The funding aims to enhance agricultural productivity and food security in sub-Saharan Africa by supporting high-impact agribusinesses.

The investment package includes up to $20 million from Swedfund, $50 million from BII, and $15 million from Norfund.

These funds will enable AgDevCo to expand its portfolio of small and medium-sized enterprises (SMEs) across the region, with a focus on businesses that produce nutritious foods for local markets and high-value crops for export.

Tomas Wadström, Senior Investment Manager at Swedfund, emphasized the importance of improving food systems in sub-Saharan Africa.

He highlighted challenges such as limited financing, climate vulnerabilities, and inadequate infrastructure.

According to Wadström, investing across the food value chain can enhance resilience, increase production capacity, and create job opportunities, particularly for smallholder farmers.

Roman Frenkel, Director and Head of Food, Agriculture, and Natural Capital at BII, described the investment as a demonstration of BII’s commitment to strengthening food systems and promoting sustainable agricultural practices. 

Frenkel noted that by empowering agribusinesses, the initiative will contribute to economic growth and long-term development in rural communities across Africa.

Norfund’s Investment Manager, Donald Muchiri Kariuki, echoed similar sentiments, underscoring the role of agriculture in fostering inclusive economic growth.

With Norfund’s total investment in AgDevCo now reaching $35 million, Kariuki highlighted the importance of financing enterprises that empower smallholder farmers, promote local food systems, and address climate change challenges. 

He added that the collaboration with BII and Swedfund would help underserved communities transition out of poverty.

AgDevCo’s CEO, Daniel Hulls, welcomed the investment, emphasizing the need for patient and strategic capital to develop commercial agriculture in Africa.

Hulls expressed gratitude for the support from shareholders who recognize both the potential and challenges in the sector.

He stated that the additional funding strengthens AgDevCo’s role as a leading specialist investor, allowing the organization to scale its impact and drive agricultural transformation in the region.