Through their ARIZ guarantee mechanism, Proparco and AFD will help ASISA Enterprise and Supplier Development Fund further support small businesses with a clear social and/or environmental purpose.
ASISA Enterprise and Supplier Development (ASISA ESD) is a South African fund committed to channelling investments from the savings and investment industry into SME development.
The ZAR 28M ARIZ guarantee (approximately €1.7M) granted by the AFD Group to ASISA ESD is designed to cover 50% of ASISA’s equity or quasi equity investments. Thanks to this guarantee, ASISA ESD will be able to support inclusive start-ups or SMEs with a significant social and/or environmental impact and help them reach financial sustainability.
The AFD Group’s ARIZ guarantee mechanism has been sharing risks with local financial institutions and investment funds for over ten years.
This project exemplifies AFD Group’s strong commitment to supporting social & inclusive businesses. Its ambition is to dedicate €1 billion to projects combining entrepreneurship and contribution to the Sustainable Development Goals (SDGs) by 2023.