Oikocredit Commits $10 Million to Strengthen African SMEs through AfricInvest Partnership

Empowering African SMEs

Oikocredit, a social impact investment firm, has recently extended a debut loan of $10 million to AfricInvest Private Credit (APC). This strategic collaboration aims to bolster small and medium-sized enterprises (SMEs) across the African continent, enhancing their access to financial resources typically out of reach through conventional lending institutions.

Expanding Financial Access for SMEs

AfricInvest Private Credit (APC) is renowned for providing medium to long-term financing solutions, particularly targeting businesses that struggle to secure funds from mainstream banks due to insufficient collateral. With Oikocredit's significant investment, APC is poised to expand its loan distribution capabilities, thus reaching a broader spectrum of SMEs across various African nations.

Leadership Insights on the Partnership

Kouraiech Belhajali, CEO of APC, expressed his enthusiasm for the new alliance, stating, “Our partnership with Oikocredit is a significant milestone. The infusion of funds will empower us to further assist the underserved business sector in Africa, broadening our scope and target demographic. We are committed to leveraging this capital to amplify our contribution to the continent’s economic development, job creation, and progress in financial inclusion.”

Echoing this sentiment, Lewis Nyaga, an investment officer at Oikocredit, remarked, “We are excited to unveil this strategic partnership with AfricInvest. The establishment of this vital debt facility is a strategic move aimed at fortifying African SMEs and promoting their sustainable growth.”

Enhancing Economic Development and Financial Inclusion

The collaboration between Oikocredit and APC is more than just a financial partnership; it represents a concerted effort to drive economic development, job creation, and financial inclusion across Africa. By channeling funds into the hands of SMEs, this initiative seeks to empower businesses that are critical to the continent’s economic landscape but are often neglected by traditional banking systems.