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.

The latest funding aims to expand the company’s reach and enhance financial accessibility for smallholder farmers.

This investment builds on BII’s previous support in 2023, which enabled SunCulture to distribute 9,000 solar irrigation systems to farmers across Kenya. 

The new funding will play a key role in scaling an innovative carbon financing initiative designed to lower upfront costs for farmers.

Through this scheme, up to 16,000 smallholder farmers are expected to benefit from affordable access to solar-powered irrigation technology.

Christopher Chijiutomi, Managing Director and Head of Africa at BII, emphasized the investment’s broader impact on agriculture and climate resilience.

“Our further investment in SunCulture will continue to reduce the upfront costs of solar irrigation systems, reaching more smallholder farmers in Kenya. This will increase farmland productivity and farmers’ incomes and improve their resilience to the impacts of climate change,” he stated.

Chijiutomi also highlighted the significance of the carbon financing model in attracting private-sector investment and fostering innovation.

“As the UK’s development finance institution, we are proud to support a pioneering carbon financing pilot that demonstrates feasibility and attracts private capital. It exemplifies our commitment to fostering innovation, enhancing food security, and improving access to clean energy for all,” he added.

The investment aligns with efforts to promote sustainable agriculture and climate-smart solutions, ensuring that smallholder farmers can access reliable and cost-effective irrigation systems while contributing to carbon reduction initiatives.

Wami Agro helps smallholder farmers increase their incomes through technology-driven solutions.

The company offers three main services:

Wami Market – A fleet of trucks collects produce from farmers and delivers it to warehouses.

The produce is sorted, packed, and transported to buyers. Wami’s “Pukpara” platform improves these operations, ensuring fair prices and market access.

Wami Credit – A digital platform that helps village savings and loan associations (VSLAs) assess credit scores. This improves access to financing for seeds, fertilizers, and equipment.

Wami Info – Training programs that equip farmers with knowledge and climate-resilient farming practices.

Since its launch, Wami Agro has built a network of over 14,000 smallholder farmers.

They mainly grow rice, maize, soya, and sorghum. The company also works with around 50 aggregators and producers, selling more than 5,000 tonnes of grains.

With Acumen’s support, Wami Agro plans to scale operations and expand sourcing to Sierra Leone and Burkina Faso.

The company will also roll out its Pukpara farm management platform.

“This investment will help us expand, improve technology, and drive positive change in agriculture,” said Caleb Edwards, founder of Wami Agro.

Babatunde Usman, an investment manager at Acumen West Africa, praised Wami Agro’s work:

“Their commitment to smallholder farmers aligns with Acumen’s values. We are excited to support their efforts to create sustainable agricultural impact,” he said.

The Tunisian startup aims to use this investment to expand its reach across the region and introduce new product categories.

The funding round was led by Janngo Capital, a venture capital firm focused on promoting gender equality in Africa.

Other investors included U.S.-based firms Renew and Village Capital, as well as prominent business angels such as the founders of InstaDeep, a Tunisian artificial intelligence company.

Dabchy’s success highlights the growing interest in circular economy solutions for fashion, especially in emerging markets.

In Tunisia, the clothing industry accounts for about 20% of GDP, with women holding 80% of jobs in the sector.

Fatoumata Bâ, Founder and Executive Chairwoman of Janngo Capital, emphasized the startup’s role in reshaping the industry:

“Dabchy is driving sustainable change in the clothing sector while delivering economic, social, and environmental benefits,” she said. “We are excited to support its expansion into Egypt and other markets.”

The demand for second-hand fashion is increasing across Africa, where 80% of apparel and footwear purchases come from the resale market.

However, quality and reliability remain challenges. Dabchy addresses this by offering a user-friendly digital platform where customers can buy and sell pre-owned clothing with ease.

Since its launch in 2016, the platform has attracted 1.3 million users in Tunisia, proving the demand for affordable and sustainable fashion.

With the new funding, Dabchy plans to extend its operations across North Africa and the Middle East by 2026.

The company is also expanding beyond fashion into home goods, sports equipment, books, and games.

A new section, “Dabchy Men,” was recently introduced to meet the rising demand for second-hand men’s fashion.

Dabchy’s CEO and Co-Founder, Ameni Mansouri, expressed excitement about the company’s future:

“This investment will help us scale our business, improve user experience, and strengthen our position in the region,” she said. “Our goal is to make circular e-commerce both sustainable and profitable.”

Investor Ashley Maddox praised the platform’s potential, saying, “Dabchy makes shopping for second-hand fashion simple and digital. Consumers are embracing it, and under Ameni’s leadership, the company is set to dominate the market in North Africa and the Middle East.”

Dabchy is also working on improving logistics and transaction security to enhance customer satisfaction.

The company plans to optimize supply chains and partner with regional delivery services as it enters new markets.

The project, valued at $600 million, is poised to enhance the nation’s food production and stimulate economic growth.

The collaboration delineates clear ownership stakes: Asset Green will hold a majority share of 51%, EABC will possess 25%, and EIH will control the remaining 24%.

This strategic partnership aims to leverage the strengths of each entity to modernize and expand Ethiopia’s agribusiness landscape.

