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GroFin wins its category at the 2018 Finance for the Future Awards

GroFin is pleased to announce that it is the winner of the Finance for the Future Awards, in the Building Sustainable Financial Products category.

Finance for the Future Awards is run by ICAEW (Institute of Chartered Accountants in England and Wales) and A4S (The Prince’s Accounting for Sustainability Project) along with their partner Deloitte. The prestigious awards saw nominees, in the different categories, such as HSBC (UK), Coca Cola and Standard Bank Group amongst others.

With the Building Sustainable Financial Products category, the nominees competing with GroFin were the highly-recognised and highly-respected nominees, namely, Abundance Investment (UK), Environmental Finance (UK), QBE (Australia) and Yes Bank (India).

The award ceremony took place in London on the 16th of October and GroFin was represented by its CFO William Morkel who collected the award on behalf of the company.

“I would like to dedicate this award to our employees, as well as our clients and investors. It is testimony to the collective effort we undertake here at GroFin to bring about positive social and financial impact in the lives of the people we serve,” says Guido Boysen, GroFin CEO.

GroFin wins 2018 Finance for the Future Awards

Finance for the Future Awards is held every year and has six categories namely; Embedding an integrated approach, Innovative project, Communicating integrated thinking, Investing and financing, Building sustainable financial products and Driving change through education, training and academia.

About GroFin

GroFin is a pioneering private development financial institution specialising in financing and supporting small and growing businesses (SGBs) across Africa and the Middle East. We combine medium term loan capital and specialised business support to grow SGBs in emerging markets. By successfully combining medium term loans and specialised business support delivered through our local offices, we have invested in over 700 SMEs and sustained over 88,150 jobs across a wide spectrum of business activities within the 15 countries in Africa and Middle East that we operate in. GroFin has its headquarters located in Mauritius.

Media enquiries:

Sharmila Kowlessur (Chief Marketing Officer – GroFin) on +230 452 9156 , or email sharmila@grofin.com

Notes to editors:

ICAEW connects over 147,000 chartered accountants worldwide, providing this community of professionals with the power to build and sustain strong economies.

Training, developing and supporting accountants throughout their career, we ensure that they have the expertise and values to meet the needs of tomorrow’s businesses.

Our profession is right at the heart of the decisions that will define the future, and we contribute by sharing our knowledge, insight and capabilities with others. That way, we can be sure that we are building robust, accountable and fair economies across the globe.

ICAEW is a member of Chartered Accountants Worldwide (CAW), which brings together 11 chartered accountancy bodies, representing over 1.6m members and students globally.

The Prince’s Accounting for Sustainability Project (A4S)

The Prince’s Accounting for Sustainability Project (A4S) was established by HRH The Prince of Wales in 2004. Our aim is to make sustainable decision making business as usual.

We work with the finance and accounting community to:

  • Inspire finance leaders to adopt sustainable and resilient business models
  • Transform financial decision making to enable an integrated approach, reflective of the opportunities and risks posed by environmental and social issues
  • Scale up action across the global finance and accounting community

A4S has three global networks: the Chief Financial Officers Leadership Network, a group of CFOs from leading organizations seeking to transform finance and accounting; the Accounting Bodies Network whose members comprise approximately two thirds of the world’s accountants; and, the Asset Owners Network which brings together Pension Fund Chairs to integrate sustainability into investment.

www.accountingforsustainability.org

Deloitte

In this press release references to “Deloitte” are references to one or more of Deloitte Touche Tohmatsu Limited (“DTTL”) a UK private company limited by guarantee, and its network of member firms, each of which is a legally separate and independent entity. Please see deloitte.com/about for a detailed description of the legal structure of DTTL and its member firms.

Deloitte LLP is a subsidiary of Deloitte NWE LLP, which is a member firm of DTTL, and is among the UK’s leading professional services firms.

The information contained in this press release is correct at the time of going to press.

For more information, please visit www.deloitte.co.uk.

