In Africa’s peri-urban and rural communities, women are the backbone of economies—running farms, markets, and small businesses. Yet, less than 10% of funding reaches women-led enterprises, stifling their potential. The Mastercard Foundation Africa Growth Fund is changing this by anchoring investments where they matter most: in Africa, for Africa.
A study by a team of experts from across Africa and the globe, including Momentus Global, Samawati Capital Partners, and Stafford Law, with support from Momentus Global and MEDA (Mennonite Economic Development Associates) reveals how shifting domiciliation to Africa can unlock billions in untapped capital and drive inclusive growth.
Why Domiciliation Matters
- Access to Capital: Locally domiciled funds mean faster, fairer access to loans and equity for women-led MSMEs—whether it’s a maize farm in Uganda or a textile cooperative in Senegal.
- Reducing Barriers: Offshore domiciliation often excludes small businesses. Keeping funds in Africa cuts red tape, lowers costs, and ensures capital reaches grassroots entrepreneurs.
- Job Creation: Women reinvest 90% of income into their families and communities. Supporting their businesses creates dignified jobs and lifts entire villages out of poverty.
- Resilient Communities: Local funds prioritize sectors like agriculture, clean energy, and healthcare—critical for rural development and climate resilience.
How the Fund is Driving Change
The Mastercard Foundation Africa Growth Fund is transforming lives by investing directly in Africa’s local economies, with a focus on empowering women in peri-urban and rural areas. Through gender-lens investing, the Fund channels capital to women-led small and medium enterprises. In Ghana, this approach has already shown results – a partnership with a local agribusiness fund equips women farmers with sustainable farming techniques and connects them to markets and technologies, enabling them to build thriving businesses.
The Fund goes beyond providing capital by developing essential business capabilities. Its workshops, designed for rural contexts, teach women financial management, environmental and social governance, and digital skills. This comprehensive training has catalyzed innovative enterprises – in Nigeria, for instance, women are now leading solar energy cooperatives that bring renewable power to previously unserved villages.
At the heart of the Fund’s success is its deep collaboration with local organizations. By partnering with grassroots groups, the Fund identifies promising ventures like dairy cooperatives in Kenya and textile manufacturing centres in Senegal. This bottom-up approach ensures investments address real community needs while building lasting relationships and sustainable impact.
Success Spotlight
In Ethiopia, a women-led honey cooperative secured funding through a locally domiciled IV, tripling production and creating 150+ jobs.
In Rwanda, a rural fintech initiative provides microloans via mobile platforms, helping 5,000+ women launch small businesses—from tailoring shops to poultry farms.
150+ Jobs
from secured funding through a locally domiciled IV
Why Domiciliation Matters
Women in peri-urban and rural areas face systemic barriers: limited collateral, fragmented regulations, and financial institutions that overlook their potential. Many lack formal land titles, shutting them out of traditional loans, while bureaucratic delays stall access to critical funds.
The Fund addresses these challenges head-on. By advocating for gender-inclusive policies, such as flexible loan terms for women without collateral, it reshapes financial systems to be more equitable. Local IVs are trained to design products aligned with rural realities—like repayment schedules timed to harvest seasons. Additionally, the Fund mobilizes Africa’s vast but underutilized pension funds, urging them to invest in women-focused IVs. This unlocks billions in dormant capital, channelling it toward sectors like agro-processing and renewable energy, where women-led enterprises thrive.
Learn more about how shifting domiciliation to Africa can unlock billions in untapped capital and drive inclusive growth. Read the full study on MEDA’s website: https://www.meda.org/domiciliation-study/
