After decades of hostilities impacted the Somali region’s economy and infrastructure, a new era of economic activity is being ushered in by Somalis’ entrepreneurial spirit, helping to create an environment where peace can thrive.
The Nordic Horn of Africa Opportunities Fund L.P. (“Nordic Fund” or “The Fund”) was created in 2018 through a Limited Partnership Agreement signed by the Arsenault Family Foundation, Norwegian Investment Fund for Developing Countries (Norfund), and the Investment Fund for Developing Countries (IFU). Shuraako LLC manages the impact fund which provides access to finance via Sharia-compliant, self-liquidating loan instruments to Somali small-and-medium-sized enterprises (“SMEs”). The General Partner of the Fund is One Earth Future (OEF Africa LLC).
Since 2018 the Fund has raised $26 million. The first close in 2018 finished at $7.8 million and the second round of investment in 2020 brought the fund to $18 million. At third close, the Nordic Fund is at $26 million. The success of the initial investment and the Nordic Fund model has brought on additional investments from the Norwegian Ministry of Foreign Affairs, the Ministry of Foreign Affairs of Denmark (DANIDA), and the European Union (EU).
Somali women cultivating sustainable peace
One Earth Future and Shuraako have produced a video with four Nordic Fund clients. “Somali Women Cultivating Sustainable Peace” highlights Sahra, Saynab, Wiilo, and Saida, whose work building productivity at their own farms in Puntland with support from the Nordic Fund is helping transform their communities. Their individual stories demonstrate the power of supporting Somali women-owned ventures in the region’s agriculture sector.
Watch the video at the top of this story.
Shuraako’s Nordic Horn of Africa Opportunities Fund Investment Partners
Arsenault Family Foundation
DANIDA (Ministry of Foreign Affairs of Denmark)
European Union
IFU (Investment Fund for Developing Countries)
Norfund (Norwegian Investment Fund for Developing Countries)
Norwegian Ministry of Foreign Affairs
To learn more, visit www.shuraako.org.
Shuraako
Shuraako, a program of One Earth Future (OEF), has been operating throughout the Somali region since 2012 with offices in Hargeisa, Garowe, and Mogadishu. Shuraako, which means “partnership” in Somali, works in conflict-affected areas and underserved small and medium enterprise (SME) markets to develop a more resilient and responsible private sector. Shuraako connects entrepreneurs with impact capital to foster economic growth, create jobs, and promote stability and peace.
One Earth Future
One Earth Future Foundation (OEF) is an incubator of innovative peacebuilding programs that designs, tests, and partners to scale programs that work hand-in-hand with those most affected by conflict to eliminate the root causes of war. We believe in a world beyond war, where sustainable peace is truly possible.