Country: Ghana

Swiss Firm Partners With Local Insurers To Build Low – Cost Health Products For Local Communities

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NAIROBI, Kenya, April 27 – Swiss Capacity Building Facility (SCBF) and APA Insurance have partnered with a consortium of local insurance innovators to provide affordable primary healthcare insurance solutions to under-served Kenyans.

The innovators include Paa Insurance Agency; an inclusive insurance distribution specialist, Emerging Markets; a research and design consultancy firm, Ilara Health; a network of primary healthcare facilities and Democrance; a SaaS plug-and-play insurance technology provider.

The partners have developed an innovative solution designed with a hybrid model of capitation costs, and in-patient benefit for patients who become hospitalised.

“We are proud to launch this innovative initiative which will see thousands of under-served households in rural and peri-urban Kenya have access to sustainable primary health care financing solutions to protect their families against out-of-pocket expenses that could otherwise force them into poverty,” said Dana Ellis, Senior Operations Manager at SCBF.

The technical assistance funding from SCBF will contribute to strengthening financial inclusion and increasing resilience against primary healthcare costs for under-served communities in Kenya, intending to reach at least 50 per cent of women.

This is aligned to the Government of Kenya’s 2030 financial inclusion strategy to ensure that no person in Kenya is left out of reach of financial services, to increase their resilience against risks beyond their control, while also improving their access to essential healthcare services.

Speaking at the launch of the project , APA Group CEO Ashok Shah noted that, “it is important for insurers to think beyond offering insurance to the affluent customer segment.”

He emphasised that the future of insurance lies in tapping into the majority of the population which remains uninsured.

APA has been at the forefront of supporting inclusive insurance solutions targeting the middle and lower base of the economic pyramid, and shall continue to do so with this initiative, to create social and sustainable impact within the communities.

The demand for new innovative insurance solutions, over the last few years, has seen an emergence of insurtechs (insurance innovators who use technology to create and improve insurance solutions) and simplified customer experiences facilitating the purchase, service and making of claims without the barriers associated with mainstream insurance.

This proliferation has particularly been fueled by the regulator-backed programme, BimaLab, in partnership with Financial Sector Deepening Africa (FSD Africa).

BimaLab is an accelerator program that supports early insurtech innovators to develop innovative insurance solutions.

Elias Omondi, Senior Manager Risk Regulation at FSD Africa, who inspired the birth of BimaLab remarked, “We’re thrilled to see startups that have gone through BimaLab launch innovative products that will redefine how insurance is offered and accessed in the Kenyan market, and even beyond our borders. We will work closely with the innovators, the insurer and the regulator to see that the project achieves its intended impact.”

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The African Green Bank initiative provides $1.6 million to support the first Green Finance Facilities in Africa

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( AfDB) – The African Development Bank has launched the African Green Bank Initiative to tackle Africa’s key barriers to climate financing and promote resilient, green and sustainable growth.

The Green Bank Initiative will be supported by the African Green Finance Facility Fund (AG3F), which aims at developing an ecosystem of local and regional Green Finance Facilities to mobilize private investment in support of climate transition. AG3F promotes the deployment of the Green Bank Model throughout the continent. To ensure rapid deployment, AG3F will partner with existing local financial institutions and leverage on their network, financing capacity and experienced staff.

For its pilot phase, AG3F aims at mobilizing $10 million for the technical assistance, of which $1.6 million have already been secured, and $90 million to support the capitalization of the first Green Finance Facilities. Contributors will include donor countries, multilateral development banks, development finance institutions (DFI), climate funds and philanthropic or impact investors. First beneficiaries include Banque Nationale d’Investissement de Côte d’Ivoire and Caisse des Dépôts et Consignations du Bénin, which will develop pipelines of clean energy, resilient infrastructures or smart agriculture projects.

Green Finance Facilities will support small and medium-sized enterprises (SMEs) and local communities by offering direct access to climate finance. The initiative will help African countries implement Nationally Determined Contributions (NDCs), as investment needs are estimated at $2.8 trillion by 2030 and funds invested on the continent still represent a limited share of global green finance flows.

