A powerful new alliance has been formed to tackle the persistent funding challenges faced by micro, small, and medium enterprises (MSMEs) across Africa. The Mastercard Foundation Africa Growth Fund has officially partnered with Capital Connect Africa (CCA) to improve access to capital for early-stage and growth-oriented businesses on the continent. This strategic collaboration aims to unlock the potential of MSMEs, which serve as a cornerstone of Africa’s economic landscape yet continue to face systemic barriers to investment.
Driving Inclusive Growth Through a Fund-of-Funds Model
The Mastercard Foundation Africa Growth Fund operates as a fund-of-funds initiative, backing African investment vehicles that prioritize supporting SMEs with high growth potential. With full financial backing from the Mastercard Foundation, the initiative is spearheaded by the Mennonite Economic Development Associates (MEDA), an organization with deep experience in enterprise development. MEDA’s partnership with CCA is a key element of the fund’s broader strategy to ensure that capital reaches underserved businesses across the continent.
Boosting Investor Readiness and Capital Access
A core aspect of the collaboration is the targeted support it offers to improve investor readiness among African MSMEs. Through CCA’s specialized platform, businesses will gain access to capital-raising tools, personalized advisory services, and direct introductions to relevant investors. These services are designed to bridge critical funding gaps, particularly for women-led and youth-led enterprises, which have historically struggled to secure traditional investment.
Capital Connect Africa's Platform at the Heart of the Initiative
CCA’s platform will serve as a vital infrastructure hub in this effort, offering a full suite of business support tools to participating SMEs. These include a comprehensive investor database, strategic guidance on business development, and tailored matchmaking with aligned funding opportunities. By connecting high-potential businesses from the Mastercard Foundation Africa Growth Fund’s pipeline to the CCA platform, the initiative expects to significantly expand both its reach and effectiveness.
Championing Entrepreneurship for Job Creation
Dr. Dorothy Nyambi, President and CEO of MEDA, emphasized the broader vision behind the initiative, highlighting its role in catalyzing job creation and economic development. According to Dr. Nyambi, the partnership represents more than just financial investment—it is a mission-driven effort to spark sustainable, inclusive prosperity through entrepreneurship. She stressed that by backing overlooked yet promising businesses, the collaboration has the potential to transform local economies and create meaningful employment opportunities.
Creating Impact Across Africa’s Entrepreneurial Ecosystem
The joint effort comes at a critical time when African economies are looking to entrepreneurship as a lever for long-term growth and resilience. By enhancing access to capital and equipping MSMEs with the tools they need to succeed, the partnership between the Mastercard Foundation Africa Growth Fund and CCA is expected to strengthen the broader entrepreneurship ecosystem. This initiative not only supports individual enterprises but also contributes to a more vibrant, diverse, and sustainable economic future for the continent.
The collaboration between the Mastercard Foundation Africa Growth Fund, MEDA, and Capital Connect Africa marks a bold step forward in addressing the financing challenges that have long hindered African MSMEs. With a clear focus on inclusion, sustainability, and tangible impact, this initiative is poised to reshape how capital flows to underserved businesses. As the partnership gains momentum, it is set to become a transformative force in unlocking Africa’s entrepreneurial potential and driving shared prosperity across the region.