Four Kenyan entrepreneurs are among six to receive up to Sh90.3 million ($700,000) in grants to support projects on waste management and the circular economy.
The funding from a new Investment Innovation Fund, led by the Aspen Network of Development Entrepreneurs (ANDE) and Ingvar Kamprad, Elmtaryd (IKEA), aims to help small and growing businesses (SGBs) tackle financial challenges.
The four Kenyan entrepreneurs are Circle Innovation and KOIS, who will launch the "Circularity LaunchPad" to co-design innovative financing mechanisms for early-stage investors and support circularity and waste SGBs to attract investment. Smart Regional Consultants (SRC) & Kenya Climate Ventures (KCV) will implement a comprehensive programme to prepare waste and circularity SGBs for investment, including facilitating matchmaking with investors.
Agri Frontier will launch an 18-month programme to support waste and circularity SGBs in Kenya, focusing on increasing the pipeline of investment-ready SGBs and catalysing $10 million (Sh1.28 billion) in investment while Sote Hub will accelerate SGBs with innovative green solutions for managing marine plastic waste in coastal Kenya, leveraging digital technology and partnerships.
“Through our ongoing partnership with the IKEA Foundation, we've been able to identify critical areas for investment to help foster entrepreneurial approaches to climate action in underinvested sectors. We are excited that the Investment Innovation Fund will grant the needed resources to entrepreneur support organizations to boost private capital infusion into small business ecosystems," said Devin Chesney, ANDE's interim executive director.
The other two recipients are from India and include Upaya Social Ventures, Global Business Inroads (GBI), rePurpose Global, and IIM Calcutta Innovation Park.
The six recipients were selected from nearly 100 applicants, and each organisation will implement dedicated support programmes for waste and circularity entrepreneurs, using different approaches to increase investment flows into these businesses.
The projects are scheduled to start in August 2024 as part of the Access to Green Finance Project and are expected to contribute to the growth of a thriving green entrepreneurial ecosystem in both Kenya and India.
Since 2009, the IKEA Foundation has committed more than €2 billion to its partners and grants approximately €200 million annually. The Foundation works in vulnerable regions in Africa and Asia, as well as in high-emitting countries such as the EU, India, Brazil, and Indonesia.
