- Active: Active
- Region: Latin America
- Country: Nicaragua
- Sector: Microfinance
- Year: 2013
- Domicile: Nicaragua
- Instrument: Equity and loan
- Commitment (MNOK) as of 31.12.2019: 91.2
- Original Commitment (MNOK): 131.9
Fondo de Desarrollo Local (FDL) began its operations in 1992 as a unit of the research and development department at a local university. In its early years, FDL operated mainly as a second floor financial institution and in 1997 it restructured as an MFI providing loans directly. Today, FDL is a strong MFI that has emerged as a leader in the Nicaraguan Microfinance sector. Norfund's investment provides much needed capital for the institution to continue increasing its customer base and providing more products within the sector and becoming a regulated institution.
Financiera Fondo de Desarrollo Local (FDL) is the leading microfinance institution in Nicaragua. FDL began its operations in 1992 as an NGO to later emerge as a well functioning Nicaraguan microfinance institution. Its mandate is to provide financial services to micro and small enterprises in both rural and urban settings.
Norfund owns close to 11% of the company. As Norfund provides equity to FDL, this mobilizes more capital on the debt side of the business as it provides comfort to lenders.