Millennial movement: Why the young are impact investment’s big hope

Even as ‘The Economist’ noted in an authoritative piece at the start of 2017 that impact investing has come of age, moving into 2018 it looks like the rise of impact investing is indeed an age-related phenomenon. Powering the growth of impact investing are the millennial youth, the freshly minted generation of the 1980s and 1990s, who are looking set to bring impact investments from the realm of ‘good-to-have’ to ‘must-have’.

Even as ‘The Economist’ noted in an authoritative piece at the start of 2017 that impact investing has come of age, moving into 2018 it looks like the rise of impact investing is indeed an age-related phenomenon. Powering the growth of impact investing are the millennial youth, the freshly minted generation of the 1980s and 1990s, who are looking set to bring impact investments from the realm of ‘good-to-have’ to ‘must-have’.

Acknowledging this change that is set to sweep through the impact investment world, ‘The Economist’ noted at the close of 2017 that the young are Impact Investing’s big hope. Having grown up in a digital age, millennials are both more exposed to the world’s woes, and more likely to use electronic investment tools. It then becomes clear for all to see that a powerful force for good which uses the best of modern technology to power its growth is unstoppable indeed.

And, where else would this change commence but from the education sector – an arena that reflects societal changes even before they take root in the real world. No surprise then that this millennial magic is already visible in the field of higher education. Under pressure from their alumni, several university endowments have promised to review their investment portfolios under a ‘socially responsible’ lens. Business schools are also reporting that classes related to Environmental, Social and Governance (ESG) investments are oversubscribed. With ESG being the new mantra of the impact investment world, an increase in ESG investments invariably indicates increased uptake of impact investing as a global phenomenon.

So, what is the size of this global force for good? Global consultancy firm Deloitte estimates that, by 2020, millennials may control up to US$24trn. The vast stores of wealth at their disposal, coupled with their optimistic belief that they can ‘change the world’, means that they are set to take the world of impact investment by storm.

This is backed up by a survey in America by Morgan Stanley that is found in their “Sustainable Signals” report for 2017 which examines the findings of an impact-investing-focused survey of 1,000 active investors across the age spectrum, and is a sequel to a 2015 report on the same theme.

Morgan Stanley’s survey found that millennials have underpinned the growth of the market for impact investing. From 2015 to 2017, those who said they were very interested in impact investing grew by 10 percentage points, to 38%. The report also noted that Millennials “are twice as likely as the overall pool to invest in companies or funds that target social or environmental outcomes. A whopping 75% millennials agreed that their investments could influence climate change, compared with 58% of the overall population. They are also twice as likely as investors in general to check product packaging or invest in companies that espouse social or environmental objectives. And, like children of every generation, they influence their parents – baby boomers who have large fortunes of their own.

Meanwhile, a 2016 survey by the Toniic institute, the global action community for impact investors with members in 26 countries, showed that millennials surveyed across 6 continents were indeed interested in impact investing. While some are taking a portfolio approach, others are considering how to align their careers and their philanthropic activities with their values and impact investments.

However, they also cited various challenges in the way of playing a more active role in the impact investment space. Overall, the survey concluded that millennials need more support to realise their impact objectives. While the young generation demonstrates a thoughtful, rigorous approach to impact investing, they need more access to tailored capacity building in impact investing as well as robust investment channels across asset classes. Finally, while they currently leverage their friends and investor networks to access the right causes and companies to invest in, they also want to collaborate more with their family members and advisors.

It is clear then that the millennial generation needs more information on the impact investing space as they take crucial decisions about partnering with organisations and joining forces for social change. Impact investors that possess deep insights and access into markets that are otherwise complex to understand and tough to reach, can then make it easier for the millennial generation to maximise their impact.

GroFin is one such organisation that has pioneered impact investing in emerging economies across Sub-Saharan Africa and the Middle East & North Africa (MENA). With a unique, award winning model that provides Small and Growing Businesses (SGBs) not only with access to finance but also tailored business support, GroFin manages various funds through which millennials and other investors can participate in the challenging yet rewarding impact investment space in Africa and MENA.

With a primary focus on vital needs sectors such as education, healthcare, agribusiness, manufacturing and key services such as water, waste and energy, GroFin has achieved a high impact footprint across its 15 locations of operation. To illustrate, GroFin has supported 8,750 entrepreneurs, financed 673 SMEs, helped sustain 115,580 jobs and improved the lives of 577,905 people as at 31 December 2017.

