In our latest white paper, we outline seven reasons why RENEW believes a ‘stay the course’ approach to investing in SMEs in Ethiopia is the best response both to the economic crisis created by the COVID-19 outbreak and the equally threatening locust swarms.
Investing in SMEs to help them weather the current storms is the best COVID response we know at RENEW. While we make no promises, we join others moving capital right now in the belief that investors who respond when capital is scarce may benefit from more reasonable valuations now followed by improving times ahead.
We may look back and find that the detrimental impact of current circumstances on SMEs and their employees, especially women, outweighs the impact on the physical health of Ethiopians. We see broad opportunities to be investing in SMEs generally, as they are the backbone of Ethiopia’s economy and the provider of the majority of private-sector jobs. Their resilience will determine whether Ethiopia can continue progressing economically and benefit from the last fifteen years of momentum or give up significant gains in poverty alleviation and growth.
To download our latest white paper, please click here.
Originally published on RENEW website. For more information, please click here.
« Back to Afri-Spective: An Inside Look at Private Equity in Africa