Day: October 15, 2024

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IFC Invests $25 Million in Acumen’s Fund to Enhance Energy Access in Sub-Saharan Africa

New Investments

IFC Invests $25 Million in Acumen's Fund to Enhance Energy Access in Sub-Saharan Africa

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The International Finance Corporation (IFC) has committed up to $25 million to Acumen’s Hardest-to-Reach (H2R) Fund, a $200 million initiative aimed at improving energy access in underserved regions of Sub-Saharan Africa.

The IFC’s contribution, allocated to the senior tranche, aligns with its broader mission to promote sustainable development in areas grappling with severe energy poverty.

The H2R Fund, structured in three equity tranches—senior, mezzanine, and junior—each valued at $60 million, also includes a $20 million grant facility.

The fund’s goal is to electrify 72 million people over the next decade, while avoiding 5 million tonnes of CO2 emissions.

It focuses on financing off-grid solar companies across 16 countries with low electrification rates.

A key target of the fund is Pay-as-you-Go (PayGo) solar companies, which offer solar home systems to low-income households through affordable incremental payments.

This approach enables clean energy access in areas where traditional grid infrastructure is either too expensive or impractical.

One unique aspect of the fund is a grant that encourages solar providers to reduce interest rates for consumers by meeting specific performance indicators, such as the number of first-time electricity users reached.

This strategy ensures both financial sustainability and social impact by benefiting underserved communities.

Yellow Malawi, one of the companies supported by the H2R Fund, recently received a $2 million investment.

This blended-currency loan is expected to help the company expand its services to approximately 182,000 people. Acumen’s role in this initiative is part of its ongoing efforts to support off-grid solar enterprises and deploy patient capital to social ventures.

Acumen’s H2R Fund employs a blended finance model, combining commercial investments, concessional capital, and grants.

This model mobilizes diverse capital sources to address energy poverty, support sustainable business growth, and contribute to global climate goals.

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“We are delighted to partner with ISA to support the development of solar energy in Africa,” said Alain Ebobissé, CEO of Africa50. “This partnership will help to accelerate the deployment of solar energy in Africa and improve the lives of millions of Africans,” he added.

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Yvette Ishimwe is Pioneering Sustainable Clean Water Solutions for Africa’s Rural Communities

Yvette Ishimwe is Pioneering Sustainable Clean Water Solutions for Africa’s Rural Communities

Yvette Ishimwe is a Rwandan social entrepreneur, environmental advocate, and changemaker.

She is widely celebrated for her innovative efforts in addressing water scarcity and improving access to safe, affordable drinking water in rural communities through her company, Iriba Water Group.

As the founder and CEO, Yvette has leveraged her passion for sustainability and community development to create impactful solutions that enhance the quality of life for underserved populations, particularly in areas with limited access to clean water.

Yvette was born and raised in Rwanda, where she experienced firsthand the challenges of inadequate access to clean water in rural and peri-urban areas. 

These early experiences, combined with her desire to make a tangible difference in her community, inspired her to focus on solving one of Rwanda’s most pressing issues—water scarcity.

Understanding that access to safe water is not only a basic human right but also a cornerstone for sustainable development, she set out on a mission to create solutions that are both affordable and environmentally sustainable.

In 2015, she founded Iriba Water Group, a social enterprise dedicated to providing clean water through innovative, sustainable solutions.

The company utilizes solar-powered water kiosks and mobile water distribution systems to deliver affordable, safe drinking water to communities, schools, and households.

These kiosks are strategically placed in remote areas where access to water is either limited or nonexistent.

Iriba’s mobile water trucks further extend the company’s reach, ensuring that clean water is available to even the most isolated villages.

Through Iriba, Yvette has successfully addressed issues related to waterborne diseases and the time burden placed on women and children, who often bear the responsibility of fetching water from distant, unsafe sources. 

Yvette’s work is aimed at tackling the critical issue of water scarcity in rural Rwanda and other parts of Africa.

Many communities still rely on contaminated water sources, which can lead to the spread of diseases such as cholera and dysentery.

The lack of infrastructure for clean water access also exacerbates poverty, as families are forced to spend time and resources obtaining water rather than engaging in income-generating activities.

Through Iriba Water Group, Yvette seeks to bridge the gap by making clean water affordable and accessible.

The company’s focus on solar-powered technology aligns with her commitment to environmental sustainability, reducing reliance on non-renewable energy sources and contributing to the fight against climate change.

Yvette’s innovative work has garnered national and international recognition, including the Anzisha Prize Laureate (2017).

At the time, she was one of the youngest entrepreneurs to win the prestigious Anzisha Prize, awarded to young African entrepreneurs who are solving critical challenges in their communities.

She was also recognized by Forbes as one of Africa’s most promising young innovators, listed among the top 30 under 30 entrepreneurs in the social impact sector in 2018.

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Regina Honu

Regina is a Ghanaian social entrepreneur and software developer harnessing the power of technology to promote social change in West Africa.

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May 29, 2023
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JPMorgan Chase Granted Approval to Establish Representative Office in Kenya

Key Developments

JPMorgan Chase Granted Approval to Establish Representative Office in Kenya

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JPMorgan Chase, the largest bank in the U.S. by market capitalization, has been granted approval by the Central Bank of Kenya (CBK) to open a representative office in Kenya.
 
 

Operating under the name JPMorgan Chase Bank N.A. Representative Office Kenya, this new venture will focus on exploring business opportunities across the East African region.

Though the office will serve as a liaison and marketing hub, it is not permitted to carry out traditional banking activities as outlined by Kenya’s Banking Act.

This move strengthens Kenya’s position as a leading financial hub in Africa and enhances investment and trade ties between Kenya and the U.S.

The approval follows JPMorgan’s fulfilment of all the necessary requirements, according to CBK.

By establishing this office, JPMorgan Chase aims to capitalize on Kenya’s growing economy and its favorable business environment, contributing to the diversity of Kenya’s financial sector.

The presence of such a global banking giant is also expected to intensify competition among local banks, driving innovation and growth in the industry.

JPMorgan’s entry into Kenya underscores the nation’s growing reputation as a stable and attractive destination for international financial institutions.

The bank, which operates in over 60 countries worldwide, offers a broad range of services, including asset and wealth management, commercial and investment banking, and financial technology solutions.

This latest move marks a significant step in its expansion into the East African region.

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