Impact investment manager Incofin IM announced two of its funds under advice, Fairtrade Access Fund (FAF) and FPM will both benefit from a capital contribution of 3.5m USD and 3m USD respectively, from the German Development Bank, KfW.
KfW is a founding shareholder of the FAF, with the additional investment boosting the fund’s ambition to continue to be the best performing self-sustainable agro-focussed fund, generating both tangible impact and returns for its stakeholders. The FAF is an evergreen fund (currently open for investment) and aims to contribute to the development of a fair and sustainable agriculture sector. It addresses the financial and technical assistance needs of smallholder farmers by bridging the gap in working capital and providing long term financing.
The investment in FPM by KfW will support FPM’s objective to provide medium-term credit lines to financial institutions in the DRC. These lines of credit will then be used by the financial institutions to finance micro small and medium enterprises (MSMEs) in DRC. FPM targets sustainable and well-governed financial institutions including microfinance institutions, cooperative savings organisations and commercial banks serving MSMEs. By supporting the development of an inclusive financial system in the DRC, FPM will play a role in poverty reduction, job creation and sustainable economic development.
KfW is one of the world´s leading and most experienced promotional banks. Established in 1948 as a public law institution, KfW is owned 80 per cent by the Federal Republic of Germany and 20 per cent by the federal states (“Länder”).
KfW Development Bank is Germany’s leading development bank and an integral part of KfW. It carries out Germany´s Financial Cooperation (FC) with developing countries on behalf of the Federal Government. The 600 personnel at headquarters and 370 specialists in its 68 local offices cooperate with partners all over the world. Its goal is to combat poverty, secure the peace, protect the environment and the climate and make globalisation fair. KfW is a competent and strategic advisor on current development issues.
About Incofin IM
Incofin Investment Management (www.incofin.com) manages impact investment funds and is a global leader in rural and agricultural finance. It is an AIFM licensed fund manager, advising and managing 850m USD of assets. It is headquartered in Belgium and has a network of 4 regional offices and representations. It has a team of 45 experienced staff with in-depth knowledge of rural finance and private equity.