funding gap emerging markets

By investing in a project with a guarantee you agree to the terms & conditions that apply following the Guarantee Agreement with Sida. The most important ones are described on this page.

The Swedish International Development Cooperation Agency (Sida) is a governmental authority with the mission to reduce poverty in the world. One of their key objectives is to mobilize more capital towards global development, which is why they are working with Lendahand to offer more protection to crowd-investors.

The Sida Guarantee is an investment protection instrument provided by Sida in collaboration with Lendahand. It protects some initial investments made through Lendahand's platform. It means that in case of default from an Investee a maximum of 50% of the amount you initially invested is covered (excluding interest) and you are guaranteed to get this amount back from Sida. On projects with a guarantee the interest rate is 1,5-2,5 %point lower compared to the same project without a guarantee. The interest rate mentioned on the concerning investment page (with guarantee) is the interest rate you’ll receive.


The Sida guarantee concerns a facility in Swedish crowns (SEK), which is paid in euros (EUR). In accordance with the conversion provisions in the Sida guarantee and depending on the exchange rate, it may be that the fully guaranteed amount is not paid out.

Terms and conditions

Not all Investees on the Lendahand platform are eligible for coverage under the Sida Guarantee, only Qualified Partners (certain direct investments in Africa). On top of that, Lendahand is obliged to follow a number of terms and conditions in order to be able to provide this Sida Guarantee.

If, for any reason, Lendahand does not meet the contractual obligations set by Sida, the guarantee on a specific project can be cancelled. However, Lendahand cannot be held liable if this situation occurs.

Lendahand will always trigger the guarantee. That means it is not allowed for an individual investor to take any action in case of a default.

Act as Agent

The Lendahand General Terms and Conditions contain a stipulation that provides Lendahand with the proxy to act for and on behalf of the Investors if and when it regards improving their position with respect to their investments (so that includes guarantee arrangements).

On top of that, if you invest in a Sida Guaranteed Investment, you explicitly agree to us acting on your behalf in this respect.