Accion, a leading non-profit organization dedicated to creating a more equitable and inclusive financial system, has launched the Accion Digital Transformation Fund. This $152.5 million fund will provide critical growth capital and strategic support to established financial institutions, primarily microfinance banks, enabling them to better serve underserved populations in emerging markets, including Africa, South Asia, and Latin America.
Recognizing the limitations of traditional financial systems in reaching underserved communities, Accion aims to empower financial institutions to leverage technology and innovate their service offerings. The fund will prioritize investments in institutions that demonstrate a strong commitment to serving micro, small, and medium-sized enterprises (MSMEs), particularly in rural areas where access to financial services remains limited.
The Accion Digital Transformation Fund will invest in 10-12 select financial institutions, providing equity investments ranging from $12 million to $15 million. This strategic approach will enable these institutions to strengthen their digital capabilities, expand their reach, and better serve the needs of their customers.
This latest initiative builds upon Accion’s long history of supporting financial inclusion. The organization has a proven track record of success through its Accion Venture Lab, which has invested in over 65 early-stage fintech startups across the globe, including notable African companies such as Apollo Agriculture and Lulalend.
By investing in and supporting established financial institutions, the Accion Digital Transformation Fund aims to drive significant positive impact by expanding access to finance, fostering economic growth, and improving the lives of millions of people in underserved communities across the globe.
