Launched by Norway and USAID, the “Financing for Agricultural Small and Medium Enterprises in Africa (FASA)” Fund is a multi-donor fund that addresses the financing challenges faced by agricultural small and medium-sized enterprises (agri-SMEs) across Africa.

With an initial investment of US$70 million (US$35 million each), Norway and USAID launched the FASA Fund with the aim of reaching $200 million through additional donor contributions. These contributions will then be invested as junior capital (also called catalytic capital or “first loss”) in specialized investment funds focused on agri-SMEs, attracting additional commercial financing by reducing the risk of investing. The Fund uses public investments to unleash private capital and pools funding from various investors to improve efficiency, market access, and governance. The fund will ensure that contributions complement, rather than compete with, private markets.

The FASA Fund was announced at the 2023 U.N. General Assembly to spur investment in Africa's agricultural growth.


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