So, partner with us and become a part of this exponential movement to change the lives of entrepreneurs and communities across Africa and MENA.

GroFin opens 16th office across Africa and MENA, to invest in SMEs in Senegal

GroFin, a pioneering SME development financier, has opened its office in Senegal, furthering its expansion into West Africa’s Francophone belt after Ivory Coast.

With the opening of this office, Senegalese entrepreneurs can expect to benefit from the unique model of appropriate, medium-term finance and specialised, value-added business support that GroFin extends to Small and Growing Businesses (SGBs) across its locations of operation.

Headquartered in Mauritius, GroFin currently has an investment footprint in 14 countriesacross Africa and the Middle East – straddling key economies in Eastern Africa, Western Africa, Southern Africa and the Middle East and North Africa (MENA) region – with one to two countries expected to be added each year.

GroFin’s latest in-country expansion heralds a new investment horizon for its flagship Small and Growing Businesses Fund (SGB Fund). Launched in September 2014 across nine African countries, the Fund has capital commitments of USD 100 million, making it one of the largest funds specifically targeting SGBs in Africa.

The SGB Fund follows on the fully invested GroFin Africa Fund, marking 13 years during which GroFin has supported over 8,500 entrepreneurs and invested in 640 SGBs, as well as sustained 104,950 jobs, benefitted 524,770 livelihoods and added economic value exceeding USD 700 m per annum through its investees, as at 30th June 2017.

With an evergreen structure, the SGB Fund was created by GroFin together with the Shell Foundation, an independent charity; the German Development Bank, KfW; the Norwegian Investment Fund for Developing Countries, Norfund; and the Dutch government through the Dutch Good Growth Fund (DGGF).

What businesses can do to promote women empowerment in Africa

Eliminating gender inequality and empowering women could raise the productive potential of one billion Africans, delivering a huge boost to the continent’s development potential,” notes the African Development Bank on women empowerment.

In this context, businesses have a key role to play in advancing women’s economic empowerment in Sub-Saharan Africa (SSA). In addition to their human rights obligations, companies are increasingly viewing women’s economic empowerment as a core part of their mission and values. Indeed, they have a business interest in ensuring that women employees, suppliers, distributors, and customers succeed – McKinsey Global Institute estimates that if women participated in the economy as equal counterparts to men, it would add as much as US$28 trillion to the annual global GDP by 2025.

Unfortunately, women in SSA face deeply rooted obstacles to achieving their potential at work. First, women in the workforce, regardless of industry, face many common challenges such as the need for additional education and training for career progression, a lack of female role models, the absence of good childcare options and decent maternity leave, and risks to their personal safety and security. Second, for women to be economically empowered, it will take much more than a job – there is an urgent need to go beyond to invest in the resources, opportunities, protections, and skills that women need to achieve their full potential and decide what they want to do with their lives. Third, to address systemic challenges, companies will need to partner locally and globally with a wide range of organisations, including local grassroots women’s organisations, development finance institutions, local governments, public health care providers, and industry peers.

Due to the above challenges, women in SSA achieve an average of 87 percent of male human development outcomes, thus impeding economic and social development in the region. Indeed, the United Nations estimates that gender inequality costs SSA an average of US$ 95 billion a year.

These insights form part of an in-depth report released this year by the US-based non-profit organisation, Business for Social Responsibility (BSR). Titled ‘Women’s Economic Empowerment in Sub-Saharan Africa: Recommendations for Business Action’, the report outlines the role of businesses in boosting women empowerment in Africa.

