Small and Medium Enterprises (SMEs) in Nigeria on have received a boost with the investment of $10 million in the sector by the African Private Equity and Venture Capital Association (AVCA).
Tokunboh Ishmael, a board member of AVCA, disclosed this at a press briefing heralding the association’s 11th annual conference in Lagos.
Ishmael, who is also the Chief Executive Officer, Alitheia Capital, said that the funds would be invested in the next 18 months.
She said that the firm had also invested another $10 million in some vibrant SMEs in Ghana.
Ishmeal, who declined to mention the names of the SMEs, said that the firm had over 1 000 investment outlets in Africa.
She said that AVCA was established to promote investment in Africa and to play a crucial role in the development of SMEs.
“Private equity and venture capital plays a crucial role in financing the SME sector, the engine of economic growth the world over,” she said.
OkeyEnelamah, the Chief Executive Officer, African Capital Alliance, said that the firm’s target was on unlisted businesses to prepare them for listing.
He said AVCA would continue to create the enabling environment to attract capital and investment in Africa.
According to him, AVCA will support local businesses to build their potential and establish strong corporate governance structure to ensure sustainable growth.
He said that the mission of AVCA was to promote and catalyse the private equity and venture capital industry across Africa.