The Nicaraguan Credit Alternatives Fund (NICA) provides financing for microcredit in
Nicaragua. It strives to be a model of positive economic relations between North and South,
providing a link between socially responsible investors in the North and communities in Nicaragua.
It addresses root causes of poverty and social injustice by ensuring that Nicaraguan people have
access to capital.
Investments from individuals and institutions provide lending capital
to the NICA Fund. The NICA Fund operates by channeling the funds from these socially responsible
investors to Nicaraguan nongovernmental organizations (partner agencies) that specialize in
providing microcredit to marginalized sectors. These are self-sustaining, microfinance institutions
and cooperatives with years of experience lending to the poor. NICA Fund partner agencies provide
microloans throughout Nicaragua to entrepreneurs and farmers, focusing in particular on lending to
women. Borrowers use microcredit to finance their small businesses, expand their agricultural and
livestock activities, and improve their living conditions. The community development resulting
from access to creditaffords opportunities for employment, education and escape from the cycle of