BSR’s research reveals six practical areas where companies, regardless of industry, can make significant progress in advancing women’s economic empowerment in SAA. These areas include: building a gender-sensitive workplace with flexible work arrangementsto accommodate working parents, strengthen channels for women to express their concerns, and invest in quality childcare; providing leadership and advancement opportunities through fair and transparent promotion and recruitment processes, encouraging informal and formal leadership opportunities and supporting initiatives outside of the workplace such as women’s networking associations; strengthening education and training by sponsoring technical training and internships for young women, advocating for greater public investments and incentives to keep girls in school and encouraging their interest in STEM subjects; investing in policies and procedures to protect women from sexual harassment, creating secure channels to report incidents, and ensuring that such incidents are handled fairly and result in disciplinary action; providing opportunities for entrepreneurship and business linkages with transparent processes for securing business contracts, procurement policies prioritising women-owned businesses, and working more closely with local partners to ensure that women have the skills and resources to grow their businesses; and, building more inclusive communitiesby partnering with organisations that provide community services, supporting efforts to protect women’s, labour, and human rights and advocating for local governments to promote women’s economic empowerment.

Whilst much more remains to be done, the report acknowledges that the private sector already plays an important role for women in SSA by generating economic and other opportunities. Indeed, Africa, as a whole, has more women in executive committees, more women serving as CEO, and more women on company boards than the average worldwide. Despite this progress, women are still underrepresented at every level of the corporate ladder and are disproportionately affected by some of the negative impact of business.

In this context, supporting women-based businesses in SSA can go a long way towards promoting women empowerment and building inclusive communities. Women empowerment forms a core impact objective at GroFin, a development financier that focuses on small businesses across Africa and the Middle East in vital needs sectors such as education, healthcare, agribusiness, manufacturing and key services (water/energy/waste) to help entrepreneurs make a difference to their communities.

GroFin’s mission is aligned with the achievement of the United Nation’s Sustainable Development Goal 5 (‘Achieve gender equality and empower all women and girls’) through its emphasis on women-led businesses and female employment. In keeping with its focus on women empowerment, by close of 2016, GroFin had supported over 100 women-owned businesses and as many as 28,500 of the total jobs sustained (30%) in investee businesses were for female employees.

Women entrepreneurs such as Kenya’s Irene, whose brainchild GAEA Foods empowers farmers in the Rift Valley to supply quality potatoes to Nairobi’s competitive fast foods industry; Jordan’s Hiyam, whose school, English Talents, in turn empowers girls with the education and skills they need to succeed in a global economy; South Africa’s Rinawhose Zambesi Akademie is making a difference to more and more special needs children through the widened reach of its expanded premises; and Nigeria’s Latifat, whose Hatlab Ice Cream Delite has spawned multiple successful outlets across 3 cities and has now gone on to develop franchise management skills – GroFin’s finance and support has made a difference to women-owned businesses across Africa and the Middle East.

If you are an investor seeking to reach out to women entrepreneurs across Africa and the Middle East, we invite you to partner with us. GroFin’s proven expertise in supporting women-owned businesses, and its capacity to provide them with unprecedented access to finance, business development skills and market linkages, can help you to deepen your impact footprint.

Building an inclusive green economy in Africa, one entrepreneur at a time

To imagine a green economy alone is not enough in a world where the dominant economic model actively promotes inequalities and encourages wasteful consumption to spur unnecessary demand and production in a vicious cycle. It is the inclusive green economy that truly provides a solution to the pressing problem of environmental degradation that is affecting not only the present generation but also holding children across the globe to ransom in our hurried pursuit of quick gains.

As the United Nations notes, the inclusive green economy is a fitting alternative to the traditional economic model of capitalism which generates widespread environmental and health risks, encourages wasteful consumption and production, drives ecological and resource scarcities and results in inequality. The concept of an inclusive green economy is rooted in economic growth that goes hand in hand with sustainable development andsocial equity.

Starting this revolution in Africa then seems inevitable, as the emerging continent is writing a fresh story of growth for which an economic model that has led the developed world to the verge of ecological disaster is certainly no fitting start. As the United Nations Environment Programme highlights in its seminal work Building Inclusive Green economies in AfricaAfrica has been fortunate to realise early on that continuing with business-as-usual models of development was not a practical option in a world of increasing environmental scarcities, economic uncertainty and widespread poverty. Today, having built on a strong endowment of natural resourcesskills and cultures, Africa is well-poised to benefit from a global shift to more sustainable models of economic growth.

