Microserfin and IICA have signed an agreement to strengthen financing for the agricultural sector in Panama. The agreement will focus on climate resilience and the digitalization of agricultural micro-entrepreneurs to boost rural productivity in Panama. The project will integrate Microserfin's financial offerings, an entity of the BBVA Microfinance Foundation, with the technical support, innovation, and digitalization processes led by IICA in Panama. Panama's primary sector currently faces a significant structural challenge, as it captures only 3% of the global credit in the banking system. Of this group, over 33% are women, who play a fundamental role in the nation's food security. Miguel Ángel Arvelo, IICA's representative for Panama, explained that through this cooperation, the aim is to strengthen the financial and digital capabilities of rural micro-entrepreneurs, providing them with tools to innovate and contribute to the sustainable development of the industry. In terms of productive impact and sustainability, Edison Mejía Ardila, General Manager of Microserfin, pointed out in the institution's impact report that microcredit acts as a multiplier for vulnerable populations. This initiative focuses on expanding financing to the agricultural sector and promoting more resilient production models nationwide. The strategic collaboration aims to maximize development opportunities for family farming, which represents over 80% of the rural productive force in the country according to FAO data. Faced with this scenario, Microserfin maintains a portfolio where 30% of its entrepreneurs belong to the agricultural sector. According to the entity's records, financed entrepreneurs managed to increase their sales by 20% and their surpluses by 14%. Mejía Ardila emphasized that with the technical support of IICA, the goal is to scale these results by facilitating practices that improve competitiveness through an ecosystem that includes financial education and micro-insurance. The alliance reaffirms the commitment of both organizations to the Sustainable Development Goals, focusing on poverty reduction, gender equality, and climate action to transform the living conditions of rural Panamanian families.