Phased Implementation

The initiative is structured in two distinct phases:

1. Phase One: This initial stage focuses on the dairy industry, with plans to breed 10,000 dairy cows. It encompasses the development of feed production systems and the establishment of advanced milk processing facilities. This phase aims to meet the growing domestic demand for dairy products and reduce reliance on imports.

2. Phase Two: Subsequent efforts will shift towards crop cultivation and processing, targeting staples such as rice, cotton, and oilseeds. This phase is designed to diversify Ethiopia’s agricultural output and introduce value-added processing capabilities, thereby enhancing export potential.

Established in December 2015, EABC is a federal public enterprise formed through the merger of five state-owned entities, including the Ethiopian Seed Enterprise and Agricultural Inputs Supply Enterprise.

The corporation is dedicated to supplying agricultural inputs, machinery, and services to enhance productivity across Ethiopia.

EIH, serving as the Ethiopian government’s strategic investment arm, oversees a diverse portfolio of state-owned enterprises.

Its mission is to attract investments and manage assets to foster economic development and improve the quality of life for Ethiopians.

This partnership aligns with Ethiopia’s broader objectives to modernize its agricultural sector, ensure food security, and stimulate economic growth.

By integrating advanced farming techniques and processing technologies, the project is expected to create employment opportunities, enhance export revenues, and contribute to the nation’s sustainable development goals.

The collaboration also reflects a growing trend of international investment in Ethiopia’s agribusiness, signaling confidence in the country’s economic potential and commitment to transformative growth.

Announced at an event in Lagos, this program is a collaboration with organizations such as Tech4Dev and Data Science Nigeria, focusing on enhancing the employability of Nigerian youth through education in AI and cybersecurity.

Olatomiwa Williams, Managing Director of Microsoft Nigeria and Ghana, emphasized the company’s dedication to empowering individuals and organizations to seize opportunities in the AI-driven industrial landscape.

This initiative builds upon Microsoft’s previous efforts to strengthen digital skills across Africa.

In May 2024, in partnership with G42, Microsoft announced a $1 billion investment to enhance Kenya’s digital infrastructure, including the development of a geothermal-powered data center and an innovation hub.

Additionally, Microsoft has pledged to train one million South Africans in AI and cybersecurity skills by 2026, aiming to democratize access to AI education and foster a more equitable digital future.

While the $1 million investment in Nigeria aims to reach a vast audience, questions have been raised about the feasibility of training one million individuals with this budget, equating to $1 per trainee.

Details regarding the program’s structure, depth, and the nature of certifications to be offered remain undisclosed.

The State of AI in Africa: Policy and Funding

Africa’s AI landscape is rapidly evolving, marked by significant investments, policy developments, and a growing tech ecosystem.

The African Union (AU) has demonstrated a strong commitment to AI advancement by endorsing the Continental AI Strategy during its 45th Ordinary Session in Accra, Ghana, in July 2024.

This strategy promotes an Africa-centric, development-focused approach to AI, emphasizing ethical, responsible, and equitable practices.

Several African nations have proactively developed national AI policies to harness the technology’s potential.

Despite these advancements, challenges persist. Experts have noted that the state of AI in Nigeria is still in its early stages, with significant growth potential.

Educational initiatives and strategic investments are crucial to accelerate AI adoption and integration across various sectors.

The investment is set to enhance the operations of Premium Cocoa Products Ile-Oluji, a key subsidiary of Johnvents Group, enabling it to reach its full annual production capacity of 30,000 metric tonnes of cocoa.

As the world’s fourth-largest cocoa producer, Nigeria has significant untapped potential in the global cocoa market.

However, challenges related to processing inefficiencies and sustainability practices have hindered the country’s ability to maximize exports.

Johnvents Group aims to address these challenges by utilizing the newly secured funding to modernize its production processes and strengthen its sustainability and traceability initiatives, ensuring compliance with global standards for ethical sourcing.

A core aspect of this investment is the company’s ambition to achieve 100% traceable cocoa by 2027, with at least 90% of its supply certified.

This strategic move is expected to boost production efficiency, increase Nigeria’s export competitiveness, and provide economic benefits to local cocoa farmers by fostering fair trade and sustainable farming practices.

Benson Adenuga, Coverage Director and Head of Nigeria Office at BII, highlighted the importance of this collaboration in overcoming key obstacles in Nigeria’s cocoa industry:

“We are pleased to support Johnvents Group in addressing critical barriers to growth in the sector. This investment will benefit local farmers, strengthen Nigeria’s trade position, and enhance the country’s global presence through increased exports,” he stated.

Echoing this sentiment, Jonny Baxter, British Deputy High Commissioner in Lagos, emphasized the UK’s commitment to sustainable investments in Nigeria.

“The UK is proud to support high-quality, sustainable investments that create jobs and foster mutually beneficial partnerships across Nigeria,” Baxter noted.

John Alamu, Group Managing Director of Johnvents Group, described the investment as a pivotal step in strengthening Nigeria’s agribusiness sector:

“This funding for our Premium Cocoa Products Ile-Oluji facility marks a major advancement in our goal to build a sustainable and globally competitive cocoa industry. It will enhance our processing capabilities, empower thousands of farmers, and contribute significantly to Nigeria’s economic growth,” Alamu remarked.