AG3F will benefit from best practices and support of strategic partners for the creation, financing and deployment of Green Banks. These partners have built an international reputation in the area of climate finance and include the leading European asset manager Amundi, the knowledge platform Green Bank Network, the leading multilateral fund Climate Investment Funds (CIF) and Canada’s Climate Action in Africa project.

Audrey-Cynthia Yamadjako, co-ordinator of the Green Bank initiative, welcomed the onboarding of those partners in the AG3F projects: “We are delighted to start the work with our partners in the pilot phase of AG3F. We will benefit from their technical knowledge, investment vehicles and funding capacity to create the first African Green Finance Facilities”.

According to African Development Bank Vice President for Private Sector, Infrastructure and Industrialization,Solomon Quaynor, “technical assistance will enhance Green Finance Facilities’ green project management and governance and is therefore key to attract private capital by entrenching long-term investor confidence.” Technical assistance will be needed to create Green Finance Facilities and build up their technical capacities, including by implementing monitoring, risk evaluation and reporting tools and structuring a bankable pipeline of green projects.

Upon launch of the African Green Bank Initiative at the UN Climate Change Conference (COP27) in Egypt in November 2022, African Development Bank Vice President for Energy, Power, Climate and Green Growth, Kevin Kariuki highlighted that the initiative was a key stepping stone to meet Sharm El Sheikh implementation plan.

“The Green Bank Initiative is a powerful tool for reducing financing costs and mobilizing private sector investments in climate action in Africa,” Kariuki said. He said multilateral development banks and international financial institutions had a crucial role in enabling local financial institutions to develop a green pipeline of sustainable and “Paris-aligned” projects.

The initiative is part of the African Financial Alliance on Climate Change (AFAC). Akinwumi Adesina, President of the African Development Bank Group, explained as part of AFAC that mobilizing the financial sector will be key to address climate change in Africa: “Africa’s financial actors need to work together creatively to mobilize global financial resources at scale that can support local innovation, and that drive climate-resilient and low-carbon development on the continent”.

About the African Development Bank Group

As Africa’s premier development finance institution, African Development Bank (AfDB) objective is to spur sustainable economic development and social progress in African countries, thus contributing to poverty reduction. AfDB’s strategy for 2013-2022 focuses on two objectives: improving the quality of Africa’s growth and the transition to green growth.

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Devex Invested: How Africa can attract more climate finance

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Environment-related and impact investments have grown substantially in recent years, with more than $1 trillion in impact investing assets under management globally. About $578 billion in green bonds were issued by 2021, with double-digit increases each year.

But very few of those climate-related investments are making it to the world’s lowest-income countries. It’s partly due to a lack of willingness from major donors to cough up funding they’ve promised, and partly due to lower risk appetite as interest rates and debt burdens mount.

This week we look at how carbon credits or other investments might offer an opportunity to unlock climate finance on the African continent.

  • One carbon credit is equal to 1 metric ton of greenhouse gas that is reduced, sequestered, or avoided. Global carbon markets, where those credits are exchanged, are valued at over $2 billion. But Africa accounts for just 2% of trading. The existing market is fragmented and complex, and high-quality carbon credits are scarce because accounting and verification methodologies vary quite a bit, writes Devex contributor David Njagi. But the global markets could be worth more than $50 billion by 2030 — which certainly seems worth tapping.
  • Enter the Africa Carbon Market Initiative, which was launched during last year’s United Nations Climate Change Conference. It aims to rapidly increase the production of African carbon credits while ensuring that revenues are transparent, equitable, and create jobs. Ensuring that local communities actually see the payout is key.
  • Another way to attract climate finance is for Africans to take advantage of the growing demands for the critical minerals required for the global energy transition, Samaila Zubairu, president and CEO of the Africa Finance Corporation, recently told me. Rather than shipping raw materials — which itself increases emissions — countries want to do more processing at the source but local projects will need outside funding to do so, he said. He hopes the push for lower emissions and more electric vehicles, along with the current geopolitical situation, can lead to more investment on the continent, and in turn more jobs and development.
  • While financial institutions have increasingly focused on impact and environmental and social investing, hopes that the trends would drive more money to low- and middle-income countries haven’t really translated to reality so far. Mainstream investors are still focused on financial returns and see too much risk in investing in these markets, Bill Sonneborn, global director of disruptive technology and funds at the International Finance Corporation, told me recently. But he’s not entirely pessimistic: Eventually, these investors will have to invest in these markets, he added.

