A solution to manage impact data for the financial inclusion sector in Central America and the Dominican Republic

The Central American Microfinance Network (REDCAMIF) and ADA are implementing a project to strengthen the transparency and facilitate the collection of impact data within the inclusive finance sector in partnership with ONU Mujeres, Prodel and Working Capital for Community Needs (WCCN).   

To achieve this, ADA is supporting the creation of the mobile application that enables Financial Service Providers (FSPs) to systematically collect and analyse impact data at institutional and client level. The indicators in the app include access to basic services, health, employment, education, women’s economic empowerment, climate resilience and mitigation.  

The FSP’s field staff will collect the impact data through the app at the beginning of every credit cycle, instead of collecting the information only from a sample of clients as it is usually made. Thanks to regular updates on the impact of their activities, FSPs will be able to track the changes per client and tailor products and services to the real and specific needs of the population they serve. They will also be able to make strategic decisions based on quantifiable data and will automatically share information not only with REDCAMIF and their peers but also with the key players in the inclusive finance ecosystem such as strategic partners, investors and funders who are requesting more impact data.  

To test the app, nine pilot projects will be put in place with FSPs in the region starting this year: three in Nicaragua, by Financiera FDL, Fundenuse and MiCrédito; two in Honduras with ODEF and Adelante; two in Guatemala with Coopedel and FFDL, and two in El Salvador with Padecom Credito and Credicampo.