FMO plans to invest $12.5M in the ARF IV fund managed by XSML Capital, to support SMEs in Central Africa. ARF IV will target SMEs via mixed investments. The FMO is reported to have already committed $107 million in similar commitments so far this year.
The Dutch entrepreneurial development bank, FMO, is considering investing $12.5 million in the African Rivers Fund IV (ARF IV), managed by XSML Capital. The project underscores an ongoing partnership between FMO and XSML, following FMO's previous investments in this African fund, according to data compiled in the Ecofin Pro database.
ARF IV plans to continue using a mix of mezzanine and equity investments to build a diversified portfolio targeting SMEs. With a forecast portfolio of 30 investments and $2 million to $3 million in target commitments, on average, the fund is positioned to make a significant impact in the region.
The fund's main geographical focus includes Angola, the Democratic Republic of Congo, Zambia, and Uganda, countries where SMEs are struggling to access solid financing. The move falls under FMO’s policy to foster economic growth in emerging markets, but also to cultivate lasting relationships with established and competent partners such as XSML.
So far this year, the Dutch public-private lender has already announced almost $107 million in commitments to Africa-focused investment funds.
Since the year began, FMO has been involved in around 20 financing transactions targeting African economies. As a financing player on the continent, it has been involved in almost 200 initiatives as a lead investor or in association with other development finance institutions.
• Inflation within the West African Economic and Monetary Union (UEMOA) fell to a two-year low of 0....
Flutterwave gained a BCEAO license to operate in Senegal, expanding to 35 African countries. ...
In Africa, the private sector is widely seen as the main engine of industrialization and plays a cen...
President Paul Biya, 92, to seek eighth term in October 2025 election In power since 19...
• Interbank volumes rose 18.7% in May, while rates declined across the market• The BCEAO cut its mai...
Highlights: • Kobold Metals signed an agreement in principle with the DRC government on July 17, 2025.• The deal includes the Manono lithium project,...
Highlights: • Global cocoa processing down across all major regions in Q2 2025• ECA: Europe’s grindings at lowest since 2020, Asia at lowest since...
Highlights: • Egypt targets 42% renewable energy share by 2030.• POWERCHINA to build 130-km high-voltage line signed on June 25.• National grid expansion...
Highlights: • EXIM Bank issues letter of intent for $150M to support Botswana's NexMetals• US eyes battery-grade nickel sulphates and cobalt from...
Ashenda is a vibrant traditional festival celebrated primarily in northern Ethiopia, particularly among the Tigray and Amhara communities, as well as in...
The Emerald Sea is a vast turquoise lagoon located in the northern part of Madagascar, just a few kilometers from the town of Antsiranana (formerly Diego...