Aureli Ventures' investment in Acumen Network aims to enhance financial accessibility for micro-businesses in El Salvador, promoting economic empowerment through lower interest loans and robust partnerships with the government.

Target Information

Aureli Ventures made a strategic investment in late 2021 in Acumen Network, a pioneering entity in the microfinance sector in El Salvador. Acumen's mission is to empower individuals to rise out of poverty by granting them access to affordable capital. This initiative is particularly vital in a country where the majority of small and micro-businesses struggle to secure traditional loans due to exorbitant interest rates and unfavorable loan terms.

In El Salvador, approximately 66% of the 1.2 million businesses are categorized as micro or subsistence businesses, recognized as the backbone of the economy. Unfortunately, a staggering 90% of these enterprises rely on self-funding, informal loans, or predatory lending practices due to the lack of traditional banking options.

Industry Overview in El Salvador

The microfinance industry in El Salvador faces unique challenges and opportunities. The country's economic landscape is characterized by a significant percentage of micro-businesses, which are inst