IFC PLANS TO INVEST $3 MILLION IN NIGERIAN TECH STARTUPS
The International Financial Cooperation (IFC) a sister organization of the World Bank and member of the World Bank Group, plans to invest $3 million to help Nigerian startups through its Startup Catalyst Program, Microtraction Fund Il.
Microtraction Fund II is a $15 million seed-stage fund focused on pre-seed and seed-stage investments in tech and tech-enabled businesses in Sub Saharan Africa. This was disclosed on the IFC Project Information & Data Portal, which is the largest global development institution, focused exclusively on the private sector in developing countries.
MI Holdings Limited, a Cayman Islands-based exempted corporation, is the general partner. The IFC has proposed an equity investment of up to $1.5 million through the Startup Catalyst Program and $1.5 million through the IDA18 IFC-MIGAVPrivate Sector Window’s Blended Finance Facility (BFF) (IDA PSW). The IFC has pledged not to exceed 20% of total commitments. The fund, which is domiciled in Nigeria, will invest in high-growth markets in Sub-Saharan Africa.
The Fund will be supported by the Blended Finance Facility (BFF) of the IDA18 IFC-MIGA Private Sector Window (IDA PSW), created by the World Bank Group to catalyze private sector investment in IDA countries, with a focus on fragile and conflict-affected states.