Call to action

 “It’s urgent that we get progress and that progress consists of concrete resolutions of debt that greatly helps countries reach sustainability.”— David Malpass, president, World Bank

A new pot of gold?

You heard it here first: The World Bank will set up a new “crisis facility” for the world’s lowest-income nations and Ukraine as it works to prevent more backsliding on key development priorities including health and education. The bank’s member countries support the new funding mechanism, Axel van Trotsenburg, the World Bank’s senior managing director, tells my colleague Shabtai Gold.

Now it’s up to the board to approve the move, so donors can start ponying up. Approval could come as soon as next month. Van Trotsenburg conceded that donor countries face stress at home over budgets and that asking for more money is delicate. “What I’m doing is stressing them even further,” he says but noted that these are “crisis times” for the world’s poorest people.

This facility would sit within the International Development Association, the bank’s fund for the lowest-income nations that offers highly concessional loans and grants. The IDA funds, which typically are replenished in three-year cycles, will also drop off in coming years because of the World Bank front-loaded spending. And whether donors will put in more cash to support IDA is a key debate around the ongoing reform efforts.

Money, money, money

$204 billion —

That is the total aid spending of OECD’s Development Assistance Committee member countries in 2022. It’s up 13.6% from the previous year.

A lot of the increase in spending went to supporting refugees and Ukraine, including European donors supporting refugees within their own borders. Aid to the group of least developed countries and to sub-Saharan Africa fell slightly, according to Devex Senior Development Analyst Miguel Antonio Tamonan.

A new day

The New Development Bank issued a $1.25 billion green bond last week, the first dollar bond issuance since Russia’s invasion of Ukraine. The development bank of the BRICS emerging market nations, made up of Brazil, Russia, India, China and South Africa, has faced challenges raising money on the capital markets, as Moscow is a major shareholder.

None of the money in the latest bond will go to Russia, and the bank has had to pay a risk premium on the funding. But the bank’s Chief Financial Officer Leslie Maasdorp tells Shabtai that “This is a major step forward because now we’re starting a new journey.”

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Building trust in digital payments in Africa

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While cash and mobile money remain the dominant payment methods in Africa, they come with significant challenges. Cash is inefficient, insecure, and expensive, while mobile money services often lack the necessary regulatory support to operate independently. However, key emerging trends in the sector are helping to drive meaningful financial inclusion across the continent, notes Mark Dankworth, President of Business Development Africa at leading Banking as a Service and embedded finance enablement partner, Ukheshe.

One of the most significant trends in the African payments sector is the increasing collaboration between banks and fintech companies. Banks, as regulated entities, play a critical role in processing funds, which then flow into digital wallets where fintechs are best positioned to provide digital services. There is scope to offer even more functionality and convenience that answer specific market challenges and pain points, including bill payments, airtime top-ups, or public transport payments, among others. By providing incentives for users to keep their funds in these wallets and use them for digital payments, the adoption of digital payments can increase rapidly and reduce the reliance on cash on the continent.

Closer collaboration between banks and fintech companies is a positive development and has the biggest potential to drive financial inclusion in Africa. In many African countries, regulators are paying closer attention to new players in the sector. While fintech companies often lack the necessary licenses to operate independently, banks can provide the necessary regulatory support with the end goal of offering a broader range of services to their customers. By working together, banks and fintechs can help to promote financial inclusion and make digital payments more accessible, and, crucially, more trusted.

Another trend that is driving the growth of digital payments in Africa is the explosion of cross-border remittances alongside the urgent need for these to improve. South Africa to Zimbabwe is one of the largest corridors of cross-border remittances globally, and a staggering 84% of these transactions are still cash-based. According to the World Bank, remittances to low- and middle-income countries grew to USD$626 billion in 2022. These remittances are also an essential source of foreign currency for many African countries, helping to support economic growth and development.

