Context
It is challenging for African small business owners to set up and expand their businesses: They often lack the necessary start-up capital. In addition, there is often a lack of needs-based learning and training opportunities.
If African families and friends living in Europe were to invest, these businesses could improve their circumstances. This is because the World Bank estimates that people in Europe transfer several billion euros annually to family members and acquaintances in Africa. This provides them with financial support. So far, however, very little money goes directly to African micro and small enterprises (MSEs).
Objective
Start-ups, micro and small entrepreneurs in the partner countries Ethiopia, Cameroon, Ghana, Kenya, Togo and Tunisia achieve higher incomes and create jobs.
Approach
The project supports African MSEs, such as small craft or agricultural businesses and retail enterprises, by making it easier for them to secure financing for their business ideas. If their African family members or acquaintances from Europe invest in the business, the project pays entrepreneurs a grant. This is designed to create incentives to channel funds from Europe into long-term investments for entrepreneurs in Africa. MSEs receiving support are also granted three custom business advisory sessions free of charge.
The WIDU.africa online platform is at the heart of the project and provides the basis for the process. Companies register and verify their identity on the platform, describe their project and upload proof of their investments.
As at:
March 2025
