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Partnership with the Africa Agriculture and Trade Investment Fund (AATIF)

The Africa Agriculture and Trade Investment Fund (AATIF) is an innovative public-private partnership dedicated to realising the potential of Africa’s agricultural production and related manufacturing, service provision, and trade through sustainable investments across the entire value chain. AATIF investments foster agricultural value chain enhancement and are complemented by a TA Facility that provides grant funding for projects aimed at strengthening the developmental aspects of individual investments. This TA Facility is managed by the CFC under a service agreement.

AATIF was established in 2012, and thus far, the TA Facility has developed an average of nine TA projects per year, with project budgets ranging from EUR 6,000 to EUR 500,000. The TA Facility provides support to investee companies that focus on enhancing direct impact beyond the company itself, specifically targeting lower-income communities. This type of TA support assists AATIF investee companies in creating local economic opportunities and employment, for example through the establishment of smallholder farmer outgrower schemes. The TA Facility also supports investee companies with advisory and technical assistance to improve business operations and efficiency, as well as staff capacity development. 

The investment has contributed to impacts in more than 18 countries since the Fund’s inception. Over 519,000 MT of food and food-related products have been produced and delivered by AATIF direct investees. More than USD 280 million has been invested since inception using innovative structures such as revenue-based interest rates, collateral managed facilities, and risk-sharing structures, with a view to promoting local agrifood companies at different stages of development. AATIF investees employ more than 31,000 people, while 264,000 smallholders have been reached by portfolio companies. In addition, 100% of AATIF PIs have developed or are developing occupational safety and health policies. Furthermore, 41% of the workforce of AATIF investees are women.

Submitting Institution

Africa Agriculture and Trade Investment Fund (AATIF)

Location

Africa

Commodity

Miscellaneous

Total Cost (Target Fund Size)

N/A (Evergreen Fund)

CFC Financing

USD 2,000,000 (Equity)

Co-financing

Main other current investors are the EU, KFW and Deutsche Bank. The associated grant based Technical Assistance (TA) Facility is being financed by the German Ministry for Development Cooperation and Economic Development (BMZ).

Year of Implementation

2013

SDGs