To facilitate cross-border remittances, many companies are developing pool accounts that allow for instant remittances of funds. Associations are also putting in place regulatory frameworks that promote innovation and protect consumers, and these developments will help sustain the growth of the industry and make it more accessible to all Africans.

QR payments are also gaining traction in African markets, offering merchants an affordable and convenient way to accept digital payments without expensive hardware. This payment method has been hugely successful in markets like China, where QR is widely used for everything from buying groceries to paying for public transport. In Africa, QR payments have been slower to take off, but their potential is significant. Visa and Mastercard are investing heavily in SME support to drive acceptance and create more opportunities for digital payments. Obviously, QR offers several advantages over traditional point-of-sale systems. For merchants, QR payments are affordable and easy to use, requiring only a smartphone and an internet connection. For customers, QR payments are convenient and secure, allowing them to make payments without the need for cash. Once again, acceptance is largely a function of the underlying trust and overall convenience of the payment method.

Ultimately, the prevailing dominance of cash in Africa will only be truly upended when payment models are instantly efficient and offer instantaneous value. In the unique African context, customers must have full control over their money with seamless, interoperable, and user-friendly solutions – this is where Ukheshe, and its strategic partnerships, can make the biggest impact.

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FSD Africa, swiss Re Foundation and others partner for financial inclusion in Africa

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FSD Africa has partnered with the Swiss Re Foundation and the National Bank of Rwanda to launch BimaLab Africa Acceleration Program – a pioneering accelerator program that aims to grow insurance coverage among low-income consumers by investing in innovative solutions in nine African countries.

The expanded pan-African program is designed to support entrepreneurs in developing innovative solutions for the insurance sector. It targets Insurtech (insurance technology) innovations from Egypt, Ethiopia, Kenya, Ghana, Morocco, Nigeria, Rwanda, Uganda, and Zimbabwe.

The expansion of BimaLab is supported by $500,000 financing from the Swiss Re Foundation, which is among the world’s leading providers of reinsurance, insurance, and other forms of insurance-based risk transfer.

BimaLab Africa has been devised as a model which addresses crucial challenges facing African consumers, especially those at the base of the economic pyramid. While insurance provides a vital safety net for customers at risk of external threats including health issues, economic disruptions, and natural disasters, it has, for many Africans, been unavailable – only 3% of Africa’s GDP is driven by insurance, less than half the world average of 7%.

Kelvin Massingham, Director of Risk and Resilience, FSD Africa, said, “BimaLab offers hands-on venture-building support to high-impact start-ups that improve the resilience of underserved and climate-vulnerable communities. We are grateful for the financial support provided by the Swiss Re Foundation, which has enabled us to democratize the successful BimaLab model across the region.”

The incubator, which combines the demonstration of global best practices with in-depth local knowledge, offers applicants a rigorous five-month program in which they are supported with expertise, resources, and support for scalability and market readiness.

Stefan Huber Fux, Director at Swiss Re Foundation said: “We are committed to making insurance more accessible and affordable for low-income consumers in emerging markets, and we believe that supporting programs like BimaLab is one way we can help to achieve this goal. New digital technologies have the potential to enhance financial inclusion by providing access to unserved and underserved customers.”

The partnership will focus on three main areas: enhancing access to financial services; increasing insurance penetration; and promoting innovation in the financial sector.

Hon. John Rwangombwa, Governor, NBR said: “The National Bank of Rwanda is committed to promoting financial inclusion in Rwanda, and this partnership with FSD Africa and Swiss Re Foundation is a key step towards achieving that goal. We believe this partnership will help to increase access to financial services, promote innovation and boost economic development across Rwanda and Africa”.

BimaLab Africa expands on successful Insurtech initiatives in Kenya, Nigeria, and Ghana to provide African entrepreneurs with the tools and support needed to develop innovative insurance solutions. The program has helped 40 insurtechs scale their innovations, resulting in 20 partnerships and 43 new products in Kenya, Ghana, and Nigeria. BimaLab has reached over 500,000 customers and raised over USD 1 million, promoting innovation and inclusion in the insurance industry. The new program aims to contribute to the growth of the African insurance market and is implemented by Tellistic Technology Services.

