MFC Advocacy at the 4th GECES Meeting: Advancing Microfinance in Europe’s Social Economy

On 2 December 2025, Beata Biela, MFC Advocacy Manager, participated in the 4th meeting of the European Commission Expert Group on Social Economy and Social Enterprises (GECES) in Brussels. The event brought together policymakers and stakeholders to discuss the latest developments shaping Europe’s social economy.

Key Outcomes:

  • The upcoming EU Multiannual Financial Framework (2028–2034) will allocate at least 14% of National and Regional Partnership Plans—including loan support—to social objectives, totaling a minimum of €100 billion.
  • The European Social Fund (ESF) will operate under its own regulation, managed through these Partnership Plans.
  • Eight Member States have adopted Social Economy (SE) strategies, with twelve more and two regions preparing theirs. National advocacy is crucial to:
    • Ensure financial instruments are included.
    • Safeguard microfinance’s place in National Plans, which may otherwise be overlooked.

Why Advocacy Matters:

  • Public support is strong: 88% of respondents believe authorities should develop strategies and legislation for the social economy (Eurobarometer survey).
  • EU programs like InvestEU have demonstrated significant impact, supporting financial inclusion (64% of beneficiaries had never applied for a loan before), creating 1 million jobs, and supporting 332,000 micro and social SMEs.

Sector Needs: Quality data is essential for effective advocacy. The Working Group on Data and Statistics for the Social Economy is preparing a report to propose a coherent European statistical framework, addressing challenges such as fragmented data, limited coverage, and low awareness.

Key Takeaways for Practitioners:

  1. Engage now in national advocacy to secure microfinance within SE strategies and Partnership Plans—don’t let microfinance be left out.
  2. Support sector-wide efforts to collect quality impact data, strengthening advocacy as EU priorities evolve.

In addition to the GECES meeting, Beata held bilateral discussions with DG EMPL and DG GROW on current microfinance issues, and with DG Near regarding the upcoming Annual Conference in Albania and potential cooperation.

MFC was also present at the European Parliament for the presentation of the 8th Report on Ethical Finance in Europe, “Capital for the Common Good.” This report provides valuable insights into sector impact and is recommended reading for all stakeholders.