"Investing in fragile settings: How to make it work while doing no harm?" - Sjoerd Melsert, our Senior Investment Manager, has participated in the panel discussion hosted by the Food and Nutrition Security Resilience Programme (FNS-REPRO), FAO, Wageningen University, and the Government of the Netherlands.
The learning session, held in The Hague on September 21, 2022, dived into the specifics of doing business and investing in fragile settings in Sudan, South Sudan, and Somaliland. Representatives from private sector companies, Dutch institutions/NGOs/impact investors, as well as Somali, Sudanese, and South Sudanese diaspora and embassies, came together to identify needs, challenges, constraints, and opportunities for both companies operating in fragile countries and prospective investors.
"The challenges in Sudan, South Sudan and Somaliland are very similar to the challenges we face in West Africa. There are safety and security issues that come with currency risk. Those countries lack infrastructures like roads, ports, storage facilities, and even electricity access. Besides, poor educational systems and dependency on expertise from abroad limit human capital capacity," says Sjoerd.
Although the challenges are many, this session showed that entrepreneurs, investors, and policymakers could develop innovative solutions to investing in fragility.
"Partnerships are crucial to be able to invest in the risky context. With the help of "blended finance" de-risking instruments, investors can attract private capital to where it is most needed. Working together with technical assistance providers, we can enable improvements in governance, financial information, and management skills. And above all, localizing development cooperation, having feet on the ground, and leveraging local expertise is essential for success," concludes Sjoerd.
Cordaid Investments has 25 years of expertise in investing to overcome fragility. Would you like to know more about our approach?
Join our global webinar on October 6, 2022, that aims to recognize the milestones that have been achieved through Cordaid’s investments over the past 25 years. Furthermore, our speakers, renowned industry leaders, will discuss how to advance development finance in the future.
October 6, 2022
3:30 - 4:30 pm CEST