Image credit: Social Impact Strategies
A financial inclusion-focused entity recently engaged us to exercise due diligence on a working capital microcredit venture, with the intent of investing $1 million in equity in the business. Chief amongst the requirements was the evidence of employment creation brought about by the extension of credit to micro, small and medium enterprises. This was illuminating on two fronts. On one hand, it reinforced our belief that there is a growing appetite for relatively small-size deals, a much-needed shift in investment focus in Kenya and Sub-Saharan Africa at large. On the other hand, it awakened new possibilities with regard to the perception and understanding of social impact in the Kenyan landscape.