With much of the population under-employed and a significant portion living below the poverty line, Nicaraguans have had to rely heavily on foreign assistance. The resulting burden of debt continues to threaten one of Western Hemisphere’s poorest economies. Formal financial services in the country have an extremely limited reach, with less than a fifth of the population holding a bank account of any kind.
With the help of Accion, Financiera FAMA was established and made its first loans in 1992. Since then, we have continued to provide technical assistance to FAMA in the areas of financial methodology, institutional development and human resources. In 2006, Accion helped FAMA become a regulated financial institution. FAMA now offers a full range of tailored financial products and services, including remittances and housing loans, to over 30,000 microentrepreneurs.