FSD now targets small firms in East Africa with Sh39bn debt fund

The fund is targeting initial fundraising of $100 million with an average ticket size of between $0.5 million and $5 million.

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Development-focused agency Financial Sector Deepening (FSD) Africa wants to set up a debt fund in Kenya and raise $300 million (Sh38.9 billion) worth of debt and equity for investing in micro, small and medium-sized enterprises (MSMEs) in East Africa.

FSD says the SME debt fund will be a local currency permanent capital vehicle domiciled in Kenya and regulated by the Capital Markets Authority (CMA).

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