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FSD Africa, Swiss Re Foundation and National Bank of Rwanda Launch Partnership to Boost Financial Inclusion in Nine African Countries

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20th April 2023, Kigali, Rwanda – FSD Africa has partnered with the Swiss Re Foundation and the National Bank of Rwanda to launch BimaLab Africa Acceleration Program – a pioneering accelerator program that aims to grow insurance coverage among low-income consumers by investing in innovative solutions in nine African countries.

The expanded pan-African program is designed to support entrepreneurs in developing innovative solutions for the insurance sector. It targets Insurtech (insurance technology) innovations from Egypt, Ethiopia, Kenya, Ghana, Morocco, Nigeria, Rwanda, Uganda, and Zimbabwe.

The expansion of BimaLab is supported by $500,000 financing from the Swiss Re Foundation, which is among the world’s leading providers of reinsurance, insurance, and other forms of insurance-based risk transfer.

FSD Africa, Swiss Re Foundation and National Bank of Rwanda Launch Partnership to Boost Financial Inclusion in Nine African Countries

BimaLab Africa has been devised as a model which addresses crucial challenges facing African consumers, especially those at the base of the economic pyramid. While insurance provides a vital safety net for customers at risk of external threats including health issues, economic disruptions, and natural disasters, it has, for many Africans, been unavailable – only 3% of Africa’s GDP is driven by insurance, less than half the world average of 7%.

Kelvin Massingham, Director of Risk and Resilience, FSD Africa, said, “BimaLab offers hands-on venture-building support to high-impact start-ups that improve the resilience of underserved and climate-vulnerable communities. We are grateful for the financial support provided by the Swiss Re Foundation, which has enabled us to democratize the successful BimaLab model across the region.”

The incubator, which combines the demonstration of global best practices with in-depth local knowledge, offers applicants a rigorous five-month program in which they are supported with expertise, resources, and support for scalability and market readiness.

Stefan Huber Fux, Director at Swiss Re Foundation said: “We are committed to making insurance more accessible and affordable for low-income consumers in emerging markets, and we believe that supporting programs like BimaLab is one way we can help to achieve this goal. New digital technologies have the potential to enhance financial inclusion by providing access to unserved and underserved customers.”

The partnership will focus on three main areas: enhancing access to financial services; increasing insurance penetration; and promoting innovation in the financial sector.

Hon. John Rwangombwa, Governor, NBR said: “The National Bank of Rwanda is committed to promoting financial inclusion in Rwanda, and this partnership with FSD Africa and Swiss Re Foundation is a key step towards achieving that goal. We believe this partnership will help to increase access to financial services, promote innovation and boost economic development across Rwanda and Africa”.

BimaLab Africa expands on successful Insurtech initiatives in Kenya, Nigeria, and Ghana to provide African entrepreneurs with the tools and support needed to develop innovative insurance solutions. The program has helped 40 insurtechs scale their innovations, resulting in 20 partnerships and 43 new products in Kenya, Ghana, and Nigeria. BimaLab has reached over 500,000 customers and raised over USD 1 million, promoting innovation and inclusion in the insurance industry. The new program aims to contribute to the growth of the African insurance market and is implemented by Tellistic Technology Services.

 

FSD Africa Marks 10 Years Of Greening Financial Markets

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“In a short space of time, we have strengthened and developed financial markets and tapped into capital by using new instruments such as green and gender bonds,” says Mr Mark Napier, CEO of FSD Africa.

FSD Africa, a UK Aid funded specialist development agency, on 27th March celebrated a decade of strengthening financial markets across Africa, growing economies, increasing incomes for vulnerable populations and combatting poverty.

FSD Africa has made significant strides over the past decade by advancing policy and regulatory reforms, enhancing financial infrastructure and increasing capacity, all while tackling systemic issues in Africa’s financial markets. These efforts have led to large-scale and long-term change, providing access to financial services to over 10.2 million people and addressing issues related to financial exclusion.