At GroFin, we believe that partnering with small and growing businesses to generate sustainable economic growth, jobs and social benefits, as well as protect vital natural resources, is our way of contributing towards an inclusive green economy in Africa. Ultimately, the inclusive green economy is a guaranteed pathway towards achieving the UN Sustainable Development Goals for eradicating poverty while safeguarding the environment.

Founded in 2004 by a serial entrepreneur who is passionate about environmental conservation, GroFin has strong roots in championing the green economy. GroFin’s chairman and founder Jurie Willemse started a solar electricity business in 1988 when the technology was largely unknown. It is in keeping with the vision of its founding entrepreneur that GroFin prioritises energy as a sector of focus, together with allied services such as water and sanitation, all of which are the pillars of a green economy.

Indeed, GroFin’s footprint in the energy and allied sub-sectors space is a growing one and comprises of investments within the value chain related mostly to the supply of waterelectricity and waste management. GroFin has invested in 24 SMEs in this sector, representing a total investment of over USD 9.5 million and sustaining a total of 11,605 jobs across Sub-Saharan Africa and the Middle East & North Africa (MENA).

GroFin provides a unique value proposition of finance as well as value-added business support to such investee SMEs. GroFin has designated in-house key services ‘industry experts’ that work with external technical assistance partners to provide business planning, quality management systems, cash flow management and propose efficient business operation and management as well as marketing and Environmental, Social and Governance (ESG) best-practice knowledge to funded SMEs in the sector.

With its dedicated focus on the energy, water and waste services sector, GroFin has provided medium term finance and business support to SMEs engaged in borehole drilling to facilitate access to potable waterproduction of purified drinking water sachetsmanufacturing and sale of renewable energy products (solar and wind), plastic recycling as also to auxiliary service providers in the utilities sector. From clients in Nigeria who provide access to clean drinking water to large segments of the population, to clients in Kenya who innovate indigenous technologies in the solar energy space, our footprint in the green economy arena covers multiple sub-sectors and geographies.

One of our clients is Botto Solar, which is a leading solar energy company in Nakuru, Kenya. Botto Solar is run by entrepreneurial couple Ephraim and Edith who have spent 20 years building the local business from a small scale solar installations to a pioneering energy savings company in Kenya.

GroFin’s investment in Botto Solar has been one of the catalysts in developing a solution to the challenges of the Dadaab refugee camp that hosts refugees from war-torn Somalia. Innovations such as a stove that runs on solar energy have helped multiple families to have access to food, which was otherwise impossible as the camp faced an increasing influx of refugees and could not cater to all of them with conventional cooking methods. Apart from finance, the business has received support to implement a new accounting system and a debt collection strategy as well as key inputs for marketing and product development.

With finance and business support from GroFin, Botto Solar is set to expand and touch many more lives. Botto Solar sustains 39 jobs and employee development is a key focus area given that many of the new hires are unskilled or semi-skilled and some are high school dropouts.

Going forward, GroFin’s objective is to further grow investments in this sector from 4% to 10-15% over the medium term, thereby facilitating access to watersanitation and energy to a wider population, especially to those in severely underserved regions in Sub-Saharan Africa and MENA. We are looking for partners in our mission to build an inclusive green economy, one entrepreneur at a time.

Ultimately, we believe at GroFin that every person deserves to have a stable job and to access basic services such as foodwaterhealthcaresanitationenergy and educationImpact investing is GroFin’s mission and our contribution to the world is to continue our focus on job creation and to accelerate our work in our priority areas of WaterEnergy and WasteAgribusinessHealthcareEducation and Manufacturing.

To imagine a green economy alone is not enough in a world where the dominant economic model actively promotes inequalities and encourages wasteful consumption to spur unnecessary demand and production in a vicious cycle. It is the inclusive green economythat truly provides a solution to the pressing problem of environmental degradation that is affecting not only the present generation but also holding children across the globe to ransom in our hurried pursuit of quick gains.

As the United Nations notes, the inclusive green economy is a fitting alternative to the traditional economic model of capitalism which generates widespread environmental and health risks, encourages wasteful consumption and production, drives ecological and resource scarcities and results in inequality. The concept of an inclusive green economy is rooted in economic growth that goes hand in hand with sustainable development andsocial equity.

