Africa

We believe that the potential of the African continent and its people is huge. The challenge is how to tap into this potential in such a way that our investments benefit both the people in Africa and our investors mutually. SOVEC’s first fund is active in (West) Africa and currently has a focus on Ghana for its political stability and good economic development.

The need for SME financing in countries like Ghana is significant. The availability of a solid “Venture Capital infrastructure”, next to micro financing and regular banking finance, is required. As part of its efforts to stimulate private sector development and to enhance access to long term capital the Ghanaian Government has since 2002 embarked on a program to encourage the development of a Venture Capital industry in Ghana. To achieve this objective, the Venture Capital Trust Fund (VCTF) has been set up to disburse funds, monitor activities and encourage the development of a Venture Capital industry. Moreover the Ghanaian Government has announced specific fiscal and legal incentives for Venture Capital funds and investors of such funds.

In the near future, SOVEC may extend its activities into other (West) African countries, possibly in a concerted effort with Fidelity and/or Oasis, who both already have modest activities in various countries in the ECOWAS region.