Sahel Capital has announced that the Social Enterprise Fund for Agriculture in Africa (SEFAA), which it manages, has secured a $10 million investment from the Mastercard Foundation Africa Growth Fund. The investment, managed through MEDA Mauritius (Mennonite Economic Development Associates), marks a major milestone in SEFAA’s mission to finance social enterprises that strengthen agricultural ecosystems across sub-Saharan Africa. This capital infusion is expected to create over 10,000 jobs for women and youth while expanding opportunities for smallholder farmers in 13 countries.
Driving Growth for Agri-SMEs
Since its launch in 2021, SEFAA has positioned itself as a catalytic financing vehicle for early-stage and growth-oriented agribusinesses that often lack access to traditional funding. The fund has already processed 33 facilities to 18 companies across seven African countries, delivering critical support to enterprises that drive productivity and market access for smallholder farmers. With this new $10 million commitment, SEFAA will further scale its reach, financing agri-SMEs that form the backbone of rural economies while addressing the funding gaps that limit their growth potential.
Strengthening Smallholder Farmers’ Livelihoods
Sub-Saharan Africa’s agricultural sector holds vast potential but faces persistent challenges, including fragmented supply chains, limited access to finance, and underdeveloped market infrastructure. SEFAA was created to bridge these gaps by providing flexible financing — primarily debt with options for equity — to agribusinesses that directly impact smallholder farmers’ incomes and productivity. By targeting women and youth, who are often excluded from formal financing, SEFAA also contributes to building inclusive agricultural value chains that promote social equity alongside economic growth.
Strategic Partnerships and Impact
The Mastercard Foundation Africa Growth Fund is a $200 million fund-of-funds initiative dedicated to unlocking capital for African SMEs. Its investment in SEFAA underscores a shared vision of fostering dignified employment opportunities and strengthening entrepreneurial ecosystems across the continent. Dorothy Nyambi, President and CEO of MEDA, said, “We are proud to partner with SEFAA and Sahel Capital, whose strategic vision aligns with MEDA’s commitment to advancing economic opportunity through inclusive finance. With the support of the Mastercard Foundation Africa Growth Fund, this collaboration strengthens our mission to catalyze job creation for women and youth.”
Voices from Sahel Capital
Mezuo Nwuneli, Managing Partner of Sahel Capital, emphasized the significance of this milestone: “Since the inception of the Fund in 2021, we have processed 33 facilities to 18 companies in 7 countries in sub-Saharan Africa. This $10 million commitment from the Mastercard Foundation Africa Growth Fund, through MEDA Mauritius, is a testament to our team’s hard work and the impact we are making. It will accelerate our efforts to improve income opportunities for smallholder farmers by enabling the agri-SMEs that engage with them.”
Building on Early Support
The success of SEFAA has been enabled by pioneering support from KfW Development Bank, whose early investment was instrumental in establishing the fund. With current investments ranging between $300,000 and $2.4 million, SEFAA has already made tangible strides in advancing social impact through agriculture. The new capital injection will help broaden this impact while sustaining SEFAA’s position as one of the leading funds focused on Africa’s food and agriculture sector.
The $10 million investment from the Mastercard Foundation Africa Growth Fund represents a pivotal step for SEFAA and Sahel Capital in their mission to transform African agriculture. By enabling agri-SMEs to access financing, strengthen supply chains, and improve farmer livelihoods, this collaboration supports job creation, poverty reduction, and inclusive economic growth across sub-Saharan Africa. As SEFAA scales its efforts, the partnership demonstrates the power of catalytic capital to drive both social impact and sustainable agricultural development on the continent.