Founded in 2004 in Oaxaca, one of Mexico’s poorest and most diverse states, SOFIPA has become a notable player in the country’s South Pacific region. Operating as a non-regulated, non-deposit-taking microfinance institution (MFI) since 2016, SOFIPA has steadily expanded its reach. Today, it serves 57,000 borrowers through a network of 72 branches across eight Mexican states, with a gross loan portfolio of nearly USD 40 million.
Group and individual loans
SOFIPA’s mission is clear: to improve family livelihoods via accessible and innovative financial solutions. SOFIPA offers both group and individual loans. With a modest average loan size, the MFI ensures support for small businesses and entrepreneurs. Clients are offered the chance to purchase goods, remodel or expand their businesses, and acquire fixed assets to increase production and sales. SOFIPA also offers valuable financial education that allows clients to prevent over indebtedness and enhance their skills in managing their business and personal finances.
Recognised for social responsibility and gender equality
The institution’s impact is far-reaching. Over its two-decade history, SOFIPA has issued more than 1.1 million loans. Its client base is predominantly rural (83%), with 62% living below the poverty line and 14% in extreme poverty. Remarkably, 32% of clients previously lacked access to any financial services and gender inclusion is a core focus - 90% of borrowers are women.
SOFIPA’s commitment to social responsibility and gender equality is widely recognised. It has endorsed the Client Protection Principles pathway and has received the gold certification in Client Protection. Other accolades include the WEPS certification, adhering to the Women’s Empowerment Principles, the Socially Responsible Company stamp from the Mexican Centre of Philanthropy and the GIF certification for corporate governance.
Finance by Triodos Investment Management
The EUR 4 million senior debt facility is being provided through Triodos Microfinance Fund and Triodos Fair Share Fund. With this transaction, we further diversify and strengthen our financial inclusion portfolio in Latin America.
