The Social Entrepreneurship Program (SEP) provides financing through local partner organizations to individuals and groups that generally do not have access to commercial or development loans on regular market terms.
Under the program, the Bank provides loans and grants to private, non-profit and local or regional government organizations that provide financial, business, social and community development services to disadvantaged populations.
The SEP provides approximately $10 million in financing each year to projects in 26 Latin American and Caribbean countries.
Types of Projects
The SEP supports projects that finance entrepreneurial solutions to poverty through two main areas or types of projects:
- Finance and Rural Business (including production, processing, marketing and value chains). These projects target rural micro and small producers from marginalized communities, with the purpose of providing:
(a) access to finance with the support of innovative financing mechanisms; and (b) access to national and international markets through value chains that link small scale enterprises with larger ones.
- Provision of Basic Services (including support to private alternative providers of education, health, potable water, electric and/or renewable energy, among others). The projects to be financed are pilot initiatives, and social projects with business approaches that can be scaled up, thus providing a demonstration effect in providing basic services.