The EBRD has committed up to US$ 80 million to support mid-cap companies in Egypt, Morocco, and Tunisia through North Africa Fund III (NAF III). Managed by RMBV, this fund seeks to raise up to US$ 300 million for investments, focusing on sectors such as healthcare and education. The initiative also includes technical assistance for a gender action plan, aiming to promote sustainable economic growth in the region.
The European Bank for Reconstruction and Development (EBRD) has announced a significant commitment to support mid-cap enterprises in Egypt, Morocco, and Tunisia. With a cornerstone investment of up to US$ 80 million, the EBRD is backing the establishment of the North Africa Fund III (NAF III), managed by RMBV. This initiative aims to spur long-term capital growth through equity investments and bolster the economic landscape of the region by focusing on various sectors including healthcare, education, financial services, and consumer products.
Through this partnership, NAF III aspires to raise a total of up to US$ 300 million for investment in North African mid-cap businesses. The fund is dedicated to empowering these companies to enhance their operational capabilities and yield attractive returns for investors. RMBV aims to target firms possessing significant potential poised for growth, which are led by skilled professionals and resilient to economic fluctuations.
In alignment with its investment strategy, the EBRD will also provide technical assistance for the development and execution of a comprehensive gender action plan, underscoring the importance of inclusivity in economic development. This initiative reflects a commitment not only to financial growth but also to fostering equitable business practices in North Africa. The EBRD’s engagement with RMBV showcases a steadfast effort to invigorate the local private equity markets and catalyze further investments.
Anne Fossemalle, EBRD Director for Private Equity Funds, expressed confidence in the partnership, stating the importance of nurturing quality teams within the private equity landscape of North Africa. Ahmed Badreldin, Managing Partner of RMBV, echoed these sentiments, emphasizing the shared vision to enhance sustainable economic growth and support mid-cap firms in reaching their full potential.
The EBRD has a mission of fostering economic development and sustainability in transitioning economies, particularly in North Africa. The creation of funds such as NAF III aims to stimulate investment in mid-cap enterprises, which are often crucial for job creation and economic resilience. The focus on clean governance and gender inclusivity aligns with global best practices in investment, reflecting the evolving priorities of development finance institutions. The partnership between EBRD and RMBV represents a strategic approach to leveraging local market knowledge while ensuring the adoption of robust business practices that can withstand economic challenges.
In summary, the EBRD’s commitment to RMBV for the establishment of the North Africa Fund III constitutes a pivotal strategy to enhance mid-cap enterprises in Egypt, Morocco, and Tunisia. With significant financial backing and a clear focus on achieving sustainable, inclusive growth, this initiative is expected to yield favorable outcomes for both investors and the regional economy. The emphasis on gender equality and sectoral expertise highlights the EBRD’s comprehensive approach to fostering economic development in North Africa.
Original Source: www.ebrd.com
