund (EIF), this is the second deployment of EIF funds through a lending marketplace to support small businesses. The initial release came after a 2016 investment in Funding Circle of the UK. It is the first marketplace lending investment in Continental Europe.
