16.08.2023
[Lilongwe] 16 August 2023 – The Export Development Fund (EDF) has embarked on a collaboration with Norsad Capital, an impact investor and private credit provider renowned for its custom-tailored debt solutions. This partnership, symbolised by the formal signing of a Memorandum of Understanding (MOU), was unveiled.
Under the terms of this agreement, the two entities will explore potential business opportunities, unite forces on significant transactions and share investment avenues, especially when funding requirements transcend individual thresholds.
This partnership represents a significant stride towards unlocking Malawi’s untapped economic potential. By capitalising on its vibrant export capabilities and nurturing sustainable growth through strategic investments and financial support, this collaboration paves the way for a more prosperous future.
As a distinguished Development Financial Institution (DFI), EDF endeavours to enhance the competitiveness of Malawi’s exports. EDF proactively nurtures and empowers export-oriented enterprises that are poised to contribute significantly to national economic development through export diversification and growth.
“Our shared objectives of fostering sustainable economic growth and development have catalysed this collaboration that will play a significant role in addressing the funding challenges that medium, and large-scale enterprises in Malawi face. This partnership will not only bolster the financial resilience of businesses but also elevates their potential to create positive change in Malawi. Together, we harness Malawi’s expansive export potential and business prospects.” says Fredrick Chanza, Managing Director at EDF
As a thematic impact investor aligned with the United Nations Sustainable Development Goals (SDGs), Norsad Capital holds a firm commitment to investments that strategically address societal and environmental challenges. This resonates harmoniously with EDF’s overarching mission to uplift the well-being of Malawi’s populace through economic development.
Kenny Nwosu, CEO of Norsad Capital, says “Our collaboration involves introducing each other to potential transactions and harnessing our distinct areas of expertise and funding strategies. This will provide comprehensive insights to formulate impactful deals.”
Unified in their vision to catalyse job creation and elevate livelihoods, both financial institutions share a central focus on providing essential capital to profitable enterprises. A pivotal aspect of this collaboration is the mutual support in amplifying the private sector’s pivotal role in driving robust economic growth.
Kenny Nwosu adds, “Malawi’s Micro, Small, and Medium-sized Enterprises (MSMEs) sector is primed to ascend the value chain towards higher value-added products, presenting substantial opportunities for growth.”
This MoU aligns with Norsad Capital’s strategic focus on the Southern African Development Community (SADC) region, which remains underserved by financial institutions despite the abundant business prospects spanning multiple sectors.
Moreover, the developmental challenges that hold significance for Norsad Capital mirror EDF’s priorities, including financing for social infrastructure, bolstering manufacturing industries, and addressing the critical need for financial inclusion.
In summation, this partnership bodes well for Malawi’s economic trajectory. With the potential to amplify accessible capital for emerging businesses within the nation, this collaboration is set to ignite regional economic expansion.
-ENDS-
About Norsad Capital
Norsad Capital is an impact investor and private credit provider offering tailor-made debt solutions to profitable growth-stage companies that deliver desirable social and environmental impact. With a track record spanning over 33 years, Norsad Capital has invested over USD 700 million in more than 170 companies across the continent.
About EDF
Export Development Fund (EDF) is a development financial institution (DFI) whose major objective is to increase the productive potential of the country through provision of finance, equity participation, or credit guarantees, and advisory service for the set-up, expansion and modernization of viable enterprises in the medium and large-scale enterprises sector in Malawi.
