Incofin Investment Management has announced the first three investments made through the new Nutritious Foods Financing Facility (N3F), launched earlier this year.
Each selected company has received debt financing in the range of $500,000 to $1m to scale up their production, increasing their capacity to supply lower-income local households in Sub-Saharan Africa with nutritious food. They will also be supported with tailored technical assistance managed by the Global Alliance for Improved Nutrition (GAIN).
The announcement coincides with the Africa Food Systems Forum in Kigali, Rwanda, showcasing the role of innovative financing to transform food systems.
Selected investments
Shalem Investment Ltd, a Kenyan SME active in aggregating smallholder farmers’ produce and the fortified flours business, is the first beneficiary. Shalem provides local communities with affordable, high-quality fortified maize and wheat flour, crucial for staple foods like Ugali and porridge. Fortified flours can play an important role in addressing malnutrition, as they provide an affordable source of micronutrients, especially in rural areas of low- and middle-income countries like Kenya, where access to diverse and nutritious foods may be limited, and for low-income populations.
Good Nature Agro, an innovative Zambian SME, is the second recipient. Specializing in legumes and seeds, Good Nature Agro partners with over 15,000 smallholder farmers, significantly impacting local food security. Good Nature Agro has been recently ranked among the fastest growing companies in Africa by the Financial Times, demonstrating its capacity to scale its impact in Zambia and beyond. N3F’s investment in the company will contribute to increased access to quality beans and groundnuts by smallholder farmers and households in Zambia as either seed for replanting or food for consumption in their homes.
Based in Kenya, Camino Ruiz distributes tilapia fish and partners with Global Tilapia and farmers’ groups for production. Tilapia is a vital source of protein and essential nutrients, providing vitamins and minerals like B12 and selenium to low-income communities. Camino Ruiz also supports women’s groups in Homabay County, providing training and economic opportunities, particularly for women and youth.
Myrtho Vlastou, debt director of Africa at Incofin Investment Management, said: “These initial investments exemplify N3F’s mission to bridge the funding gap for SMEs in Sub-Saharan Africa. By supporting Shalem Investment Ltd and Good Nature Agro, we are fostering businesses that deliver critical nutritional benefits to their communities. Our focus remains on driving tangible, sustainable change where it is needed most.”
Roberta Bove, senior lead innovative finance at GAIN, added: “We are incredibly pleased to announce the first investments of N3F, sampling the breadth of opportunities for investing in nutrition in Sub-Saharan Africa. We believe in the impact potential of these business models operating at different stages of nutritious foods value chains, and look forward to further invest across stages of various value chains through a food system approach.”
The Africa Food Systems Forum aims to address nutrition and food security crises in Africa. N3F intends to yield not only financial returns but also substantial social impact.
As N3F continues to grow, Incofin and GAIN will continue collaborating with stakeholders to mobilize resources and scale their efforts across the continent.
About GAIN
The Global Alliance for Improved Nutrition is a Swiss-based foundation dedicated to tackling malnutrition worldwide. With a focus on increasing consumer demand, accessibility, and market incentives for nutritious foods, GAIN is at the forefront of the fight against malnutrition.
Jim Cornall is editor of Future Food Today and publisher at Ayr Coastal Media. He is an award-winning writer, editor, photographer, broadcaster, designer and author. Contact Jim here.
