Access to financing
In developing countries, it is often difficult for companies and SMEs in particular to obtain financing. Despite their great growth potential, many of them face financial constraints. That is why SECO works to promote access to financing for companies so they can invest, tap into new markets, grow and create decent employment opportunities.
SECO pursues various approaches to achieve these goals:
Providing capital
SECO provides capital to companies through the Swiss Investment Fund for Emerging Markets (SIFEM), the development finance institution of the Swiss Confederation, and through the SECO Start-up Fund.
SECO supports loans that take environmental, social and governance factors into account.
Triggering reforms
SECO supports efforts to reform local framework conditions and create new financial products. It also enables companies to access innovative financial technologies.
Financing SDGs on a sustainable basis
SECO is committed to mobilising private capital to achieve the Sustainable Development Goals (SDGs). To this end, it has joined the partner network of Swiss Sustainable Finance (SSF), the association for sustainability in the financial sector. Since the 2000s, SECO has been committed to impact investments. In 2021, for example, it launched the SDG Impact Finance Initiative (SIFI), a public-private partnership to promote impact-oriented investments. SECO also considers it essential to promote climate financing in emerging countries using green bonds.
Mobilising capital for infrastructure
SECO mobilises knowledge and capital for sustainable infrastructure in the areas of mobility, water and energy. For the private sector to be competitive and create jobs, an effective, climate-resilient infrastructure is crucial. In developing countries, the public sector often lacks the funds to finance infrastructures projects on its own and actors do not have sufficient knowledge on infrastructure financing. That is why partnerships with the private sector are important.