Konrad News – The news site

Supporting SMEs in Africa and Asia – JICA Invests in Aavishkaar’s Impact Investment Fund: Boosting Supply Chain Enhancement, Food Security, and Industrial Competitiveness | News & PR

On February 19, the Japan International Cooperation Agency (JICA) signed an agreement to invest in the Global Supply Chain Support Fund SCSp (GSCSF), a new fund established by Aavishkaar Capital (an Aavishkaar Group company), an Indian impact investment firm. JICA will collaborate with development finance institutions such as KfW and private investors.

Aavishkaar Group founder Rai (left), KfW’s David (center), and JICA Private Sector Partnership Division Director Yasui (right) at the signing ceremony at an acceleration event organized by Aavishkaar Group (Kenya)

Supply chain vulnerabilities and food security challenges are prominent in Africa and emerging Asia, and small and medium-sized enterprises (SMEs) are important supporters of local economies. This fund financially supports SMEs in the agriculture, food processing, transportation, and manufacturing sectors by,

Creating a Sustainable Supply Chain

Food security through food supply stabilization

Strengthening the competitiveness of local industries

We aim to contribute to the

This investment is expected to serve as a catalyst for private investment, especially in Africa, and will also return capital to the Japanese economy by making it easier for Japanese companies to enter the African market.

It will contribute to the “Indian Ocean-Africa Economic Zone Initiative,” which aims to contribute to intra-regional integration and industrial development in Africa, and furthermore, to return the money to Japan.

Project Summary

Investment Partners

Global Supply Chain Support Fund SCSp (GSCSF)

Country (region covered)

Africa & Asia

Capital contribution

US$40 million

Project Name

ESG Promotion and Impact Investment Support Business

Business Objectives

This project aims to improve access to finance for socially and environmentally responsible enterprises in Africa and Asia by investing in impact investment funds targeting small and medium-sized enterprises (SMEs) related to agriculture, food processing, transportation, manufacturing, and other supply chains in the region. This is expected to contribute to the formation of sustainable supply chains in the region, food security, and the strengthening of the industrial sector infrastructure, thereby contributing to the sustainable development of the regional economy.

Business Overview

The investment will be used to finance the SME investments and loans to be made by Aavishkaar Capital’s Fund for Africa and Asia (GSCSF), which is expected to generate the level of financial return required for private sector operations.

Contribution to SDGs

Goal 2 (zero hunger)

Goal 5 (Achieve gender equality)

Goal 8 (both job satisfaction and economic growth)

Goal 9 (Create a foundation for industry and technological innovation)

Goal 12 (Responsibility to Create)

Goal 17 (Let’s achieve our goals in partnership)

This project is the flagship project of the Impact Investing for Development of Emerging Africa (IDEA) Initiative, which JICA announced on August 22, 2025 at a side event of the 9th Tokyo International Conference on African Development (TICAD 9). It is.

read more

© Source JICA

Exit mobile version