SANAD Fund for MSME expands into sub-Saharan Africa


SANAD Fund for MSME expands into sub-Saharan Africa

  • Pioneering impact fund carries success in Middle East and North Africa into new region to promote entrepreneurship, job creation, innovation
  • Selected SSA countries targeted for debt and equity investments  

Luxembourg, June 4, 2020 – The SANAD Fund for MSME (SANAD) announced today that it has received shareholder approval to expand both its debt and equity operations into sub-Saharan Africa (“SSA”). Starting with selected SSA countries, the fund and its complementary Technical Assistance Facility will strengthen its MENA presence by supporting existing and new partners in growing their operations in SSA and broadening access to finance for MSMEs. In addition, SANAD seeks to foster the transfer of innovative fintech solutions from SSA into its core MENA region. The fund will continue to pursue the fund’s mission of economic development and job creation by promoting a financial ecosystem committed to supporting the crucial but underserved micro, small, and medium enterprise (MSME) sector. 

SANAD is an impact investment fund that channels capital to entrepreneurs in the Middle East and North Africa (MENA) by investing in local financial institutions committed to serving MSMEs. Investments take place through the SANAD Debt Sub-Fund in the form of loans, including in local currency, or through the SANAD Equity Sub-Fund through, for example, growth capital for financial service providers or fintechs for financial inclusion. The fund is now poised to build on this expertise in the MENA region to expand its impact footprint to sub-Saharan Africa. SANAD plans to scale innovative as well as tested business models for MSME financing from SSA and foster knowledge transfer across the regions. By strengthening the local financial infrastructure that supports MSMEs in both MENA and sub-Saharan Africa, the fund aims to boost financial inclusion, economic opportunities, and job creation. 

SANAD Board Chairperson Dr. Daniela Beckmann said, “SANAD has a successful track record in advancing financial inclusion in MENA, and we are ready to carry this positive impact to a new area of the world that is brimming with entrepreneurial spirit and potential. Sub-Saharan Africa has a lot to offer the fund, as well: from the highly advanced state of digital outreach to an array of business models serving MSMEs, the region is a rich source of financial innovation. Our aim is to strengthen the core presence of the fund in MENA while leveraging on the synergies between the regions that can advance economic opportunities in both.”

About SANAD 

The SANAD Fund for MSME finances micro, small and medium enterprises and low-income households in the Middle East and North Africa via qualified local lenders. SANAD thereby fosters economic development and job creation – including youth employment – agriculture, affordable housing, and innovations in finance and financial technologies. SANAD strives to meet these goals by providing debt and equity financing to its local partners. The SANAD Technical Assistance Facility multiplies the fund’s development impact and outreach through capacity-building with partner institutions, developing financial infrastructures according to the principles of responsible finance and conducting much required R&D. 

An impact investment fund advised by Finance in Motion, SANAD’s investors include the KfW Development Bank, which initiated the fund; the German Federal Ministry for Economic Cooperation and Development (BMZ); the European Union; Switzerland’s State Secretariat for Economic Affairs (SECO); OeEB, the Development Bank of Austria; Germany’s GLS Bank and GLS Treuhand; the Dutch development bank FMO; and Calvert Impact Capital. 

For more information on the SANAD Fund for MSME, please visit:
For more information on Finance in Motion, please visit:  

Media contact – SANAD
Nikki Eggers
Senior Officer, Marketing & Communications
Phone: +49 (0)69 / 271 035-470