The role of customized advisory services for WSMEs in fragile markets in Sub-Saharan Africa

Event Details:

• Date: May 28, 2024
• Time: 14:00-15:30 EAT
• Location: Aderdare Room, KICC
• Registration: (Mandatory for physical participants) https://am.afdb.org/en/registration-african-development-bank-annual-meetings-now-open

Introduction

In close partnership with AfDB through the AFAWA initiative, AECF is implementing the Nkwanzi Scaling Women SMES project in Sub-Saharan Africa. Powered by the AECF Advisory Studio and deployed in partnership with investors, Nkwanzi aims to unlock the potential of 400 women-led SMEs to raise commercial capital.

In line with the 2024 AfDB theme, “Africa’s Transformation, the African Development Bank Group, and the Reform of the Global Financial Architecture,” AECF will convene advisory service providers, women-owned and led SMEs, and financial service providers to reflect on: What does it take to curate advisory services and financial products to the needs of WSMEs operating in fragile contexts? What is effective in bridging the gender investment gap in those markets?

Our experience has shown that SMEs require trusted, all-rounded, structured, and technical support that addresses issues of measuring impact, gender mainstreaming, environmental and social governance, leadership support, technological and innovation, market linkages, business planning, and legal compliance. These advisory services cannot be achieved quickly and by one entity. It requires a one-stop shop, which AECF is currently offering. We have also established that advisory services for businesses in fragile contexts must be adapted to the specific level of development and the unique challenges of those countries.

Session description

The session will examine the pivotal role of tailored and customized financial products and advisory services in enhancing the attractivity and scalability of SMEs operating in fragile contexts in sub-Saharan Africa. It will also highlight the importance of integrating gender equality and women’s empowerment, social inclusion, Environmental, Social, and Governance (ESG) principles, and evaluating climate risks within this comprehensive approach.

Through presentations and a panel discussion, we will confront the perspectives of advisory service providers, women entrepreneurs, and financial service providers operating in fragile markets and shed light on the diversity of needs, contexts, sector priorities, and fragility impact on business growth. The discussion will highlight how we can craft effective advisory delivery approaches and financial instruments to meet the WSMEs where they need it most in high volatility and risk markets.

Objectives:

• To discuss how to tailor advisory services so they deliver effective impact that enhances the readiness for, and attractiveness of, WSMEs operating in fragile markets to commercial investors.
• To reflect on how to integrate meaningfully gender equality, women empowerment, social inclusion, and ESG principles into the advisory services and financial products targeting WSMEs.
• To share learnings from practitioners on what has worked, why, and how to replicate while curating such approaches across very different realities and WSMEs needs.