AfDB approves $10m equity investment in TIDE Africa Fund
The objective is to boost production and growth in Africa.The African Development Bank (AfDB) has approved a $10 million (€9.4 million) equity investment in the Technology and Innovation in Developing Economies (TIDE) Fund I to boost production and growth in Africa.
The fund, a venture with a target size of $100 million incorporated in Mauritius, will invest in companies that leverage on new technology to dramatically lower the cost of services ranging from agribusiness to financial services, energy, education and healthcare, expanding access to these services by households and enterprises.
It will initially invest in Nigeria, Kenya, and Ghana, followed by Ethiopia, Rwanda and Zambia.
Designed to generate a 16 per cent net internal rate of return to its investors, the fund will focus on businesses providing innovative and affordable solutions for low-income households.
In particular, it will support the development of an ecosystem facilitating growth of new technologies and new companies to increase access and inclusion, including to financial services.