Visa Joins Forces with IFC on $200M Risk-Sharing Initiative
Visa has entered into a $200 million risk-sharing initiative with the International Finance Corporation (IFC), a member of the World Bank Group. The partnership aims to provide financing for small and medium-sized enterprises (SMEs) in emerging markets, promoting financial inclusion and economic growth.
The IFC will invest $100 million in this joint effort, while Visa will contribute $50 million. Additionally, the two parties have agreed to share the risk of loan defaults, with Visa covering up to 20% of losses.
This move reflects Visa's strategy to expand its presence in emerging markets and support local economic development. The partnership also highlights the IFC's commitment to promoting financial inclusion through innovative partnerships.