Start with few FI, maybe ASUSU and one large bank, and gradually expand Credit guarantee Private sector lending portfolio is De-risking encourages private sector scheme for IFF through guarantees lending to solar sector Loss sharing agreements to cover Initial security until the proof case of irrecoverable inventory loans economic viability of lending to solar businesses has been established Consumer loan Concessionary credit line so FI can access Low purchasing power among private financing facility liquidity for solar market lending households is key constraint to growth (CLFF) for solar home systems (and larger solar FI offer consumer lending schemes to lanterns) finance solar asset purchases Credit line and underlying guarantee Focus on liquidity for private households required to establish proof case of Sharia compliant financing required to economic viability of receivables reach broad share of population financing Facility can be expanded or transformed to provide PAYG operators financing of on-balance sheet consumer loans Private sector lending portfolio is De-risking encourages private sector Credit guarantee scheme for CLFF through guarantees lending to solar sector Loss sharing agreements to cover Initial security until the proof case of irrecoverable consumer loans economic viability for solar consumer loans has been established Market entry and Combination of upfront grants and Significant upfront investment to build expansion grants results-based financing to invest in distribution network and source infrastructure and working capital inventories to serve household market Awarded to distributors of small Significant upfront investment and long household systems, as well as mini-grid amortization periods for mini-grids operators Technical Government: Assistance in strengthening Make the business environment more assistance the regulatory environment, with a focus conducive and profitable on import regulation, industry standards Strengthen the overall ecosystem and licensing processes surrounding the solar market Financial Institutions: Capacity building Ensure knowledge transfer from abroad related to financial services aimed at for faster, more cost-efficient progress solar industry, credit risk assessment etc. Solar companies: Best practice transfer from international markets and support in setting up technology platforms for PAYG; incubation and acceleration of early-stage businesses MNOs: Best practice transfer regarding platforms, interfaces, and market development from international markets
Start with few FI, maybe ASUSU and one large bank, and gradually expand Credit guarantee scheme for IFF Private sector lending portfolio is through guarantees Loss sharing agreements to cover irrecoverable inventory loans De-risking encourages private sector lending to solar sector Initial security until the proof case of economic viability of lending to solar businesses has been established Consumer loan financing facility (CLFF) Concessionary credit line so FI can access liquidity for solar market lending FI offer consumer lending schemes to finance solar asset purchases Focus on liquidity for private households Sharia compliant financing required to reach broad share of population Low purchasing power among private households is key constraint to growth for solar home systems (and larger solar lanterns) Credit line and underlying guarantee required to establish proof case of economic viability of receivables financing Facility can be expanded or transformed to provide PAYG operators financing of on-balance sheet consumer loans Credit guarantee scheme for CLFF Private sector lending portfolio is through guarantees Loss sharing agreements to cover irrecoverable consumer loans De-risking encourages private sector lending to solar sector Initial security until the proof case of economic viability for solar consumer loans has been established Market entry and expansion grants Combination of upfront grants and results-based financing to invest in infrastructure and working capital Awarded to distributors of small household systems, as well as mini-grid operators Significant upfront investment to build distribution network and source inventories to serve household market Significant upfront investment and long amortization periods for mini-grids Technical assistance Government: Assistance in strengthening the regulatory environment, with a focus on import regulation, industry standards and licensing processes Financial Institutions: Capacity building related to financial services aimed at solar industry, credit risk assessment etc. Solar companies: Best practice transfer from international markets and support in setting up technology platforms for PAYG; incubation and acceleration of early-stage businesses MNOs: Best practice transfer regarding platforms, interfaces, and market development from international markets Make the business environment more conducive and profitable Strengthen the overall ecosystem surrounding the solar market Ensure knowledge transfer from abroad for faster, more cost-efficient progress
Niger-Off-grid-solar-market-assessment.docx