Starting this revolution in Africa then seems inevitable, as the emerging continent is writing a fresh story of growth for which an economic model that has led the developed world to the verge of ecological disaster is certainly no fitting start. As the United Nations Environment Programme highlights in its seminal work Building Inclusive Green economies in AfricaAfrica has been fortunate to realise early on that continuing with business-as-usual models of development was not a practical option in a world of increasing environmental scarcities, economic uncertainty and widespread poverty. Today, having built on a strong endowment of natural resourcesskills and cultures, Africa is well-poised to benefit from a global shift to more sustainable models of economic growth.

At GroFin, we believe that partnering with small and growing businesses to generate sustainable economic growth, jobs and social benefits, as well as protect vital natural resources, is our way of contributing towards an inclusive green economy in Africa. Ultimately, the inclusive green economy is a guaranteed pathway towards achieving the UN Sustainable Development Goals for eradicating poverty while safeguarding the environment.

Founded in 2004 by a serial entrepreneur who is passionate about environmental conservation, GroFin has strong roots in championing the green economy. GroFin’s chairman and founder Jurie Willemse started a solar electricity business in 1988 when the technology was largely unknown. It is in keeping with the vision of its founding entrepreneur that GroFin prioritises energy as a sector of focus, together with allied services such as water and sanitation, all of which are the pillars of a green economy.

Indeed, GroFin’s footprint in the energy and allied sub-sectors space is a growing one and comprises of investments within the value chain related mostly to the supply of waterelectricity and waste management. GroFin has invested in 24 SMEs in this sector, representing a total investment of over USD 9.5 million and sustaining a total of 11,605 jobs across Sub-Saharan Africa and the Middle East & North Africa (MENA).

GroFin provides a unique value proposition of finance as well as value-added business support to such investee SMEs. GroFin has designated in-house key services ‘industry experts’ that work with external technical assistance partners to provide business planning, quality management systems, cash flow management and propose efficient business operation and management as well as marketing and Environmental, Social and Governance (ESG) best-practice knowledge to funded SMEs in the sector.

With its dedicated focus on the energy, water and waste services sector, GroFin has provided medium term finance and business support to SMEs engaged in borehole drilling to facilitate access to potable waterproduction of purified drinking water sachetsmanufacturing and sale of renewable energy products (solar and wind), plastic recycling as also to auxiliary service providers in the utilities sector. From clients in Nigeria who provide access to clean drinking water to large segments of the population, to clients in Kenya who innovate indigenous technologies in the solar energy space, our footprint in the green economy arena covers multiple sub-sectors and geographies.

One of our clients is Botto Solar, which is a leading solar energy company in Nakuru, Kenya. Botto Solar is run by entrepreneurial couple Ephraim and Edith who have spent 20 years building the local business from a small scale solar installations to a pioneering energy savings company in Kenya.

GroFin’s investment in Botto Solar has been one of the catalysts in developing a solution to the challenges of the Dadaab refugee camp that hosts refugees from war-torn Somalia. Innovations such as a stove that runs on solar energy have helped multiple families to have access to food, which was otherwise impossible as the camp faced an increasing influx of refugees and could not cater to all of them with conventional cooking methods. Apart from finance, the business has received support to implement a new accounting system and a debt collection strategy as well as key inputs for marketing and product development.

With finance and business support from GroFin, Botto Solar is set to expand and touch many more lives. Botto Solar sustains 39 jobs and employee development is a key focus area given that many of the new hires are unskilled or semi-skilled and some are high school dropouts.

Going forward, GroFin’s objective is to further grow investments in this sector from 4% to 10-15% over the medium term, thereby facilitating access to watersanitation and energy to a wider population, especially to those in severely underserved regions in Sub-Saharan Africa and MENA. We are looking for partners in our mission to build an inclusive green economy, one entrepreneur at a time.

Ultimately, we believe at GroFin that every person deserves to have a stable job and to access basic services such as foodwaterhealthcaresanitationenergy and educationImpact investing is GroFin’s mission and our contribution to the world is to continue our focus on job creation and to accelerate our work in our priority areas of WaterEnergy and WasteAgribusinessHealthcareEducation and Manufacturing.