Project profile — Support to the Africa Enterprise Challenge Fund - Agribusiness Africa Window 2

• Congo, Democratic Republic (3.00%)
• Tanzania (6.00%)
• Sierra Leone (6.00%)
• Uganda (6.00%)
• Burundi (3.00%)
• Malawi (6.00%)
• Zimbabwe (15.00%)
• Kenya (37.00%)
• Zambia (6.00%)
• Mozambique (6.00%)
• Senegal (6.00%)

• Agricultural development:
Agricultural development (31120) (20.00%)
Agricultural financial services (31193) (50.00%)
• Industry: Small and medium-sized enterprises (SME) development (32130) (30.00%)

• Gender equality (significant objective)
• Environmental sustainability (cross-cutting) (significant objective)
• Trade development (principal objective)
• ICT as a tool for development (significant objective)

The project aims to improve productivity in commercially viable and sustainable enterprises, increase employment, and improve economic security for the rural poor in sub-Saharan Africa. Canada's grant funding is delivered through the Africa Enterprise Challenge Fund (AECF)'s Agribusiness Africa Window2 (AAW2) initiative that identifies and supports selected business ideas that create jobs, boost agricultural productivity, and increase economic opportunities for the poor in Africa. AAW2 reviews applications and funds selected private sector companies to grow innovative agribusinesses in sub-Saharan Africa that benefit rural communities. Through a transparent and competitive process, the project acts as a catalyst for selected small and medium-sized enterprises by providing technical assistance and challenge fund grants that are matched by private sector investments. The project is expected to reach 500,000 rural households, 60% of which their members are living on less than $2/day.

The expected outcomes for this project include: (1) enhanced capacity of small and medium-sized enterprises to launch and scale-up innovative agribusiness operations; (2) enhanced knowledge among private sector partners of market opportunities and commercial viability of agribusiness; (3) increased capacity of small-holder farmers to access new markets; and (4) engagement by small-holder farmers to use improved services in the agricultural value chain.

Results achieved as of the end of the project (January 2023) include: (1) Africa Enterprise Challenge Fund (AECF) investees created 4,827 direct jobs, with women filling 45% of these positions; (2) investees impacted 1.5 million households (50% headed by women) with a cumulative additional net income of USD 951 per household over six years; and (3) five of the 19 project-supported investees are progressing very well, six are progressing satisfactorily, six are adapting their business models to improve performance with AECF technical assistance, and two did not succeed. This 11% failure rate is below the 30% rate initially predicted as realistic in this high-risk environment.

• Proactive disclosure
• Related activities: Support to the Africa Enterprise Challenge Fund (AECF) - Agribusiness Africa Window 2 - Monitoring