Africa Social Impact Exchange (ASIEx) managed by AVPA

Connecting social finance to amplify sustainable impact in Africa

The Africa Social Impact Exchange unifies the continent’s fragmented capital markets by creating an ecosystem that connects financial resources to social enterprises driving measurable impact.

Africa needs less than 0.2% of global and 10% of local capital pools annually to close the SDG funding gap.

Africa needs to invest nearly $200 billion per year to meet the United Nations’ Sustainable Development Goals (SDGs) by 2030.

But this annual gap represents less than 10.5% of the stock of financial assets the continent already holds.In 2020, African institutional investors held assets valued at USD 1.8 trillion – equivalent to 73% of the continent’s GDP –illustrating the potential to tap into private and institutional capital to finance the SDGs.

Africa does not lack impact capital. It lacks catalytic philanthropic capital that can de-risk social investments to unlock dormant private capital held on the continent. This urgency exists alongside a burgeoning collaborative philanthropy ecosystem that stands ready to drive social innovation and expand successful social impact initiatives likely to accelerate Africa’s prosperity, and ultimately influence change.

Africa’s SDG funding need represents a small fraction of available global and local capital. But inefficient resource allocation limits access to these capital pools.
ASIEx strengthens the African social financing ecosystem by connecting institutional investors and assets with domestic philanthropic capital.
Unlocking private capital to increase the impact of social investment in Africa.
Africa’s SDG funding need represents a small fraction of available global and local capital. But inefficient resource allocation limits access to these capital pools.
ASIEx strengthens the African social financing ecosystem by connecting institutional investors and assets with domestic philanthropic capital.
Unlocking private capital to increase the impact of social investment in Africa.
Africa’s SDG funding need represents a small fraction of available global and local capital. But inefficient resource allocation limits access to these capital pools.
ASIEx strengthens the African social financing ecosystem by connecting institutional investors and assets with domestic philanthropic capital.
Unlocking private capital to increase the impact of social investment in Africa.

Capital Market Fragmentation

Africa’s financial markets are divided into small, competing segment with philanthropies and commercial investors deploying financial resources in silos. This fragmentation limits connections between investors, social enterprises, and innovation networks, creating barriers to mobilising capital and efficiently scaling impact. Capital market limits innovation and opportunities for pool investment and risk-sharing.

Ecosystem players will unlock liquidity and facilitate the efficient allocation of capital toward impactful investments across the continent

Information Asymmetry

Asymmetric information occurs when entrepreneurs have more knowledge about their business than investors. leading to increased perceived risks and investor hesitation, leaving many viable African enterprises struggling to secure essential funding for impact. Market risk premiums are ~30% higher in Africa compared with other regions with similar risk profiles.

Information asymmetry means that there is limited investment in SMEs in the “missing middle” and investment opportunities with high potential impact remain underfunded.

Balancing ecosystem information flow will reduce both risk perception and transaction costs, leading to a more efficient allocation of capital

Our Focus Areas

Education

Empowering the next generation through access to quality education, equipping them with the skills needed to thrive.

Healthcare

Improving healthcare access to build healthier, more resilient communities and enhance quality of life.

Climate Resilience

Supporting innovations that tackle climate vulnerability, ensuring a sustainable future.

Agribusiness

Empowering communities through job creation and sustainable livelihood initiatives, fostering self-sufficiency in agricultural value chains.

Our Partners