"The Overseas Private Investment Corporation (OPIC), the U.S. Government’s development finance institution, has committed $8 million to Proximity Finance to support expanded micro lending to rural borrowers, primarily smallholder farmers, in Myanmar. OPIC Chief of Staff Eric Jones and Proximity Designs CEO Jim Taylor, and Proximity Finance Head of Finance Sein Nwe Oo signed the commitment. The Skoll Foundation, a long-term supporter of Proximity Finance, has committed an additional $2 million of subordinated debt as part of the co-financing package, according to a press release from the US Embassy on 3 April. In Myanmar, agriculture employs 60% of the labor force and contributes roughly 30% of total GDP, but limited access to credit in rural communities continues to restrict the sector’s growth. Without formal financial services, borrowers in these regions are often forced to accept high interest rates from informal lenders, or pawn their land and other assets for capital. Proximity Finance, which designs its loans to meet the particular needs of smallholder farmers, is the microfinance arm of Proximity Designs, a social enterprise dedicated to serving Myanmar’s rural families. Through its rural branch network and specialized loan products that are disbursed and repaid in line with the planting and harvest seasons, Proximity currently serves the financing needs of over 100,000 households, a number that is expected to double over the next five years, a period that will see them disburse nearly 1,000,000 loans. OPIC’s financing is expected to support an additional 100,000 microloans throughout the life of the investment. OPIC’s partnership with Skoll Foundation is an example of a blended finance transaction, an innovative funding structure where different types of capital work together to achieve economic and social impact. One of the first arrangements of its kind in Myanmar, the structure has helped secure Proximity’s biggest single investment to date, over three times the previous largest sum invested. OPIC’s commitment also advances its 2X Women’s Initiative to support projects that benefit women, who represent over half of the company’s customers..."