During the Covid-19 pandemíc, FSD Africa observed a remarkable 87% increase in the demand for and use of remittance services, which played a crucial role in protecting families from Covid-19’s financial impacts.

FSD Africa’s market-building initiatives have resulted directly or indirectly in £1.9 billion of long-term capital made available for SMEs, affordable housing and sustainable energy projects, among others. Its support for financial sector innovation has increased access to financial services for close to 12 million Africans, while its support for business growth has improved access to finance for more than 3 million African businesses and led directly or indirectly to the creation of over 35,000 new jobs.

“Celebrating over ten years of our trailblazing work across Africa is special,” said Mr Mark Napier, CEO of FSD Africa. “In a short space of time, we have strengthened and developed financial markets and tapped into capital by using new instruments such as green and gender bonds.”

FSD Africa’s strategy has evolved to address the continent’s expanding needs, with a greater emphasis on identifying innovative methods to mobilise resources for sustainable economic development. The organisation has recently boosted investment into projects that enable an equitable transition to a green future for Africa after several successful initiatives, including developing regulations and assisting green bond issuance programmes in Kenya and Nigeria.

The organisation’s green portfolio and pipeline have expanded because of continuous investments in programmes that provide environmental and social consequences, with close to £50 million being invested in green initiatives.

Ms Jane Marriott, OBE, British High Commissioner to Kenya said the UK is continually working with Kenya to promote green finance and economic growth as part of its strategic partnership with Kenya. FSD Africa is delivering on these priorities in Kenya and across the continent, creating over 35,000 jobs and leveraging more than Ksh300 billion into sectors like renewable energy.

Kenya’s National Treasury Cabinet Secretary Prof Njuguna Ndung’u, said Kenya’s partnership with FSD Africa has created a favourable environment for the growth of local capital markets, resulting in increased interest from both domestic and foreign investors.

“FSD Africa also played a crucial role in establishing the Nairobi International Financial Centre (NIFC), positioning Kenya to receive more financial flows,” Prof Ndung’u said. “We look forward to collaborating more closely with FSD Africa on green finance initiatives to promote sustainable development while addressing climate change challenges.”

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FSD Africa marks 10 years of strengthening, greening financial markets across Africa

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FSD Africa, a UK aid funded specialist development agency, today celebrated a decade of strengthening financial markets across Africa, growing economies, increasing incomes for vulnerable populations, and combatting poverty.

FSD Africa has made significant strides over the past decade by advancing policy and regulatory reforms, enhancing financial infrastructure and increasing capacity, all while tackling systemic issues in Africa’s financial markets. These efforts have led to large-scale and long-term change, providing access to financial services to over 10.2 million people and addressing issues related to financial exclusion. During the Covid-19 pandemic, FSD Africa observed a remarkable 87% increase in the demand for and use of remittance services, which played a crucial role in protecting families from the pandemic’s financial impacts.

FSD Africa’s market-building initiatives have resulted directly or indirectly in £1.9 billion of long-term capital made available for SMEs, affordable housing and sustainable energy projects, among others. Its support for financial sector innovation has increased access to financial services for close to 12 million Africans, while its support for business growth has improved access to finance for more than 3 million African businesses and led directly or indirectly to the creation of over 35,000 new jobs.

Speaking during the event, Mark Napier, CEO at FSD Africa said: “Celebrating over ten years of our trailblazing work across Africa is special: in a short space of time, we have strengthened and developed financial markets, and tapped into capital by using new instruments such as green and gender bonds. The future is key, and I look forward to continuing our hard work with our collaborative and innovative team. I have no doubt that we will continue to support and address Africa’s expanding needs as we move towards sustainable economic development.’’

Future-focused, FSD Africa’s strategy has evolved to address Africa’s expanding needs, with a greater emphasis on identifying innovative methods to mobilise resources for sustainable economic development. The organisation has recently boosted their investment into projects that enable an equitable transition to a green future for Africa after several successful initiatives, including developing regulations and assisting green bond issuance programmes in Kenya and Nigeria. The organisation’s green portfolio and pipeline have expanded because of continuous investments in programmes that provide environmental and social consequences, with close to £50 million being invested in green initiatives.

