Projects

Community Development Finance Initiative (CDFi)

Capital and support
CDFi’s are defined as ‘sustainable, independent financial institutions that provide capital and support to enable individuals or organisations to develop and create wealth in disadvantaged communities or under-served markets’ (source: Community Development Finance Association).

Cylch, in co-operation with other umbrella groups is seeking to set up an overarching All-Wales CDFi, probably principally working with the Charity Bank.

Partnership approach
Potential partners are Wales Council for Voluntary Action, The Wales Cooperative Centre, Coalfields Regeneration Trust (CRT), The Scarman Trust, Community Enterprise Wales, The Welsh Assembly Government, Finance Wales, The Development Trusts Association and the Lloyds TSB Trust.

The aim of the partnership is to be inclusive of all developing CDFi's in Wales, giving the body financial muscle, whilst retaining the specifically targeted nature of some financial products currently available.

Business plan development
A business plan is currently under development to seek start-up funding to enable creation of the CDFi, help it reach financial sustainability and be able to support the necessary staff from lending revenues. Once this stage has been reached the institution can attract depositors and savers in its own right, for the purposes of ‘Investing in the improvement of the Quality of Life in Wales’.

It will then be possible for all funds to be tracked and accounted for in the achievement of this objective.

To find out the latest progress on this initiative and how Cylch can help support your organisation – contact us.

Page last updated: 26th May 2005