European investors see Africa's agriculture opportunity

ASC Impact, a German impact fund backed by Swiss investors, is making significant strides in Africa's forestry and agriculture sectors. With funding estimated at 28 million euros, the projects are attracting interest from various Development Finance Institutions (DFIs). Karl Kirchmayer, the Managing Partner at ASC Impact, highlighted the progress and challenges faced in different African countries. Kirchmayer emphasized the diverse regulatory environments and government support experienced across regions. In Ethiopia, the regional government in Gambela has been supportive of their projects for over a decade, demonstrating a strong partnership. Similarly, the positive relationships with the government in Congo and Angola have facilitated the necessary permissions and contracts for their initiatives. One of the key focuses for ASC Impact is community engagement and job creation. Kirchmayer stressed the importance of local communities welcoming their projects, particularly in Ethiopia where they work closely with the Anuak tribe. By prioritizing the interests of the communities, ASC Impact ensures that their investments lead to tangible benefits and job opportunities, aligning with stringent Environmental, Social, and Governance (ESG) goals. While navigating the regulatory landscape and meeting European regulatory standards poses some challenges, ASC Impact remains committed to fulfilling the necessary requirements. Collaborating with various DFIs and partner organizations like GIZ, the German Development Agency, enables them to address the complexities effectively and sustainably. As interest grows from European investors, Kirchmayer emphasized the untapped potential in Africa and the continent's attractiveness for long-term investments. By dispelling misconceptions and highlighting the opportunities for growth and collaboration, ASC Impact aims to encourage more investors to explore the African market. Overall, ASC Impact's approach underscores the significance of community involvement, regulatory compliance, and strategic partnerships in driving impactful and sustainable projects in Africa's forestry and agriculture sectors.