ADOPEM, IDB and Nestlé agree to develop microfranchises together

16 December 2014
Banco Adopem

Banco ADOPEM has signed an agreement with the Multilateral Investment Fund (MIF), a member of the Inter-American Development Bank, and Nestlé Dominicana, S.A. to expand a microfranchising model that benefits low-income women in the Dominican Republic.

This deal will mean the roll-out of an inclusive distribution model that was initially developed by Nestlé Dominicana, S.A. to distribute its products in low-income communities through a microfranchising network, made up of women in these same communities, as part of its vision of shared value creation.

The IDB-MIF-ADOPEM-Nestlé agreement will help 4,500 low-income women, who traditionally have few opportunities to access profitable businesses, mainly through female heads of household with dependants. What is more, around 370,000 people in low-income communities will be able to access products of renowned quality.

The agreement is part of the MIF program “Economic empowerment among low-income populations by integrating them into inclusive distribution social networks based on microfranchise”, which aims to consolidate and extend inclusive distribution models to much larger numbers of people. This is the MIF’s first time experience in consolidating and extending a microfranchise model.

The total cost of this strategic partnership is USD1,050,000, of which USD400,000 will be financed by the MIF; USD400,000 by Nestlé and USD250,000 by Banco ADOPEM.

This agreement is the outcome of the successful 2013 pilot program between ADOPEM and Nestlé Dominicana; it has been enlarged to generate greater benefits for disadvantaged women entrepreneurs. This also means that the effectiveness of this kind of poverty-reduction program, whilst already proven, can be measured on a quantitative basis.

About the MIF

The IDB Group’s Multilateral Investment Fund (MIF), is made up of 39 donors, who support private sector development that benefits low-income populations, their businesses, rural establishments and households. Its purpose is to provide the tools necessary to increase incomes, ensure access to markets and the skills to compete in those markets, and access to financing and basic services, as well as to the use of green technologies.


As part of its “Creating Shared Value” program, in 2006 Nestlé Dominicana started its “Neighborhood Plan” program to give women in poor communities the opportunity to raise their income using a micro-distributor business model. Thanks to this plan, women receive information and advice on nutrition and productive cooking workshops with the aim of raising their families’ standard of living and welfare.