Jane Marriott, OBE, British High Commissioner to Kenya said: ‘”The UK is continually working with Kenya to promote green finance and economic growth as part of the UK-Kenya Strategic Partnership. FSD Africa is delivering on these priorities in Kenya and across the continent, creating over 35,000 jobs and leveraging more than KES 300 billion into sectors like renewable energy. I look forward to FSD Africa’s continued work in the years ahead.”

Prof. Njuguna Ndung’u, Cabinet Secretary, Kenya National Treasury said: ‘’Kenya’s partnership with FSD Africa has created a favourable environment for the growth of our local capital markets, resulting in increased interest from both domestic and foreign investors. FSD Africa also played a crucial role in establishing the Nairobi International Financial Centre (NIFC), positioning Kenya to receive more financial flows. We look forward to collaborating more closely with FSD Africa on green finance initiatives to promote sustainable development while addressing climate change challenges.’’

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FSD Africa Marks 10 Years Of Greening Financial Markets Across Africa

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Key points

  • These efforts have led to large-scale and long-term change, providing access to financial services to over 10.2 million people and addressing issues related to financial exclusion.

FSD Africa, a UK aid-funded specialist development agency, today celebrated a decade of strengthening financial markets across Africa, growing economies, increasing incomes for vulnerable populations, and combatting poverty.

FSD Africa has made significant strides over the past decade by advancing policy and regulatory reforms, enhancing financial infrastructure, and increasing capacity, all while tackling systemic issues in Africa’s financial markets.

These efforts have led to large-scale and long-term change, providing access to financial services to over 10.2 million people and addressing issues related to financial exclusion. During the Covid-19 pandemic, FSD Africa observed a remarkable 87% increase in the demand for and use of remittance services, which played a crucial role in protecting families from the pandemic’s financial impacts.

FSD Africa’s market-building initiatives have resulted directly or indirectly in £1.9 billion of long-term capital made available for SMEs, affordable housing, and sustainable energy projects, among others. Its support for financial sector innovation has increased access to financial services for close to 12 million Africans, while its support for business growth has improved access to finance for more than 3 million African businesses and led directly or indirectly to the creation of over 35,000 new jobs.

Speaking during the event, Mark Napier, CEO at FSD Africa said: “Celebrating over ten years of our trailblazing work across Africa is special: in a short space of time, we have strengthened and developed financial markets and tapped into capital by using new instruments such as green and gender bonds. The future is key, and I look forward to continuing our hard work with our collaborative and innovative team. I have no doubt that we will continue to support and address Africa’s expanding needs as we move towards sustainable economic development.’’

Future-focused, FSD Africa’s strategy has evolved to address Africa’s expanding needs, with a greater emphasis on identifying innovative methods to mobilize resources for sustainable economic development. The organization has recently boosted its investment into projects that enable an equitable transition to a green future for Africa after several successful initiatives, including developing regulations and assisting green bond issuance programs in Kenya and Nigeria. The organization’s green portfolio and pipeline have expanded because of continuous investments in programs that provide environmental and social consequences, with close to £50 million being invested in green initiatives.

Jane Marriott, OBE, British High Commissioner to Kenya said: ‘”The UK is continually working with Kenya to promote green finance and economic growth as part of the UK-Kenya Strategic Partnership. FSD Africa is delivering on these priorities in Kenya and across the continent, creating over 35,000 jobs and leveraging more than KES 300 billion into sectors like renewable energy. I look forward to FSD Africa’s continued work in the years ahead.”

Prof. Njuguna Ndung’u, Cabinet Secretary, Kenya National Treasury said: ‘’Kenya’s partnership with FSD Africa has created a favorable environment for the growth of our local capital markets, resulting in increased interest from both domestic and foreign investors. FSD Africa also played a crucial role in establishing the Nairobi International Financial Centre (NIFC), positioning Kenya to receive more financial flows. We look forward to collaborating more closely with FSD Africa on green finance initiatives to promote sustainable development while addressing climate change challenges.’’

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