ADA leverages inclusive finance to improve the living conditions of vulnerable populations
ADA focuses on supporting young entrepreneurs, strengthening agricultural and forestry value chains and giving vulnerable households access to basic services.
Supporting young entrepreneurs
ADA helps young entrepreneurs to develop their entrepreneurial skills with tailored financing solutions and capacity building to help them overcome obstacles such as limited access to funding, lack of management tools and skills as well as constrained market access.
ADA's programmes facilitate the development of:
- innovative financial services, which are tailored to the needs of young entrepreneurs, such as revenue-based loans (a loan whose repayment schedule is based on the enterprise’s turnover or cash flow), guarantees (individual, joint or portfolio-based), medium-term loans (3-4 years) to enable the financing of equipment, etc.
- non-financial support services for young people in formal and informal sectors which may take the form of group training or individual coaching by appropriate providers such as business incubators. These services strengthen the entrepreneurial and managerial skills of young entrepreneurs to enable them to manage their business and present its potential and viability to funders and to better identify market opportunities to sell their products and services.
Strengthening agricultural and forestry value chains
To secure the economic resources of small, family-run farms in a sustainable manner, ADA combines tailored funding with a strengthening of producers' technical and managerial capacities, as well as with improved access to high-quality inputs and markets.
- Facilitate the development of, access to and use of appropriate financial services (loans, insurance, guarantee mechanisms, etc.) for small, family-run farms and forestry businesses.
- Promote agro-ecological and climate-smart production techniques to favour the adoption of production practices which are both sustainable and climate change resilient.
- Foster partnerships which favour market access for small farmers, both for purchasing quality inputs and for marketing their production at prices which ensure a fair return.
Facilitating access to basic services
ADA aims to make vulnerable households more autonomous, especially those with limited access to basic services such as water and energy. To this end, ADA identifies specialised partners for the provision of access to basic services and carries out awareness-raising activities, whilst at the same time developing appropriate and tailored financing solutions.
- develop tailored financing solutions to ensure that vulnerable households have easier access to basic services to meet their basic needs and create economic opportunities.
- facilitate access to health services, housing, water/sanitation or education through the identification of specialised partners (equipment suppliers, specialised NGOs, etc.) which are well established in their area of intervention, by proposing sustainable and affordable solutions as part of the local economic fabric which enables them to make their solutions widely available.
- raise awareness and train households regarding the added value of efficient and sustainable basic services, such as equipment powered by renewable energy, water efficient sanitation and water systems, etc.