Grofin

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The GroFin East Africa fund focuses on making start-up and growth investments in small and medium enterprises in Uganda, Kenya and Tanzania. Entrepreneurs can benefit from the facility’s unique approach that makes both business development assistance and risk finance available to those who have no access to financial services.

GroFin East Africa SME facility primarily focuses on making start-up, early stage and growth finance transactions ranging from USD 50,000 to USD 1,000,000 in small businesses.

The fund was designed to help lower the cost of doing business in Africa and to promote a better investment climate across the continent. GroFin’s mission is to create wealth, employment and economic development in emerging markets by providing vital business development assistance and early stage finance to small and medium-sized enterprises.

Website: www.grofin.com

  • Investment amount (€):

    €2,175K

    SME Fund Registered Offices: Mauritius Beneficiary countries: Kenya, Tanzania, Uganda and Rwanda

  • Contract signature :

    2006

  • Nature of intervention :

    Equity

  • Development impacts :

    • 1 — Local economic growth: access to long-term financing for SMEs.
    • 2 — Private sector consolidation / innovation: Know-how and technology transfer to investees; GroFin and the Fund will provide not only finance but also regular technical support to SMEs in order to create and encourage the adequate managerial, operational and financial structure and maximize therefore the value of the Fund’s investments.
    • 3 — Access to basic services and goods; minimum 40% of portfolio is for energy related projects among which a minimum 10% in clean energy; Many SMEs assisted by the Fund will deliver modern energy services to mostly rural populations providing an essential link in the service provision and product distribution chain.
    • 4 —