Ouagadougou: The Faso Kuna-Wili Fund (FKW) has embarked on a significant mission to recover debts by threatening to sell the mortgaged houses of defaulting developers. This initiative began with a field trip on June 19, 2025, aimed at identifying properties of several developers who have not fulfilled their financial obligations. The mission, led by Managing Director Professor Hamidou Sawadogo, targeted five homes in the Cissin, Nagrin, and Bonheur Ville neighborhoods of Ouagadougou.
According to Burkina Information Agency, this action is part of FKW's strategy following the transfer of responsibilities from the former Funds of the Ministry of Sports, Youth, and Employment. The mission is crucial in ensuring developers adhere to the commitments made when securing their loans. The field visits revealed instances where properties served as collateral for loans taken in 2021, which remain unpaid. One notable encounter was with Mrs. AM in Cissin, who was informed that her husband's failure to repay a loan has put their home at risk of being sold.
The FKW's operations are in line with its new mandate following the dissolution of three national financing funds: the Informal Sector Support Fund (FASI), the Employment Promotion Support Fund (FAPE), and the Youth Initiatives Support Fund (FAIJ). These actions aim to recover debts exceeding 21 billion CFA francs. Denis Kabore, Director of Risk, Recovery, and Litigation, emphasized the necessity of these measures after exhausting amicable recovery approaches.
Weekly recovery outings are facilitated through a partnership with the Ministry of Territorial Administration, providing national police officers to ensure agent security. These unannounced visits increase the efficiency of identifying defaulting developers. Professor Hamidou Sawadogo highlighted this approach as a major innovation in the Fund's recovery strategy, enabling direct contact with debtors.
The mission concluded with a visit to Bonheur Ville, where Mr. BT, who was present, initially claimed to have repaid his debt. However, upon further discussion, he acknowledged an outstanding balance. Developers are urged to settle their debts to avoid asset liquidation, crucial for recovering funds to grant new credits.
With more than 21 billion CFA francs in unpaid debts, the situation hinders the approval of over 5,000 pending financing requests. The FKW's efforts are crucial in promoting projects aligned with local economic needs, such as agriculture and small businesses, while minimizing reliance on imported products. The Director General stressed the importance of resolving these debts, as they represent taxpayers' money. Promoters are encouraged to engage with the Fund's services to find amicable solutions before any liquidation procedures commence.